Qantas domestic freight volumes & yield up

Despite the natural disasters that devastated transport infrastructure in many parts of Australia, Qantas has seen its domestic freight results increase as it has been a good year for the domestic freight industry driven partly by the relative strength of the Australian economy and the high Australian dollar.


Qantas domic freight comprises four segments – the domestic freight that connects to international markets, cargo terminal operations (CTO), subsidiary and domestic joint ventures which are equity accounted and excluded from the airline’s revenue reporting and its domestic capacity.

“Like our international operations, revenue for our domestic JVs in FY11 is well up – year-on-year – from the trough of FY10 and also FY09. Volumes and yields have also seen a significant improvement across all our domestic road, CTO and air freight businesses,” says Lisa Brock, who was appointed executive manager Qantas Freight (QF), the international air cargo and logistics division of Qantas Airways, in February 2011.

Qantas freight
In May, Qantas announced the reorganisation of Australian air Express (AaE) – operated as a joint venture by Qantas Freight and Australia Post – and Startrack Express businesses to consolidate common functions. AaE will continue to leverage on Qantas’s airportto- airport air linehaul network and CTO operations while Startrack will manage the retail operations to deliver the full potential of the two leading domestic freight brands.

“AaE, which has exclusive rights to market the cargo capacity on the entire QF domestic network of around 2,400 flights per week, also operates four B737 and three Bae 146 freighters and cargo terminals in major and regional hubs – sometimes in competition to the Qantas Freight part of its business,” Brock says, adding that AaE carries around 225 million freight tonne kilometres across its passenger, freighter and road network.