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The Crucial Role of Sustainability in Air Cargo

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Air cargo is a silent force in global commerce, powering the movement of goods across borders with efficiency. As the world faces drastic challenges, from the pandemic to geopolitical uncertainties, the significance of air cargo in sustaining economies can’t be overstated. Amidst these dynamic changes, the imperative for sustainability in air cargo operations looms large, ushering in a new era of responsibility and resilience.

 

“Air cargo is an unsung hero of the global economy. In normal times, it delivers some 35% of the value of goods traded across borders. In the pandemic, air cargo brought medical supplies and vaccines to where they were needed. And today it is providing a vital transport alternative for some products as Red Sea shipping lanes face geopolitical uncertainty. When air cargo’s global leaders gather in Hong Kong for the IATA World Cargo Symposium, ensuring the future reliability and growth of this critical sector will be top of mind with an agenda focused on sustainability, digitalization, safety and security,” said Brendan Sullivan, IATA’s Global Head of Cargo.

 

The Foundation of Sustainable Air Cargo

Sustainability lies at the core of air cargo’s future viability and growth. At its essence, sustainability surrounds environmental administration, social responsibility, and economic resilience. The convergence of these pillars forms the foundation upon which the air cargo industry can thrive amidst evolving challenges.

 

Environmental Administration

The environmental footprint of air cargo operations has garnered increasing scrutiny in an era defined by climate change awareness. As stakeholders acknowledge the industry’s carbon emissions and ecological impact, the urge for sustainable practices becomes priority. Implementing measures to reduce fuel consumption, optimize flight routes, and invest in eco-friendly technologies are pivotal steps towards mitigating environmental harm.

 

Social Responsibility

Beyond its economic contributions, air cargo plays a crucial role in fostering social welfare and humanitarian aid. From delivering life-saving medical supplies during pandemics to transporting essential goods to remote regions, the industry serves as a lifeline for communities worldwide. Embracing social responsibility entails prioritizing the welfare of workers, as well as promoting diversity and inclusion, and fostering equitable access to opportunities across the supply chain.

 

Economic Resilience

Sustainability extends beyond environmental and social dimensions to encompass economic resilience. By fostering innovation, enhancing operational efficiency, and embracing digitalization, the industry can navigate market fluctuations and economic uncertainties with agility. Investing in sustainable growth strategies ensures long-term viability and prosperity for stakeholders across the air cargo ecosystem.

 

Navigating Towards a Sustainable Future

The upcoming IATA World Cargo Symposium focuses on sustainability, digitalization, safety, and security. This pivotal gathering serves as a catalyst for collective action, driving the industry towards a sustainable future grounded in innovation and responsibility.

 

Digitalization

The key to unlocking new efficiencies and optimizing operations across the air cargo value chain. From automated cargo handling systems to blockchain-enabled supply chain transparency, digital innovations empower stakeholders to streamline processes, reduce waste, and enhance traceability.

 

Safety and Security

Implementing robust security protocols, investing in advanced technologies, and fostering collaboration among industry stakeholders are essential steps towards safeguarding the integrity of the supply chain.

Sustainability emerges as the guiding star of air industry operations. Through concerted efforts and collaborative initiatives, the industry can chart a course towards a more sustainable and resilient future, navigating the skies with purpose and perseverance.

 

For more about the air industry, visit our website.

2023’s Air Cargo Market Revival and Its Impact on Global Trade

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The International Air Transport Association (IATA) has released its report on the global air cargo markets for 2023, revealing a resurgence in demand, particularly in the fourth quarter of the year, despite economic uncertainties.

The IATA report paints a dynamic picture of the air cargo sector in 2023. While the annual total demand, measured in freight tonne kilometers (FTK), decreased by 1.9% compared to 2022, it managed to hover just slightly below the 2019 levels. This slight dip in demand shows the persistent economic challenges faced worldwide.

However, there was a surge in cargo capacity in 2023, with available freight tonne kilometers (AFTK) soaring by 11.3% above 2022 levels and 2.5% above pre-COVID levels from 2019. December 2023, in particular, experienced a boost in global demand, marking an annual growth of 10.8% compared to 2022, representing the biggest growth in the past two years.

Air Cargo Revival from the Global Trade Perspective

One key indicator of the air cargo market’s vitality is its correlation with global trade. The revival of global cross-border trade, which witnessed growth for the third consecutive month in October, marked a turnaround from previous downward trend. This is a positive signal for the aviation industry.

Inflation rates in both the United States and the European Union remained below 3.5% annually in December. However, China experienced deflation for the third consecutive month. Meanwhile, the Purchasing Managers’ Index (PMI) for manufacturing production and new export orders continued to indicate contraction, staying below the 50 mark in December.

Benefits of the Air Cargo Resurgence

The resurgence in air cargo demand carries several benefits for various stakeholders and the global economy as a whole:

1. Accelerated Trade: The revival in air cargo facilitates the swift movement of goods across borders, reducing transit times and ensuring the delivery on time. This stimulates international trade by eliminating bottlenecks caused by extended shipping durations.

2. Economic Recovery: The air cargo sector’s recovery supports economic revitalization by providing a lifeline to industries heavily reliant on timely deliveries, such as manufacturing, electronics, and pharmaceuticals. As these industries flourish, they create jobs and spur economic growth.

3. Supply Chain Stability: The stability and reliability of air cargo help mitigate supply chain disruptions. Having an efficient air cargo network ensures that essential goods, including medical supplies and perishable items, reach their destinations without delay.

4. Enhanced Market Access: For businesses, it offers greater market access and the ability to respond swiftly to changing market conditions. It allows companies to dive into new customer bases and seize emerging opportunities.

5. Global Connectivity: Air cargo connects businesses and consumers worldwide, fostering a global marketplace where goods from every corner of the globe can be exchanged seamlessly. This promotes cultural exchange and cooperation on a global scale.

Consequences of Air Cargo Demand Decline

Conversely, a decrease in air cargo demand can have adverse consequences:

1. Economic Contraction: A sustained decline in air cargo demand can signify economic contraction, as it indicates reduced consumer spending and production. This can lead to job losses and decreased business activity.

2. Supply Chain Disruptions: Reduced demand can lead to supply chain bottlenecks, delayed deliveries, and an inability to meet consumer demand promptly. This can negatively impact businesses and their relationships with customers.

3. Reduced International Trade: Declining demand can also slow down international trade, limiting access to foreign markets and affecting the competitiveness of businesses that rely on global distribution networks.

4. Financial Strain: Airlines and cargo operators may experience financial strain, leading to cutbacks in operations, route cancellations, and layoffs, which, in turn, can have a domino effect on related industries.

The Sky’s the Limit

The resurgence of air cargo demand in 2023 paints a promising picture for global trade and economic recovery. Despite initial challenges, the industry managed to rebound in the fourth quarter, indicating a return to more stable demand patterns.

However, it’s crucial to follow these trends closely, as they provide valuable insights into the state of the global economy. The benefits are far-reaching, contributing to economic growth, supply chain stability, and increased market access.

You can read the complete report here.

For more insights about the aviation industry, visit our blog.

Digital Credentials at Aruba Airport

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The Government of Aruba, along with aviation technology company SITA and digital identity verification company IndicioTech, has introduced a new way to simplify the travel process for passengers arriving on the island.

The use of Digital Travel credentials (DTC) technology has made it possible for travelers to meet immigration requirements before reaching their destination.

This DTC technology has eliminated the need for passengers to manually enter their travel document information by hand, optimizing the travel authorization process.

Thanks to this, passengers can share their data through digital wallets and from their mobile devices at checkpoints such as immigration or other points of contact such as hotels or car rental companies.

The DTC technology is reliable and complies with International Civil Aviation Organization (ICAO) standards. This means that passengers can create their digital credentials with their physical passports, and the data will be stored in the digital wallet.

A Success Story…

Due to the pandemic that occurred in 2020, tests were carried out on DTC technology for the health management of travelers regarding COVID vaccines and tests.

The Minister of Tourism and Public Health of Aruba, Dangui Oduber, highlighted that “innovation within the tourism industry has always been a focal point in our strategic vision and policy formulation. We are pleased that Aruba is part of this innovative progress, which ensures quality and excellence for all our visitors.”

This makes it clear that innovation and new technologies are also present in Aruba as part of the strategic and visionary expansion of tourism on the island.

Finally, simplification is also part of the aviation industry, which increasingly seeks automation in its processes, recognizing that there are more benefits to optimizing controls.

 

The future of passenger traffic

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The operation and development of an airport are paramount to avoid delays and inconveniences in air traffic. The communication between airlines and airports must be effective to minimize mishaps. 

The participation of both plays a fundamental role to respect the regulations stipulated for air transportation. And keep the management and transit of passengers as impeccable as possible. 

Behind good management and development, there is an infinite amount of paperwork, permits, invoices, contracts, and transactions that the passenger does not perceive.

Goodbye to paper

Nowadays, almost all processes are automated. However, some processes are always left aside, and are fundamental for payment management processes.  

Have you ever wondered how many people pass through an airport daily or perhaps how many flights take place worldwide? Keeping track manually is not entirely feasible due to the number of boarding passes or paperwork you see daily.

At GP Nauticals AIMS SUITE we have created PAX AIMS, the passenger control system that will allow both the airport and the airlines to have accurate control of the number of people transiting through the airport. 

In addition, to carry out a database that allows both the airport and the airline to be able to audit effectively and make the invoices for the collection of fees and services, in less time and automatically. Without the need to make a paper count with paper and then filter the information. 

Finally, time is reduced, there is better control of passenger data, and invoices are issued in an optimized way. 

How do PAX AIMS work?

PAX AIMS technology is software that is implemented through an optical reader device, mobile or fixed that must have an internet connection. This gives you the facility to adapt at various points of the airport to keep track of passengers entering the airport.

This device is subject to the IATA protocol, where you can make use of a barcode or QR code to scan the boarding pass and obtain accurate data. 

For the passenger, there will be no extra control. For the airport and airlines, it will be easier to keep track of incoming passengers. 

Once the scan is done, that information goes directly to the airline and the airport to avoid cumbersome processes. 

It should be noted that with PAX AIMS when the service is implemented, there is a training manual for customers. In this way, there is no need for an external provider. Everything is done quickly and easily. 

Want to know more about PAX AIMS? Visit the products section and see what we have to offer.

Technology in the airport sector

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A new year begins, and expectations for all sectors worldwide are preparing to face a new moment. New goals are on the horizon and, technology will be a fundamental part of the development of new projects.

Such is the case of the airport sector, which has used technological advances to safely manage administrative processes. Also take care of the health of each passenger, providing new protocols to avoid large-scale contagion.

For a few months, airports have started technological development, and today, we tell you what some of them are.

Biometric technology

Thanks to facial recognition, the airport administration will be able to reduce waiting times and long queues at check-in, security controls, baggage claim, and those waiting processes that can be tedious.

To date, a survey conducted by IATA shows that at least 73% of passengers are willing to share their data to optimize waiting processes at the airport.

Artificial Intelligence

 The use of artificial intelligence to manage the flow of passengers is also one of the options that have been implemented at different airports for some time.

The London’s Gatwick airport, which will implement this technology to improve the safety of its operations, and provide a better travel experience to its passengers.

Artificial intelligence is linked to ‘Big Data’, where the flow of information will be key to managing data and passenger behavior and optimizing their strategies.

Smartphone integration

 Today, most people around the world have a smartphone. The use of mobile applications will be the first step to manage connectivity with organizations and automate airport services.

These are just a few examples of new technologies that are already being used at airports. Therefore, the use of new technologies is and will be a fundamental part of the growth of the airport sector, where innovation will serve to create new experiences.

IATA Partners with Airbus and Boeing to Manage Covid-19 Risks

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The International Air Transport Association (IATA), Airbus and Boeing, have developed risk management models for Covid-19 to demonstrate the different systems that ensure the safety of air transport while restoring global connectivity.

The Airbus model demonstrates that the risk of virus transmission can be significantly reduced through data-driven detection and protection measures.

For its part, the Boeing model assesses the effectiveness of passenger screening and quarantines in countries around the world. It has several factors, such as the effectiveness of PCR and rapid antigen tests and the chronology of illness for passengers traveling with COVID-19.

“There is no single solution to manage the different levels of risk. The economic and social cost of the general measures taken by most governments to date has been unnecessarily high. With this modeling,  that we can be smart with calibrated travel policies that address risk, enable travel, and protect people. That is the way back to normality,” said Willie Walsh, IATA Director-General.

For now, Boeing is modeling scenarios with vaccinated travelers. As data on new COVID-19 variants become available, it will also be incorporated into these models.

 

Read more at: Europapress.