CARGOCONNECT JULY2024 - Flipbook - Page 16
FOCUS : AIR FREIGHT
from smaller cities and remote regions, thereby democratising
access to air transport across India.
Looking ahead, India’s aviation sector holds a triune promise
for the next decade: continued growth in the domestic market
to better serve its vast population, a potential surge in freight
services and programmes, and a signi昀椀cant uptick in Indian
outbound services. These developments are set to further solidify
India’s increasing role in the global aviation landscape and
highlight opportunities for further expansion and connectivity
in the years to come.
The air cargo segment is experiencing a positive trend, largely
due to the rise of e-commerce and the increasing importance
of rapid product delivery. The government is actively engaged
in planning the future of the air cargo sector, focussing on
addressing key issues to achieve immediate objectives. Over time,
tier II airports have made signi昀椀cant strides in infrastructure
India’s aviation market is growing at an astonishing rate and
development. Upgraded cargo terminals, enhanced road networks,
undergoing major transformation. This growth potential extends
and improved amenities have made these airports attractive
to both passenger and cargo movements, underpinned by
to airlines and cargo management entities alike. Concurrently,
evolving policies, improving infrastructure, and technological
tier I airports continue to undergo rapid development, o昀昀ering
advancements.
substantial opportunities for growth in the thriving air cargo sector.
The Indian aviation industry has achieved stability and
“In response to the growing freight transport demands
signi昀椀cant expansion, with projections indicating a substantial
across Indian airports, several aviation developments and
increase in airline capacity. By 2024, departing seat capacity is
innovations are poised to make a signi昀椀cant impact,” re昀氀ects
expected to reach 230 million, nearly double the capacity seen
Keku Bomi Gazder, Managing Director and CEO, Aviapro
in 2014. Domestically, airline capacity has consistently outpaced
Logistic Services. He emphasises the crucial role of expanding
international growth, growing at an average annual rate of 8.7 per
and modernising airport infrastructure, stating, “Major airports
cent from 2005 to 2024, compared to 6 per cent for international
such as Delhi, Mumbai, and Bengaluru are currently undergoing
capacity. This disparity historically stemmed from regulations
substantial upgrades to enhance their cargo handling capacities.
that required foreign carriers to establish a domestic presence
These expansions include the construction of dedicated cargo
before operating international 昀氀ights.
terminals equipped with state-of-the-art technology to expedite
Over the past decade, there has been a notable shift in focus
processing and improve overall e昀케ciency.”
within India’s aviation sector from metropolitan areas to tier
Additionally, Gazder highlights the implementation of the
II and III cities, which were previously overlooked. These
National Air Cargo Policy Outline (NACPO) by the Indian
cities are now emerging as signi昀椀cant contributors to
government aims to create a structured and e昀케cient
the sector, driven by steady economic growth and
framework for the air cargo industry. “The policy
increasing urbanisation, which have expanded
focusses on developing air freight stations, inteThe air cargo segment
the middle-class population. A pivotal initiative
grating cargo hubs with multimodal logistics
is experiencing a positive
in this transformation has been the UDAN
parks, and simplifying customs procedures to
trend, largely due to the
scheme, launched in 2016 as “Ude Desh ka
expedite cargo movement.”
rise of e-commerce and the
Aam Nagrik”, which aims to enhance regional
Gazder also underscores the pivotal role
increasing importance of rapid
connectivity through a昀昀ordable and extensive
product delivery. The government of public-private partnerships in driving
air travel capabilities. This scheme has played
is actively engaged in planning the innovation and investment across critical
a crucial role in promoting air travel to and
infrastructure, technology, and services.
future of the sector, focussing
A
Decade of Transformation
on addressing key issues
to achieve immediate
objectives.
16 | CARGOCONNECT JULY 2024
