South African trade moves away from air cargo as ocean rates tumble

South Africa is set to see a shift from air freight as importers and exporters eye tumbling sea freight rates and improved ocean reliability.

The automotive industry in particular will rely less on air, delegates heard at last week’s Air Cargo Africa event in Johannesburg.

“The market has been very volatile,” explained Renaj Moothilal, executive director of South Africa’s component manufacturer association, NAACAM. “The component market depends on a globally integrated value chain. You can’t have 99% of components, you need 100%.