Adapting air cargo for e-commerce era

The air cargo industry is undergoing a seismic shift due to the e-commerce boom. Meeting the escalating demands for speed and reliability brought about by online retailers is now the foremost challenge for industry leaders.

E-commerce has revolutionised the cargo sector by extending its reach from consumer goods to medicines and much more. This transformation is largely driven by the younger generation, necessitating a reorientation of industry strategies to cater to their tech-savvy preferences.

The future of air cargo hinges on autonomous cargo drones and urban air mobility, however, several challenges must be addressed for successful implementation 

A crucial lesson is that digitalisation is no longer the future; advanced technologies, especially artificial intelligence, are the new imperatives. Initiatives like Drone Shakti illustrate the industry’s commitment to embracing these technologies.

Empowering the emerging youth who are proficient in e-commerce and related technologies is vital. By harnessing their insights and energy, the air cargo industry can chart a successful course into the future, embracing innovation and staying at the forefront of change.

Collaboration among industry stakeholders, including airlines, airports, and logistics companies, is imperative. Enhanced data sharing and technological collaboration can boost efficiency and integration in the air cargo network. Leveraging existing knowledge and training the workforce in new technologies will lead to collective advantages.

Artificial intelligence (AI) and machine learning are revolutionising air cargo operations. They predict demand, optimise inventory and routes, and enhance supply chain efficiency, resulting in substantial time and cost savings. The integration of AI is vital to staying competitive in the evolving air cargo industry.

The future of air cargo hinges on autonomous cargo drones and urban air mobility. However, several challenges must be addressed for successful implementation. Drones lack human-like communication abilities and must navigate in areas where maps are often inaccurate. They face restrictions on flying through heavily populated regions with complex infrastructure. Safety concerns, including bird collisions and accidents, must be managed. Costly deployment and operational expenses are challenges, and human staff will still be required for supervision. Overcoming these obstacles is crucial to realising the potential of drone technology in the air cargo industry.

Government initiatives are pivotal in advancing the air cargo sector. The National Logistics Policy, promoting automation and paperless operations, is a significant step in reducing logistics costs. The infrastructure development is commendable, with 33 new air cargo terminals expected to boost the industry towards a 10 million-tonne target by 2030. These efforts promise to enhance efficiency and competitiveness in the air cargo sector.

The future of the air cargo industry will be marked by AI dominance, widespread drone use, and India’s emergence as an air cargo superpower. With a projected industry worth of USD 16.37 billion by 2027, collaboration and AI adoption will be pivotal in reaching and surpassing this figure.