• Air Algérie signs MoU to develop a modern cargo terminal at Algiers Airport.
• The project includes a 10,530 m² facility with 25,500 m³ storage capacity and a 12-month construction timeline.
• Strong cargo growth and rising African demand support the airline’s expansion strategy.

Air Algérie plans to build a modern cargo terminal as it accelerates logistics investments to strengthen competitiveness and capture high-potential trade corridors amid rising air freight demand in Africa.

The airline has signed a memorandum of understanding with the Société de gestion des services et infrastructures aéroportuaires d’Alger (SGSIA) to develop the platform. The project aims to improve national logistics efficiency and support Algeria’s economic diversification strategy.

The company will locate the new infrastructure in the southeast zone of Algiers Airport, where it will dedicate the facility to Air Algérie Cargo operations. The construction will last 12 months and will focus on upgrading Terminal 3. The facility will cover 10,530 square meters and offer a storage capacity of 25,500 cubic meters, while operators will fully dedicate it to cargo handling.

Moreover, the future center will include several operational areas. The design will integrate import and export cargo processing zones, modern warehouses, and cold storage units suited for sensitive and pharmaceutical products. The facility will also include rapid sorting systems, customs control areas, and loading and delivery docks. In addition, the project includes a 5,000 square meter land reserve to support medium-term expansion.

Expansion strategy backed by cargo growth

This project forms part of a broader expansion strategy for the airline’s cargo activities. Air Algérie plans to convert five aircraft into dedicated freighters to expand its network across high-potential markets in Africa, Asia and North America.

According to Chief Executive Officer Hamza Benhamouda, the cargo segment recorded growth of 26.5% in 2023, followed by a 31% increase in 2024, while activity maintained growth above 25% in 2025. The company expects this trend to continue over the medium term, with volumes projected to exceed 65,000 tonnes by 2029, compared with an increase of around 19,000 tonnes recorded in 2023.

Meanwhile, Air Algérie’s trajectory reflects a broader continental trend. Data from the International Air Transport Association (IATA) shows that African airlines recorded the fastest global growth in air cargo demand for the fifth consecutive month in February 2026. The data indicates that freight volumes, measured in tonne-kilometers, increased by 21% year-on-year.

Furthermore, the Africa–Asia corridor continues to drive this performance. Traffic on this route increased by 61.9% year-on-year, marking an eighth consecutive month of growth.

However, this momentum faces several risks. Geopolitical tensions, including the armed conflict in Iran, could disrupt trade flows in the short term. Over the longer term, structural constraints continue to limit African air cargo development, particularly gaps in logistics infrastructure and operational capacity, such as cargo terminals, sorting centers and specialized warehouses.

Henoc Dossa