Page 15 - AAA JUNE - JULY 2017 Online Magazine

FEATURE CARGO
Above: 2017 has been a good year
for air cargo, with worldwide air
cargo traffic reaching its highest
level in nearly seven years
LeFt: The Boeing 767-300,
operated by Amazon’s air cargo
provider Atlas Air is called “Amazon
One” and is one of 40 aircraft that
the company plans to lease from
Atlas Air and ATSG
WWW.GBP.COM.SG/AAA
“It has been said that today’s air cargo
paperwork would be fairly familiar to 16th
century Dutch merchants. But initiatives are
underway that will have a substantial impact
on the industry.”
New Trend
The industry’s multi-faceted strategy calls
not only for improvements in speed, but
improvements in quality too, with real
time tracking and data accuracy high on
the agenda. Enthusiasm is widespread
for advancing the use of electronic
documentation, which promises to
enhance the industry’s security, efficiency,
and sustainability by replacing paper
documentation with online transactions.
for our Prime members for years to come,” Interest in IATA’s electronic air waybill
Dave Clark, Amazon’s Senior Vice President (e-AWB) project is particularly high. IATA’s
of worldwide operations, says. The company Global Air Cargo Advisory Group (GACAG)
has been on a drive to improve delivery is currently reviewing the project—which
speeds. It recently launched Amazon Flex, promotes electronic, harmonised Customs
a scheme that lets people earn money procedures as well as other initiatives—to
delivering packages for Amazon. The U.S. recommend an industry roadmap. The e-AWB
e-commerce giant also has a network of is intended to replace the 30-different
4,000 trailers to increase trucking capacity, paper documents an airfreight shipment
as well as over 125 fulfilment centers globally generates with electronic communication. It
and 20 sortation centers where robots can removes the requirement for a paper waybill,
pick parcels, according to Clark. Amazon also and promises to enable more accurate
has plans to begin using drones for deliveries. information, deliver confidentiality and
Recently, the company struck a deal with the efficiency, reduce paper handling costs, and
U.K. government to test its unmanned aerial expedite delivery times.
vehicles in Britain. IATA has set a goal for 15 per cent e-AWB
Glyn Hughes, IATA’s Head of Cargo, usage by the end of 2012, 70 per cent by the
believes the emergence of new players like end of 2013, and 100 per cent usage the year
Amazon is a positive step for the air cargo after. The airfreight industry is depending on
sector. “It shows that a company like Amazon the efficiencies promised by new freighters,
thinks air cargo will continue to be important electronic documentation, harmonized
to fast delivery and new consumer trends,” standards, and updated air traffic control
he says. “And competition should always systems. Despite economic uncertainties
be welcomed. It makes everybody more and regulatory requirements, air cargo
efficient.” The trick for established cargo carriers are ready for anything. “Optimism
carriers, he adds, is to understand where and is returning to the industry as the business
how they want to compete. The consumer’s stabilises after many years in the doldrums,”
need for instant gratification is accelerating. de Juniac of IATA says, adding, “There is,
What they buy today, they expect to be however, still much ground to recover while
delivered tomorrow—even if the goods are facing the dual headwinds of rising fuel and
coming from the other side of the world. “On labour costs.” IATA says countries with 1 per
top of that, processes must cope with the cent better air cargo connectivity engage
new dynamic of thousands of goods having in 6 per cent more trade. By implementing
thousands of different recipients delivered policies that promote the efficient
in myriad innovative ways. Air cargo must movement of air cargo governments have
learn how to interface with each of them. tremendous potential to improve their trade
“There is a long way to go,” accepts Hughes. competitiveness on a global level.
JUNE / JULY 2017 ASIAN AIRLINES & AEROSPACE 15