$6m a week to keep cargo flowing
The Government is spending on average $6 million a week subsidising airlines to keep air cargo moving during the coronavirus pandemic.
The Government is also looking at opportunities to use cargo flights to repatriate Kiwis stuck overseas because of a collapse of international air links worldwide.
With the number of passenger flights into New Zealand having plummeted because of the impact of Covid-19, so too has capacity for air freight, a large amount of which was historically carried in the belly hold of passenger aircraft.
Transport Minister Phil Twyford said there were currently around 90 commercial and charter flights into New Zealand each week. Before Covid-19 there would have been more than 600 flights a week.
Government support for international air freight capacity had so far added 56 weekly cargo flights to New Zealand, with more expected, he said.
The Government put $330 million of a $600m Covid-19 package for the aviation sector towards an International Air Freight Capacity scheme to add capacity for high-value export cargo and maintain trade links with key global markets while also ensuring essential imports such as medical supplies.
Funding is provided to guarantee cargo on key routes under agreements with carriers. Carriers then offer that capacity directly to freight customers on commercial terms.
‘‘We invited commercial proposals to deliver air freight capacity with key markets,’’ Twyford said.
The first successful applicants were Air New Zealand, China Airlines, Emirates, Freightways Express, Qantas and Tasman Cargo.
‘‘We are working with other carriers, and expect to make further announcements shortly,’’ Twyford said. ‘‘There is a huge demand for air freight, at a time when capacity is limited. This scheme helps provide certainty for business, while airlines and carriers respond to a changing world.’’