New aircraft expand regional network

Airlink Cargo is positioning itself for expansion into new regional markets, including West Africa, as the airline rolls out its fleet of Embraer E195-E2 aircraft. According to Hardus Kuschke, executive manager of ground operations at Airlink Cargo, the aircraft’s improved range and payload performance will bring several new destinations and trade lanes within reach. “We have invested in ten new aircraft. Four have been delivered, with three more arriving this year and the remaining three in 2027,” he told Freight News. “They represent the latest generation of aircraft and engine technology and were designed to significantly reduce fuel consumption and emissions.” Kuschke described the new aircraft as a game changer for the airline. “Although the E195-E2 provides marginally more cargo capacity than the E1 variant, its biggest benefits are its operational cost efficiency and range-payload performance. These put many exciting new destinations and markets within our reach, with several already on our radar.” However, the volatility of jet fuel prices brought about by the Middle East conflict remains one of the sector’s biggest challenges. “It has been a major headache over the past five months,” said Kuschke. “Jet fuel is not a price-regulated product and, even before the current crisis, its price was about 17% above the global average.” With the Strait of Hormuz closed, suppliers moved quickly to secure alternative fuel sources in Asia and South America. Airlink recovered some of the additional expense through fuel surcharges, while also absorbing costs by adjusting schedules and deploying aircraft more closely matched to demand on certain routes. Kuschke said airlines had faced significant disruption since more than 400 instrument flight procedures for airports and designated airways were withdrawn from use in July 2024 after the Air Traffic and Navigation Services (ATNS) failed to revalidate them before they expired. The problem was compounded by the departure of experienced air traffic controllers and airspace and procedure designers, resulting in prolonged delays and missed connections. Although improvements were made as ATNS worked to clear the backlog and restore the procedures, Kuschke said it could still take several months for the situation to normalise. Turning to the market outlook, Kuschke said domestic airfreight volumes were expected to remain largely flat in the short term, while regional demand continued to increase year on year. “Regionally, we expect slow and steady growth, particularly in markets and industries such as mining, where shipments need to move by air because suitable road or rail infrastructure is unavailable,” he said. “Airfreight is also essential where the distances involved and the time required to move goods overland could disrupt customers’ operations.” Kuschke said the increase in regional cargo volumes reflected economic growth in the markets Airlink served. “The same holds true in the domestic market, where economic conditions are reflected in largely flat airfreight volumes.” He described the air cargo market as a useful barometer of economic performance and said operating in a constantly changing environment required resilience and agility. “By virtue of Airlink’s fleet, route network and schedule, Airlink Cargo serves a market segment that most others cannot,” he said. He said that although oil prices had fallen below $80 a barrel, jet fuel prices remained stubbornly high. “The wide crack spread reflects the increased costs of shipping, insurance and infrastructure, as well as the margins applied by refineries and distributors. Nevertheless, we have seen no negative impact on demand for our air cargo services or any reduction in shipment volumes.” LV