Nakheel Dubai International City

Garuda plans to extend its Middle East and Europe network

Garuda, Indonesia's largest air cargo carrier, is expanding its network and plans to grow its fresh produce market across the Middle East and Europe, Tjipto Ismojo, manager cargo marketing research and development Garuda Indonesia told Fruitnet.com.

The carrier, which handled around 400 tonnes of fresh produce in 2009, saw its overall cargo volumes jump 71 per cent this year thanks a traffic rebound and Garuda's increased capacity, Mr Ismojo revealed. The carrier expects volumes to rise by a further 15 per cent next year, he said.

Over 70 per cent of the fresh produce Garuda handles is flown to China, and the remaining volume is currently split between the Middle East, South East Asia and Europe.

In a separate development, the strength of the Australian dollar and limited supply has dented fresh produce air cargo volumes out of Australia this year, according to Wade Bollard of Australian freight forwarding company CT Freight.

'Overall we have seen a 10 per cent decline in volumes, however we hope to see this trend reversed in the New Year with a strong stonefruit season,' he told Fruitnet.com. 'Overall, though, growth is highly dependent on the state of the Australian dollar over the coming months.'

Produce volumes into Asia have declined steadily over the last few years, he added, as new and cheaper suppliers have come onto the market, such as China and South America.

'The focus for a lot of Australian exporters has shifted to the Middle East,' Mr Wade added.