The International Civil Aviation Organization (ICAO) has underscored the pivotal role of air cargo in facilitating global trade, significantly expanding the reach of businesses and enabling faster, more efficient market access.
ICAO says air cargo empowers companies to respond swiftly to customer demands, improves connectivity between buyers and sellers, and supports systems like just-in-time inventory management and build-to-order production.
ICAO data showed that globally, air freight accounts for 35% of world trade by value despite making up less than 1% of the total volume. Air cargo is uniquely diverse in both its physical characteristics and its economic value.
“Goods transported by air can be sent and received almost anywhere in the world, typically moving from a seller to a buyer or from a consignor to a consignee. This vital service is essential for the growth of e-commerce, making it possible for businesses to meet the demands of a global customer base.”
The evolution of aircraft technology, the rapid growth of electronic transactions, and changes in logistics services—particularly the growing integration of air cargo with other modes of transport (intermodal solutions)—are transforming air cargo operations, says ICAO. These changes are reshaping how enterprises engage with each other, consumers, and governments, further underscoring the importance of air cargo to the global economy.
During the COVID-19 pandemic, air cargo proved indispensable, facilitating the rapid transport of medical supplies, including personal protective equipment and vaccines, while also ensuring the continued flow of everyday consumer goods. Aviation’s speed and reliability allowed air cargo to meet urgent and time-sensitive needs, such as same-day and next-day deliveries, giving it a competitive edge over other transport modes.
To harness the full potential of air cargo services and ensure sustainable growth, ICAO emphasized that it is important to enhance the operational environment by addressing key challenges, particularly those related to regulation and operational constraints. Efforts must focus on fostering a more flexible and liberalized air cargo market.
ICAO identified key areas for improvement. These include:
- Developing quality infrastructure that supports current and future air cargo needs
- Encouraging more integrated supply chains within a liberalized market
- Streamlining security and safety measures to enhance operational efficiency
- Promoting technological innovations to improve cargo processing speed, accuracy, and security
- Optimizing the use of Pre-Loading Advance Cargo Information (PLACI) for risk and security purposes
- Expanding the use of unmanned aircraft systems for cargo deliveries
- Advancing global legal frameworks for air cargo operations
The upcoming First ICAO Global Air Cargo Summit offers a unique platform for stakeholders to collaborate on addressing these challenges. The summit will bring together regulators, airlines, freight forwarders, airport operators, academia, and key partners from relevant United Nations agencies. This event provides an opportunity to establish a pragmatic roadmap that improves the efficiency and cost-effectiveness of air cargo services, ensuring a safe, secure, and economically viable future for the sector.
By fostering collaboration and harmonizing global approaches to safety, security, facilitation, and economic regulation, the summit aims to identify and resolve operational challenges, helping to shape the future of air cargo operations in a rapidly evolving world.
