Air cargo growth may support up to 12,000 jobs
STUDY SHOWS ADVANTAGES TO HELP SUPPORT FREIGHT DEMAND
EAST Midlands Airport (EMA) says it is poised to bolster its role in powering UK trade, with tens of thousands of jobs and billions of pounds in economic value unlocked by growth in its cargo operation.
A study concluded airport has a unique combination of strengths that make it perfectly placed to support increased demand for air freight.
The report, by York Aviation, said air cargo growth at the Castle Donington airport will support between £687 million and £1.8 billion in additional GVA (gross value added) and between 2,700 and 12,600 extra jobs by 2030.
It highlighted a number of factors which help EMA, including:
■ Its central location and proximity to the national road and rail networks;
■ Fewer restrictions around night flying than other airports, enabling an increase in capacity and capability by running a 24-hour operation;
■ The freight is carried in dedicated cargo aircraft, not in the belly-hold of passenger planes as is the case at Heathrow and elsewhere, which for EMA means no flight slot constraints.
This fastest-growing type of air cargo is tipped to account for an increasing share of all goods shipped around the world.
■ EMA’s single runway with direct access to cargo integrator hubs.
Another advantage is its proximity to major logistics firms often the origins and destinations of air freight.
EMA is within 125 miles of 80 per cent of all large-scale warehousing in England and Wales, compared to 53 per cent for Heathrow.
Managing director Steve Griffiths said: “This report confirms EMA’s status as the UK’s most important express air freight hub, powering seamless trade for the whole of the country.
“It highlights how some of our unique attributes, including our ability to offer a 24-hour service, allow us to punch well above our weight.
“What’s really encouraging is it spells out the potential for EMA to meet growing demand for air cargo as London airports, whose cargo operations rely on passenger flights subject to greater restrictions, become congested and reach capacity.
“This growth in our share of the air cargo market will add significantly to the substantial contribution we already make to the regional and wider economy.”
A recent example of growth was the move by cargo airline One Air from Heathrow to East Midlands.
More logistics developments close to the airport are expected to add to this in the coming years, with some investors attracted by the Freeport status and incentives.
EMA contributes around £443 million GVA to the regional economy, handling about 400,000 tonnes of cargo and 4 million passengers every year.
The three major cargo integrators – DHL, UPS and Fedex – have their main UK hubs at EMA, providing one-stop connections between the region and more than 180 of the world’s most important economic powerhouses.
The airport is estimated to be supporting the continued presence of about 100 top corporates in the East Midlands with a combined turnover of more than £16 billion and so is enabling their contribution to regional GVA.