Industry has not yet hit bottom: IATA Continued falling cargo demand has led the International Air Transport Association (IATA) to urge the cargo supply chain to improve security and efficiency to deliver a more enticing product. In remarks delivered by video to IATA’s World Cargo Symposium in Bangkok, CEO Giovanni Bisignani said: “The industry is in crisis and nobody knows that better than our cargo colleagues. Cargo demand has fallen off a cliff.” ¡°After a shocking 22.6 per cent decrease in December it dropped a further 23.2 per cent in January,” he said. Air cargo has long been a good indicator the global economy, with 35 per cent of the value of goods traded internationally transported by air. It also represents 10 per cent of industry revenues. Last December, IATA forecast that in 2009 there would be a 9 per cent drop in freight revenues to US$54 billion. This figure comprised of the 5 per cent drop in freight volumes and a drop in yields. But Bisignani warned that the current fall in demand has made those projections ¡°look optimistic¡±. ¡°The continued decline in cargo markets is a clear sign that we have not yet seen the bottom of this economic crisis,” he warned. Bisignani called on cargo industry professionals to look for opportunities to build a more efficient customer-focused industry. ¡°Customers want a good price and a great product, delivered via the supply chain with speed and reliability. And in crisis, customers will only get more demanding,” he said.