Air Freight Logistics – The outstanding advantages of the development of the air transport industry

As customers' demand for fast delivery is increasing, e-commerce platforms are increasingly developing' low insurance fees, less warehousing requirements, high levels of security, good condition of goods. monitor. The International Air Transport Association (IATA) believes that it is possible that the demand for air freight will increase rapidly, especially after the COVID-19 crisis.

• What is Air Freight Logistics?

Air Freight is a method of transporting goods by air – This is one of the most popular methods often used by businesses to transport their goods. Air Freight Logistics includes activities, procedures and services related to the entire process of transporting goods by air from sender to consignee, including: packing, labeling, loading and unloading, storage. …

Cargo can be transported by air on two types of aircraft: cargo is loaded in the cargo hold of a passenger aircraft, or in a dedicated cargo aircraft (Freighter). Normally, businesses will sign a contract with a 3rd party, a freight forwarder company (Freight Forwarder) to arrange for the most optimal transportation in terms of cost, and delivery time as well as guarantee. regulations for transportation by air.

• Important subjects involved in the air transport industry

There are many objects involved in air transport, but the two most mentioned are: Freight forwarders (Freight Forwarder) and airlines (Airline).

While the airline (Airline) is the unit providing the means of transportation - aircraft - it is possible that goods will be transported together on passenger aircraft or on specialized cargo aircraft. Freight forwarders (Freight Forwarders) will be responsible for consolidating goods from individual customers who need to transport goods by air. That prison helps develop Air Logistics, creating economic benefits.

• What is the role of Air Freight Logistics?

In the context of integration of the world economy, time is a top priority factor in transporting goods. Goods are transported quickly creating favorable conditions to promote international trade. Every year, only 2-3% of cargo volume is transported by air. However, this small amount accounts for nearly 35% of the total value of goods output. According to data from IATA, goods transported by air are worth more than 6 trillion US dollars, accounting for about 35% of the value of world trade.

In addition, the rapidity of air freight transport also facilitates businesses in approaching foreign partners or suppliers.

• Advantages of air transport compared to other modes of transportation

Expanding delivery network:

Not dependent on the coastline like ocean freight or land transport networks, air freight allows goods to be delivered to any part of the world by the dense network of airports in the countries. This means that businesses will have more opportunities and favorable conditions when approaching foreign partners.

Optimizing shipping time:

Goods are delivered to the destination in just a few hours to a few days instead of weeks to months when shipping by sea.

Security

Aviation is considered the safest mode of transport in the world. Goods transported by air will be tracked throughout the journey with the strict inspection and management procedures of the air transport service.

Insurance cost savings

With the advantage of ensuring high safety for goods, businesses can save a considerable amount of cost for cargo insurance when transported by air.