The latest figures released by the International Air Transport Association (IATA) indicate that in February demand for international freight increased by 2.4 per cent, down from three per cent growth in January.

The February result marks the eighth consecutive month of slower growth, with industry experts pointing to the high cost of fuel as a reason for the trend, with shippers turning to cheaper modes of transport for their goods, including carriage by road and sea.

In February the highest demand for airfreight was seen in the Middle East with growth at 15.4 per cent driven by greater capacity and oil-led economic growth.

Elsewhere, high fuel costs and increased competition dampened growth particularly on short haul routes, with Asia recording a weaker increase of 4.4 per cent, while demand in Europe fell by 0.6 per cent, Africa was down 2.0 per cent, North America's demand for airfreight shrunk by 0.5 per cent compared to six per cent growth for the same month a year ago. IATA attributed the drop in North America to the shrinking impact of 2006's redeployment of greater capacity to international trade routes.

Latin America suffered the greatest fall in demand for airfreight at 20.2 per cent which IATA blamed on restructuring.