Airasia Sees Increase In Cargo Revenue

21 January 2010

KUALA LUMPUR -- Low-cost carrier, AirAsia, has target to increase cargo revenue by more than 40 per cent over last year's performance.

In a statement Thursday, AirAsia said its cargo segment would be a major area of growth for 2010, with South Asia being of particular interest to the airline.

As demand for cargo picks up, AirAsia said it was aggresively growing its markets and utilising Special Prorate Agreements (SPA) with various airlines to achieve the 2010 target.

It is also reaching out to markets beyond current routes to more cities in South Asia, East Asia, the Middle East, Africa and Europe, through other airlines via the SPA agreements.

AirAsia is also tying up with more cargo agents and large import-export firms in the markets it flies to.

"We've been signing up more key players in the cargo industry. Our competitive prices allow us to also increase business with individual senders," AirAsia's regional head of cargo, Sathis Manoharen said.

In line with the growth, he said domestic cargo operations are also expected to receive a boost, especially from the seafood industry.

This industry is currently among AirAsia's significant cargo revenue sources.

-- BERNAMA