Middle East Airport Ground and Cargo Handling Services Market Size, Share & COVID-19 Impact Analysis, By Services (Passenger Handling, Baggage Handling, Cargo and Mail Handling, Aircraft Handling, Ramp Handling, and Others), By Airport Type (Domestic and International), By Infrastructure Type (Greenfield Airport and Brownfield Airport), and Regional Forecast, 2023-2030

The Middle East region is constituted under the rest of the world region in the global airport ground and cargo handling services market. It is projected to grow at a CAGR of 11.88% during the forecast period. The global airport ground and cargo handling services market is projected to grow from USD 35.23 billion in 2022 to USD 81.83 billion by 2030.

The growing adoption of airport ground and cargo handling services has led key market players in the region to increase their R&D investments for introducing new services. Additionally, the Middle East is anticipated to experience a major boost in airport ground and cargo handling services due to the development of smart airports. Increasing tourists in the Middle East also drive market growth. Citing an instance, in November 2022, Celebi Tanzania Airport Services Limited, a subsidiary of Çelebi Aviation, entered a new deal with Dubai-based aviation services company, flydubai. The deal was focused on the provision of ground-handling services in Tanzania. The services will be applied to Dar-es-salaam in Tanzania. Similar efforts from leading players will accelerate the Middle East airport ground and cargo handling services market growth during the forecast period.

Our report on the Middle East airport ground and cargo handling services market share covers the following countries/regions – UAE, Turkey, Qatar, Saudi Arabia, and the rest of the Middle East.

LATEST TRENDS

Modernization of Ground Handling Systems Offers New Growth Opportunities

The growing emphasis by authorities on the modernization and digitization of ground handling systems to improve overall safety, efficiency, and reliability of aircraft handling and ground operations is anticipated to propel the market growth. Technological advancements in robotics, mechatronics, electrical, and mechanical innovations are anticipated to play a major role in increasing the effectiveness and efficiency of ground-handling operations in the region. For instance, in October 2022, Qatar Airways Cargo partnered with Siemens Logistics and Qatar Aviation Services (QAS) to sign an MOU to accentuate and cooperate in the digitization of cargo handling processes. The project is anticipated to use latest data analytics and predictive maintenance applications. 

DRIVING FACTORS

Increased Use and Demand for Air Freight to Accelerate Market Growth

A critical factor driving the market growth is a rise in the demand for air freight. Air freight has continued to experience advantages such as the fastest delivery, high levels of security, and reduced risk of damage and theft in recent years. The demand is constantly growing—reliable departure and arrival times and low premiums. As per the International Air Transport Association (IATA) Air Cargo Market Analysis, air cargo expanded significantly in February 2021. In addition, Boeing has released the "World Air Cargo Forecast 2020-2039" forecast report that mentions global cargo ships will rise by over 60%, from 4,444 to 3,260 over the next 20 years. Hence an increasing demand for air freight transportation for the safe and fast delivery of goods is driving the market growth.

• For instance, in March 2022, Abu Dhabi-based trade and logistics company ATLP launched digital solutions to accentuate air cargo operations. The new service is predicted to boost the digitalization of Abu Dhabi logistics and trade and further enhance the company's capabilities.

RESTRAINING FACTORS

Growing Cross-Border Conflict and Increasing Terrorism to Limit the Market Growth 

Despite growing demand and adoption, the growing terrorism and cross-border conflict hampers the demand for airport ground and cargo handling services to some extent. The intensification of aviation terrorism can lead to significant economic losses for the entire industry and countries in the region. In addition, rising cross-border tension and cold war situations among the countries provide all the more reason for authorities to impose strict rules for security on airport services. As a result, operations are hampered and hinder demand for the airport ground and cargo handling services market.

KEY INDUSTRY PLAYERS

 Regarding the competitive landscape, Dnata is the key player in the Middle East market owing to a strong market presence and active involvement in R&D investments to accelerate service launches and approvals in the forecast period. Other prominent players, such as Havas Grounding Handling Co. and Qatar Aviation Services, are also leading the market due to their strong distribution network and diverse aesthetic indications for their product portfolio. Some of the other major players are Celebi ground handling and others. These companies are focused on strengthening their product portfolio and distribution network through strategic collaboration and partnerships to increase their market share in the Middle East market.

LIST OF KEY COMPANIES PROFILED:

• Havas Ground Handling Co. (Turkey)


• Dnata (UAE)


• Çelebi Ground Handling (Turkey)


• Qatar Aviation Services (Qatar)


• Qatar Airways Cargo (Qatar)

KEY INDUSTRY DEVELOPMENTS:

• January 2023: Dnata, a UAE-based travel services provider, unveiled operations at Tanzania’s  Zanzibar Abeid Amani Karume International Airport. This launch was established by partnering with SEGAP and Emirates Leisure Retail. The three companies are anticipated to deliver services for passengers and airlines at the T-3 terminal.


• December 2022: Saudi Ground Services partnered with Air Products Qudra to supply hydrogen for mobility solutions at DMM (King Fahd International Airport/Dammam) in Saudi Arabia. Saudi ground services is a leading provider of ground handling services for fleet solutions, cargo services, and passenger flights.


• October 2021: Qatar Airways Cargo, a Qatar-based air cargo company, partnered with SAL Saudi Logistics services to provide comprehensive ground support and logistics support services. The support services are expected to be provided at Saudi Arabia’s main airports in- Dammam, Riyadh, Medina, and Jeddah

REPORT COVERAGE

The Middle East airport ground and cargo handling services market report provides qualitative and quantitative insights into the market and a detailed analysis of the Middle East market size & growth rate. Along with the Middle East market forecast, the research report provides an elaborative analysis of the market dynamics and competitive landscape. Various key insights presented in the report are overview of the number of airports, an overview of price analysis of types of services, an overview of the regulatory scenario by key countries, pipeline analysis, new product launches, key industry developments – mergers, acquisitions & partnerships and the impact of COVID-19 on the market.

Report Scope and Segmentation