Cathay Pacific enjoys 2.4pc pre-Christmas cargo increase in September

HONG KONG's Cathay Pacific has posted a 2.4 per cent increase in September cargo volumes year on year - the first uptick in 18 months, but still well below the record highs of 2010.

The volume increase was attributed to Christmas orders, and in particular, high-tech electronic products.

Chief operating officer Ivan Chu said freight volume has increased in small incremental steps, but continues to be pressured by high fuel prices and the slump in Asia-Europe traffic for both cargo and passenger segments.

Cathay's cargo operating yield improved during the first half due to acquisition of fuel efficient aircraft such as the 747-800F. It has parked older and less efficient aircraft in two of its 747-400BCFs (Boeing Freight Conversions) and a third leased out to Hong Kong Airlines.

Rival Singapore Airlines has also reduced its capacity in its cargo unit by parking up 13 Boeing 747Fs in a bid to claw back from its third quarter profit drop of 54 per cent.

"The 747-800F is the world's biggest cargo aircraft, which can carry 130 tonnes of goods per flight and consumes 20 to 25 per cent less fuel," said Mr Chu.