Yield decline is still the biggest concern for the air cargo industry, according to one of the biggest ever surveys of some 500 senior executives by The International Air Cargo Association (TIACA).

The research was conducted recently at TIACA's 21st International Air Cargo Forum and Exposition in Hong Kong. The 500 executives that took part in the survey were primarily chief executives, vice presidents, directors and managers of air cargo organisations in Asia, the Americas and Europe. Asked to identify the biggest problem confronting the air cargo industry, 31 per cent stated 'declining yields'. Over-regulation of the industry was considered the second biggest issue by 25 per cent of voters with security and over capacity polling 14 per cent and 11 per cent respectively.

Looking at the economic outlook for air cargo, 60 per cent said they were optimistic about prospects for the industry over the next 12 months with only 12 per cent stating they were pessimistic. Asked how long they thought the present downturn would last, 28 per cent said one year, 41 per cent indicated two years with 30 per cent forecasting a recovery period of three years or longer.
Asked to comment on other topical issues, the executives said:

Air cargo security
- 83 per cent said all new security measures should be harmonised internationally
- 43 per cent said shippers should pay for new security measures
- 42 per cent believed governments should bear the financial burden of new air cargo security procedures
- Only 14 per cent said airlines and forwarders should be responsible for any additional costs

Automation
- 51% said 'yes' electronic transfer will replace most or all of the present air cargo documents within the next 3 to 5 years

Larry Coyne, President of TIACA, said: " There have been very few occasions in recent years when so many top air cargo executives have participated in such a survey so we did not want to waste the unique opportunity our biennial Air Cargo Forum provides.

" The feedback we have received is based on the thoughts of people running businesses that generate many billions of dollars a year in revenues. It is revealing that while security is uppermost in everyone's minds, it is the issue of yield decline that still tops the agenda for companies today. This is a subject we intend to cover in much greater detail at TIACA's AGM and conference in France in February."

TIACA's 21st Air Cargo Forum once again highlighted the pulling power of the event. Over four days, over 4,700 people participated in the event, more than double the previous record attendance at the last Forum in Washington in 2000. Delegates represented 71 countries, the vast majority coming from Hong Kong and China, the USA and Europe. They were joined by industry executives from as far afield as Australia, Argentina, Bangladesh, Denmark, Iceland, Jamaica, Kenya, Lebanon, Mauritius, New Zealand, Pakistan, Peru, Saudi Arabia, Taiwan, Uzbekistan and Vietnam.

Hong Kong also attracted the highest-ever number of exhibitors with 250 individual companies filling 400 booths, 20 per cent up on the previous event. Daniel Fernandez, Secretary-General of TIACA, said: " We are absolutely thrilled with the quality and size of attendance at ACF 2002. The last 18 months has been particularly challenging for the air cargo industry so to see our attendance more than double is a sign of the importance the industry places on taking part in this unique event.