IAG Cargo has reported a 44.6 per cent increase in commercial revenues in 2022 compared to pre-pandemic levels in 2019, to €1,615 million. This figure represents a 3.5 per cent decrease compared to 2021.

The cargo division of International Airlines Group has reported its full year financial results for 2022.

Overall yields for the year were down 3.7 per cent in comparison to 2021, while tonnage was up 4.1 per cent.

IAG Cargo said its network saw significant growth in 2022, “re-establishing its pre-pandemic shape”,  with the company now serving six continents. IAG Cargo noted that it was now operating 112 weekly services between India and London, up from 104 pre-Covid.

Additional enhancements to the network capacity came through the development of European freighter opportunities that fed into IAG Cargo’s hubs throughout the year, which has continued into 2023. The company said it also focused on enhancing customer experience by investing in digital capabilities, improving online merchandising, operational effectiveness and infrastructure. Developments included the installation of a new mechanical handling system at its hub in Madrid, Spain.

“IAG Cargo has a truly global reach and the ability to move the goods that drive the global economy. We have seen significant expansion to our Asia network, and I’m excited that our direct services between China and the UK will be back after a long pause in April,” said IAG Cargo’s chief executive officer David Shepherd.

“2022 has also seen us return to higher levels of handled tonnage through our hubs in London, Madrid and Dublin. Our investment in continuous improvement processes has resulted in the increased volumes being handled with greater productivity and performance than in previous years.”

Going paperless

In separate news, IAG Cargo is to introduce a charging fee for using paper air waybills (AWB) as part of its drive to become digital first.

From 3 April, customers who opt for paper AWB when booking cargo shipments will be charged a £10 fee, where switching to eAWB is free of charge.

“For years, the air cargo industry has relied on paper processes for the contract of carriage between freight forwarders and the airline. This adds up to more than 7,800 tonnes of paper documents processed per year – which is equivalent to 80 Boeing 747s full of paper,” stated IAG Cargo. “The eAWB not only offers a more sustainable alternative but also provides a seamless end-to-end service for its customers that eliminates the risk of human error.”

eAWB has been introduced as part of IAG Cargo’s ‘Destination Digital’ strategy to transform the business digitally. With nearly 50 per cent of customers already using eAWB, IAG Cargo is targeting an adoption rate of 100 per cent by the end of 2023.

IAG Cargo’s chief transformation officer David Rose said: “We are looking to lead the way with our customers worldwide when it comes to delivering a customer proposition that has quality and sustainability at its core. Our commitment to eAWB will see IAG Cargo significantly reducing paper usage through the cargo journey as we move to eAWB usage across our network. eAWB is the first step of many steps in our ambitious destination digital journey, and we are excited to use the data provided to roll out future digital initiatives that will see us become more sustainable and reliable.”