Page 13 - AAA NOVEMBER - DECEMBER 2022 Online Magazine

© Boeing

“Aviation is a very complex industry, one that is very heavily reg- at the Boeing 767-200 and 300, they will be
ulated,” said Keinyte. “There is a lot of space for digitalization replaced by the A330s. This is a constantly
and introduction of technology. Due to the regulations, there is evolving game where older aircraft are being
a delay in seizing some technological opportunities. That is why phased out and new aircraft coming in which
the industry is not progressing as fast as some others.” are more sustainable and efficient.”
Of all the companies in the air cargo sector, Astral Aviation, which Change in consumer behavior, increasing
has announced plans to enter the Indian market, has perhaps the levels of spending power, and an expectation
most ambitious plan for fleet growth. The Nairobi-based cargo for speedy delivery of products and services
airline’s current fleet of 15 aircraft will double within three years, will spur the continued growth of the sector,
Gadhia said. Besides continuing to acquire Boeing aircraft, the added Strauss. “By 2030, there will be zero
company is also adding Airbus and Embraer freighters. people below the poverty line. That creates
“The Boeing 767-300 is coming in next year,” Gadhia added. consumer demand, changes the marketplace.
“We have also signed up for the Boeing 777-300 freighter. We Vessel shipping is still the dominant trans-
are the first airline in the world to acquire the A320 freighter. porter of goods around the world. Just one
We are getting the second A320 in January next year, followed percent of moving out of vessel shipping over
by the A321s which will all be operating out of India. We are to air cargo is about a 75 per cent increase in

also looking at the A330-330 and have signed up for two air- air cargo. If there is demand for faster move-
craft; it is a great aircraft that is designed to carry perishables ment of product currently shipped by ocean
and e-commerce. We are the first airline in the world to fly the freight, there’s not another solution outside
Embraer 190 freighter. The aircraft, which will be converted in of air cargo. I think it’s going to be pretty
Brazil and brought to Kenya, is capable of carrying 12 tonnes of smooth sailing until about 2030.”
cargo; they are very good for point to point.”

No Long-term Worries

It will be smooth sailing for the air cargo industry once the cur-
rent headwinds dissipate, believes Keinyte. “Long term, there will
be a growth in demand spurred by growth of e-commerce and
change in consumer behavior. There are certain regions that are
not sufficiently covered capacity wise.”

Gadhia believes the process of conversion of passenger aircraft
to freighters is constantly evolving, thus helping to balance
supply and demand. “When you look at the 747s, they are being
replaced by the Boeing 777s. When you look at the Boeing 757s
they will be replaced eventually by the A321s. When you look
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