Iata stresses priorities for growth of global air cargo sector
The International Air Transport Association (Iata) has identified three priorities that must be implemented to meet the growing global demand for air freight and maximise the socioeconomic benefits of aviation, and has called on governments and the air cargo industry to focus on these priorities
:accelerate the rate of process modernisation; implement and enforce global standards; and keep borders open for trade.
The association’s viewpoint was put forward at the recent (13th) World Cargo Symposium, held in Singapore, by Iata director-general and CEO Alexandre de Juniac. The theme of the symposium was ‘Enabling Global Trade’.
“I call aviation The Business of Freedom,” he highlighted. “That is a big statement. And it is absolutely true. We bring people together, deliver 35% of global trade by value, foster commerce and make the world a smaller and more accessible place. As such, aviation is closely linked to most of the United Nations’ Sustainable Development Goals. And it is a vector of globalisation, which has lifted a billion people from poverty since 1990.”
Iata is urging the air cargo industry to modernise its processes, which will be essential to meet the growth of demand – predicted to reach 100% over the next 20 years. Already, customers in the industry’s most promising growth markets are calling for such modernisation. These rapidly growing markets are ecommerce, and the transport of time- and temperature-sensitive cargo, such as perishables and pharmaceuticals. Consequently, the association is pushing for the more rapid digitalisation of supply chains and better use of data to improve operational quality, as well as air freight facility modernisation.
“The ecommerce world is looking for fully automated high-rack warehouses, with autonomous green vehicles navigating through the facility, and employees equipped with artificial intelligence and augmented reality tools,” he pointed out. “The average cargo warehouse today is an impressive sight. But there is a huge gap to fill. The problem is not technology. The problem is speed to market, It’s exceptionally tough to drive change in a global industry with a huge number of stakeholders where safety is top priority. But it is not mission impossible. I challenge stakeholders to find ways to drive critical change at the speed our customers expect.”
With regard to global standards, Iata is calling on governments to implement and, when necessary, enforce global standards on a consistent basis. In his address, De Juniac focused on two particular examples – firstly, global standards for the safe shipment of lithium batteries (he reported that “rogue shippers” were ignoring these standards, with governments not enforcing the rules, despite lithium batteries posing a safety risk) and secondly, global agreements that make trade cheaper, simpler and faster should be implemented.Then there is the issue of keeping borders open for trade. “Protectionism, trade friction, Brexit (Britain exiting the European Union)and antiglobalisation rhetoric are part of a genre of developments that pose real risk to our business and broadly across the economies of the world,” emphasised De Juniac. “We need to be a strong voice reminding governments that the work of aviation – including air cargo – is critically important. Trade generates prosperity. And there are no long-term winners from trade wars or protectionist measures . . . Enabling global trade is a mission of great importance. It helps economies to grow. And, in doing so, it promotes better livelihoods and a better quality of life for real people in every corner of the planet. This is an integral part of why we call aviation the Business of Freedom. And nothing should stand in the way of air cargo delivering its unique contribution to the prosperity of our world.”
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