Market Size of South Africa Air Freight Industry
Study Period | 2020 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Market Size (2024) | USD 1.05 Billion |
Market Size (2029) | USD 1.20 Billion |
CAGR (2024 - 2029) | 2.69 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
South Africa Air Freight Market Analysis
The South Africa Air Freight Market size is estimated at USD 1.05 billion in 2024, and is expected to reach USD 1.20 billion by 2029, at a CAGR of greater than 2.69% during the forecast period (2024-2029).
- Driven by the demands of e-commerce and the need for efficient transport of perishables, electronics, and pharmaceuticals, South Africa's air freight market is on an upward trajectory. South Africa stands out as a pivotal hub in the air freight landscape, not only for its significant passenger traffic but also for its role in connecting diverse regions across Africa and beyond.
- In reaction to port congestion impacting sea freight, air cargo volumes have seen a marked rise. In 2024, South Africa's air freight sector is experiencing a significant surge in air freight traffic. King Shaka Airport, in particular, has reported a remarkable 57% increase in air freight volumes in January 2024. This rise underscores a burgeoning market for high-value, time-sensitive cargo services, presenting fresh opportunities for logistics providers.
- Technological advancements such as blockchain, AI, and IoT are boosting the efficiency of air freight operations in South Africa. These technologies enhance cargo tracking, optimize routes, and cut operational costs. Additionally, South Africa is upgrading its cargo infrastructure to bolster handling capacity and streamline logistics processes.
- Furthermore, the airline commenced operations using a fleet outfitted with advanced avionics, boosting fuel efficiency and curtailing operational expenses. In tandem, Suid Cargo has collaborated with regional tech companies to roll out an app, ensuring customers enjoy effortless booking, real-time shipment tracking, and timely delivery notifications.
South Africa Air Freight Industry Segmentation
Air Freight refers to the transportation of goods or consignments via air. This report offers an in-depth analysis of the South African Air Freight Market, highlighting prevailing trends, potential restraints, technological advancements, segment-specific insights, and a thorough overview of the industry's competitive landscape.
The South Africa Air Freight Market is segmented by service (forwarding, airlines, mail, and other services), by destination (domestic and international), and by carrier type (belly cargo and freighter). The report offers market size and forecasts for the South African Air Freight Market in value (USD) for all the above segments.
By Service | |
Forwarding | |
Airlines | |
Other Services |
By Destination | |
Domestic | |
International |
By Carrier Type | |
Belly Cargo | |
Freighter |
South Africa Air Freight Market Size Summary
The South African air freight market is experiencing a moderate growth trajectory, driven by increasing demand for air cargo services. Despite being a small player in the global transportation sector, Africa's air freight industry is crucial due to the continent's vast distances and underdeveloped infrastructure. South Africa, as a leading nation in air passenger traffic, plays a significant role in this market. The air freight sector faces challenges such as the need for cost-effective and fuel-efficient solutions, as well as the integration of advanced technologies. The market is moderately fragmented, with major players like ACS Africa Container Shipping and Barloworld Logistics dominating the landscape. The establishment of new cargo airlines, such as Suid Cargo, highlights the ongoing developments and investments in the sector.
The demand for air freight in South Africa is bolstered by the rise of e-commerce and online retail, which have seen significant growth post-pandemic. This shift has prompted traditional retailers to explore omnichannel strategies to remain competitive. The air freight market is also supported by the import and export of perishable goods, electronics, and pharmaceuticals, with Ethiopian Airlines leading in freight operations across Africa. Despite global economic uncertainties and supply chain challenges, the air freight industry in South Africa is poised for continued growth, with airlines expanding capacity to meet rising demand. The market's future will be influenced by developments in global trade, technological advancements, and the strategic responses of key industry players.
South Africa Air Freight Market Size - Table of Contents
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1. MARKET INSIGHTS AND DYNAMICS
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1.1 Market Overview
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1.2 Market Dynamics
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1.2.1 Drivers
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1.2.1.1 Growth in E Commerce
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1.2.1.2 Startegic Locations
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1.2.2 Restraints
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1.2.2.1 High Operating Costs
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1.2.2.2 Environmental Concerns
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1.2.3 Opportunities
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1.2.3.1 Sustainable Aviation Fuel
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1.2.3.2 Expanding Regional Air Cargo
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Consumers/Buyers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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1.4 Government Regulations and Initiatives
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1.5 Supply Chain/Value Chain Analysis
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1.6 Technology Snapshot and Digital Trends
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1.7 Spotlight on Key Commodities Transported by Air
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1.8 Elaboration on Air Freight Rates
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1.9 Spotlight on Heavy Cargo/Project Logistics in the Air Cargo Industry
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1.10 Insights into Key Ground Handling Equipment in Airports
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1.11 Review and Commentary on Standards and Regulations on the Safe Transport of Dangerous Goods
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1.12 Brief on Cold Chain Logistics in the Air Cargo Sector
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1.13 Impact of Geopolitics and Pandemic on the Market
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2. MARKET SEGMENTATION
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2.1 By Service
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2.1.1 Forwarding
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2.1.2 Airlines
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2.1.3 Mail
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2.1.4 Other Services
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2.2 By Destination
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2.2.1 Domestic
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2.2.2 International
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2.3 By Carrier Type
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2.3.1 Belly Cargo
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2.3.2 Freighter
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South Africa Air Freight Market Size FAQs
How big is the South Africa Air Freight Market?
The South Africa Air Freight Market size is expected to reach USD 1.08 billion in 2025 and grow at a CAGR of greater than 2.69% to reach USD 1.23 billion by 2030.
What is the current South Africa Air Freight Market size?
In 2025, the South Africa Air Freight Market size is expected to reach USD 1.08 billion.