ABSTRACT
The air cargo industry lurches from periods of deep pessimism when large network carriers state their intention to discontinue freighter services for good to times of optimism and strong growth. The adage 'by all means predict a number, and by all means specify a date; but never do both' is apposite to the airline forecaster. It is these longer-term prospects for the industry that still look reasonably good and is these that drive investment plans. Short-term forecasts meet many needs like planning company priorities and efforts; seeking market opportunities; setting budgets, providing a basis for cost allocation and revenue generation; and monitoring internal activities, but longer-term projections are needed for facilities planning due to their long service life, and sometimes long lead time. Forecasts are needed by airlines that carry cargo, airports that handle cargo and the various suppliers to these activities such as forwarders, handlers, investors, financiers, consultants and IT specialists.
