Global air cargo volume drops 17.2pc in August

August showed a year-over-year (YoY) drop of 17.2 per cent in worldwide cargo  volume and of 29 per cent in shipments carried, but a YoY increase in revenues of 37 per cent, thanks to rates in USD that were 65 per cent higher than 2019, a report said.

The origin region Asia Pacific lost least volume (-10 per cent) YoY, whilst the origins Europe and MESA (Middle East & South Asia) lost most (-25 per cent resp. -22 per cent), added the WorldACD Market Data report.

Month-over-month (MoM) revenues from North America went up just slightly (+0.3 per cent) whilst worldwide revenues dropped by -1.4 per cent MoM.

Preliminary figures for the first half of September indicate that volume remains at -17 per cent YoY. Taking a first look at yields in this period, they look stable so far at $2.83, the same as in August. Looking at the full Covid-19 period up till now, i.e. from the month of March 2020, the following YoY picture emerges: nr of shipments – 36 per cent, chargeable weight -22 per cent, revenues +34 per cent, rates/yields +73 per cent, viz. from $1.77 to $3.06. This drastic shift in the market took place in a world which produced much less cargo capacity.

In February, the YoY capacity figures were perfectly normal, but since then the figures changed dramatically: in June, Available Ton Kilometres were down by 45 per cent YoY, whilst in August, this figure still stood at -39 per cent.

In all origin regions, average monthly yields/rates (in USD) were highest in the month of May, and came down gradually since then: a true rollercoaster in most origin regions (we show the average yields/rates in USD for Feb/May/Aug respectively:

In the top-10 markets, the highest average monthly rate/yield stood at $9.81 (May; China South East – USA Pacific States). In five of these top-10 markets, yields/rates in August were half of what they were in May. Hong Kong had clearly lower yields/rates than China in May, but its yields/rates fell by much less than 50 per cent from May to August.

Dubai gold, diamonds March-June trade hits $18bn

Dubai’s gold and diamond air cargo trade amounted to AED67.1 billion ($18.27 billion) between March and the end of June 2020, Dubai Customs has revealed.

Statistics released by Air Customs Center Management at Dubai Customs show that the diamond and gold trade from March 1 to end of June comprised AED35.6 billion of imports (428.8 tons), AED38.5 million (877 kg) transferred into the free zone, AED471.7 million (2.1 tons) of re-exports “transit”, AED29.4 billion (161.2 tons) of exports, and AED1.4 billion (8.3 tons), which entered the free zone.

The Air Customs Center Management also completed 31,590 transactions including 17,169 import, 12,293 export and 89 re-export transactions. In terms of value, gold and jewelry accounted for AED5.6 billion, raw diamonds AED5.7 billion, polished diamonds AED3.6 billion, diamonds powder AED503,300, gold powder AED31.3 million, gold bullions AED51.7 billion, gold coins AED16 million and gold medallions AED240.2 million.

“Dubai Customs contributes to a vision in which Dubai aspires to maintain its position as the City of Gold and Diamonds and a strategic hub for the trade of these precious goods,” said Ahmed Mahboob Musabih, Director General of Dubai Customs.

“Dubai Customs provides facilitated and streamlined services to the gold and diamonds sector and business groups. We have changed the stereotypical image about a customs organization from just a law enforcement body to a friendly supportive organization.”

“Our regular meetings at the Dubai Customs Consultative Council discuss the latest trends and issues within our community of business groups including health and food security, gold trade and passenger traffic. We have implemented a number of initiatives during the spread of the coronavirus to ensure a Dubai streamlined external trade and a sustainable business sector, thanks to a generous stimulus package which Dubai Government rolled out in support of businesses in the emirate.”

Salih Al Shamsi, Director of Air Customs Center Management, said they provide best and most advanced services to the gold and diamonds sector in the emirate in fulfilment of Dubai Customs’ vision of becoming the world’s leading customs administration supporting legitimate trade.

Dubai Customs transactions up 38 pc to 7m in H1

The number of customs transactions completed by Dubai Customs skyrocketed 38.5 percent in the first six months of 2020 to reach 7.2 million compared to 5.2 million transactions in the corresponding period in 2019.

Dubai Customs completed 134,000 business registration requests during the first half, growing 109 per cent from 64,000 in H1 2019, reported Emirates news agency Wam.

The stimulus package developed by Dubai Government includes a refund of 20 per cent on the customs fees imposed on imported products sold locally in Dubai markets and the cancellation of the AED50,000 ($13,610) bank guarantee or cash is required to undertake customs clearance activity. The initiative supported companies and the business sector in Dubai by enhancing liquidity and reducing the impact of the current global economic situation.

Customs declarations rose 48 percent in the first six months of this year to reach 6.2 million declarations compared to 4.2 million declarations in the corresponding period in the previous year. This means more than one million declarations a month on an average. The advanced Smart Workspace helped complete a declaration in four minutes on an average.

Dubai Customs also completed 432,000 refund requests, 262,300 certificate requests, and 173,600 inspection-booking requests in H1, 2020.

Saudi Arabia to be 24pc of Mena pharma market

Saudi Arabia is estimated to contribute $10.7 billion or 24 per cent towards Mena’s $44 billion pharma market by 2023, noted Informa Markets, the organisers of the leading regional pharmaceutical event, CPhI Middle East & Africa.

 In recent years, a range of healthcare reforms has taken place in Saudi Arabia to support and incentivise pharma manufacturers. These include 100 per cent foreign direct investment (FDI) into the sector, efforts to increase the total local pharmaceutical production by 20 per cent by the end of 2020, the launch of e-visas to make the country more accessible, as well as opportunities for business expansion, due to the country’s reliance on imported pharmaceuticals.

Furthermore, socioeconomic factors, including increased medical insurance coverage, a growing population, higher living standards, and the incidence of non-communicable diseases are all driving additional demand for pharmaceuticals within the kingdom.