Growing global economy expected to be a boon for ULD market

When the air cargo industry is booming, as it is now, the good times can be felt in many areas of the supply chain – the airfreight container business is no different, according to a recent report’s conclusion the unit load device (ULD) business should grow by a compound annual growth rate (CAGR) of 4.3 percent between 2016 and 2021.

The report – “Global Air Cargo Containers Market by Material Type,” by a research group called WiseGuyReports – analyzed the ULD industry, breaking it down by material type, container type, aircraft type and many other factors. The researchers concluded that the main factors that are expected to drive growth the sector include the use of newer, lightweight materials in container that can carry more cargo per unit than their predecessors, as well as the recent growth in both global urbanization and consumers’ disposable incomes.

Cargo, the study found, is becoming an increasingly substantial part of the airline business today, representing about 9 percent of carriers’ annual revenues, on average, which is more than twice the revenues generated from first-class passenger ticket sales.

The ULDs identified in the study were mostly used for transporting high-value perishable items, such as pharmaceutical goods, as well as live animals in a safe and temperature-controlled environment. “This helps reduce the operational cost of airlines by saving them time and effort,” the study said.

The ULD report also studied the challenges, opportunities, and trends that are predicted to occur during the current growth period. For more information, visit the WiseGuyReports website.