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Hamilton International Airport’s cargo flights soar, while passenger trips plunge in 2021

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From The Hamilton Spectator 🔗 link to source story • thanks to CW

By Kevin Werner, Reporter • February 25, 2022

Hamilton International Airport saw an increase in cargo flights in 2021, but passenger numbers because of pandemic restrictions plunged to just over 250,000 people.

It was the best of times for the Hamilton International Airport in 2021, but also the worst of times for the facility.

The airport saw only 250,019 passengers take off from the Mount Hope facility, a 66 per cent drop from 2019 when the number of passengers hit a high of 955,373, nearing the airport’s 1 million passenger goal.

Cathie Puckering, the airport’s chief executive officer, said the COVID-19 pandemic and health restrictions continue to impact passenger service.

“We are about one-third of where we were before the pandemic,” she told Hamilton’s airport subcommittee on Feb. 24. “(The decline) is no different than what other airports are experiencing around the world.”

However, while passenger traffic dropped, the airport’s cargo business soared in 2021 with 766,394 million kilograms, a 44 per cent increase from 2019 when it was 532,235 million kilograms.

Puckering said that pre-pandemic the airport was already seeing its cargo service take off, but the pandemic has only accelerated it, especially with the increase in e-commerce.

“There are greater demands on supply chains and logistics,” she said. “We were well positioned before the pandemic.”

She said cargo growth is projected to continue to jump over the next two years.

“It is not just a blip. These are sustainable long-term goals.”

Despite the passenger number plunge, the airport’s 2021 revenue still managed to be $7.9 million, jetting ahead of last year’s $6 million, but still lower than the $8.4 million in 2019.

The airport continues to be one of Hamilton’s major economic drivers, employing just over 4,700 people, an increase from 3,400 in 2017. Cole Horncastle, the airport’s executive managing director, said the facility’s cargo service employs about 3,000 people and has about $1 billion in industry activity.

The airport is home to Purolator, Canada Post, UPS and Cargojet, along with DHL and Amazon.

The city benefited from over $950,000 in rent from the airport, and another $1.8 million in rent and taxes to the city from its tenants, an increase of $550,000 over 2020.

Puckering said about $83 million in infrastructure investment was made into the airport last year by TradePort, along with DHL, Amazon, KF Aerospace. DHL’s new $110 million International Gateway facility led the way when it opened last September adding about 150 jobs to the area.

TradePort spent about $3.3 million in capital projects including a new field electrical centre, office improvements, and planning and design work to taxiway rehabilitation projects that are scheduled for 2022.

She said not only is Hamilton one of the largest domestic cargo routes, but it has expanded internationally, including in the United States and Europe.

Puckering said despite the airport’s low passenger numbers, there is hope on the horizon. Swoop and WestJet have both announced they will add flights out of the airport for this summer to international destinations and expanding Canadian locations.

“There is an encouraging comeback,” said Puckering. “It is really about the confidence and eliminating the restrictions that are complicating the travel experience. What our role is, is really getting those bums in seats.”

Swoop recently announced adding six additional aircraft to its 10 existing fleet and will serve five new destinations including Las Vegas, St. Pete-Clearwater, Orlando and Phoenix. The low-cost Canadian airline is also expanding its domestic routes to 14 including Deer Lake and St. John’s, Newfoundland

Swoop officials are projecting pent-up demand for leisure travel this summer will see 30.5 million fully vaccinated Canadians taking a trip. It is also expected that Sunwing and Transat will return to the airport at the end of the year.

Horncastle said there will be an additional 21 weekly flights available this summer from Hamilton, predominately to Maritime destinations, about 80 per cent of the number of flights that was available in 2019.

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