RwandAir has introduced a cargo flight carrying up to 23 tons of commodities, aiming to increase export volumes to international markets. The national carrier's move has brought optimism among agricultural produce exporters. They cite lack of cargo space as a major limitation on export volumes. The additional space provided by RwandAir's cargo flight is expected to trigger an increase in export volumes. Exporters have reported a significant change in their operations since the introduction of the cargo flight.
Robert Rukundo, an exporter and president of Rwanda Horticulture Exporters Association, highlighted the positive impact of the cargo flight on his business. He stated that the cost of transportation has reduced due to increased competition. Cargo rates from Kigali to European Union and UK markets have decreased from $200 per kilogram to $1.8. Similarly, rates to Dubai, Qatar, and East and Central African countries have dropped to $1.1, $1.2, and $1.2 per kilogram, respectively.
The recent launch of a cargo hub in Kigali by RwandAir and Qatar Airways is expected to increase access to export markets. The hub is part of RwandAir's long-term strategic plan for its cargo division, which has seen a 26 percent rise in cargo carried over the last five years. This development is likely to benefit exporters, who have been struggling with high cargo costs. Increased competition in the cargo market is anticipated to lead to better prices for exporters.
RwandAir's cargo division has experienced significant growth, with cargo carried rising by nearly 26 percent in the last five years. The airline transported a total of 3,744 tons of cargo in 2022. The majority of shipments went to Dubai, the United Kingdom, and Belgium. In comparison, RwandAir transported 3,129 tons in 2019, 3,253 tons in 2020, and 3,889 tons in 2021.
Qatar Airways Cargo has also expanded its services in Kigali, introducing intra-Africa services between Kigali and Lagos, Kigali and Johannesburg, and a weekly service from Istanbul via Doha to Kigali. These services are operated by a single wet-leased A310 200 freighter. The increased air cargo capacity is expected to support Rwanda's export sector, which has been growing steadily.
Exporters have welcomed the development, citing the benefits of increased competition and reduced transportation costs. They anticipate that the cargo hub will provide more opportunities for them to access international markets. The growth of Rwanda's export sector is likely to contribute to the country's economic development.
The launch of the Kigali cargo hub is a significant milestone for RwandAir and Qatar Airways. The hub is expected to play a critical role in supporting the growth of Rwanda's export sector. With increased air cargo capacity and reduced transportation costs, exporters are optimistic about their prospects for growth and expansion into international markets.
Key points
- RwandAir's cargo division has seen a 26 percent rise in cargo carried over the last five years.
- The Kigali cargo hub is expected to increase access to export markets for Rwandan exporters.
- Cargo rates from Kigali to European Union and UK markets have decreased significantly since RwandAir introduced its cargo flight.
