Aviation360 MEA

IATA outlined three priorities to help the air cargo industry keep up its pace in the face of a difficult operating environment. These top goals are safety, digitalization, and sustainability.

“Air cargo is a different industry than the one that entered the pandemic. Revenues are greater than they were pre-pandemic. Yields are higher. The world learned how critical supply chains are. And the contribution of air cargo to the bottom line of airlines is more evident than ever. Yet, we are still linked to the business cycle and global events. So, the war in Ukraine, uncertainty over where critical economic factors like interest rates, exchange rates and jobs growth are concerns that are real to the industry today. As we navigate the current situation, air cargo’s priorities have not changed, we need to continue to focus on sustainability, digitalisation, and safety,” said Brendan Sullivan, IATA’s Global Head of Cargo.

Sustainability

Sustainability is a top goal and the aviation sector’s business permit. Governments committed to the Long-Term Aspirational Goal (LTAG) of net zero carbon emissions by 2050 at the 41st ICAO Assembly in October, in keeping with the industry’s commitment set in 2021.

The manufacture of Sustainable Aviation Fuel (SAF), which will account for 65% of the reduction in carbon emissions, is still difficult. IATA demanded that the government provide production incentives.

“SAF is being produced. And every single drop is being used. The problem is that the quantities are small. The solution is government policy incentives. Through incentivising production, we could see 30 billion litres of SAF available by 2030. That will still be far from where we need to be. But it would be a clear tipping point towards our net zero ambition of ample SAF quantities at affordable prices,” said Sullivan.

IATA listed three other areas where it was assisting the industry’s energy transition:

• By creating a precise and standardized emissions calculation process and launching CO2 Connect for Cargo later this year, we are supporting accurate carbon calculations and offsetting. an accurate calculator for operations’ emissions
• By extending the IATA Environmental Assessment (IEnvA) to airports, cargo facilities, freight forwarders, and ramp handlers, the industry will be able to generate commercial success, foster confidence in our sustainability efforts, and have a beneficial impact on the sector.
• Creating environmental, social, and governance (ESG)-related indicators will help airlines navigate the various techniques that are now in use.

The effectiveness of air cargo needs to be continually increased. The most promising sector is digitalization. IATA listed three objectives:

Digitalisation

• One Record will have complete airline capability by January 2026. Through this initiative, each shipment will have its own record in place of the various data standards currently used for transport documents. The Cargo Advisory Council concurs with the Cargo Services Conference’s goal of achieving 100% airline capability by January 1, 2026.
• ensuring that the global supply chain is supported by digital standards. The IATA Interactive Cargo standards, which provide finalized guidance on tracking devices, are used to check the reliability of the conditions of time- and temperature-sensitive commodities being transported around the world.
• Ensuring compliance with and support for customs, trade facilitation, and other increasingly digitalized government operations. The development of policies for trade facilitation, the removal of operational barriers at borders, and the secure management of cargo flows all benefit from digitalization.

Safety

“Safety goes hand in hand with efficiency and sustainability. Lithium batteries continue to remain at the top of the air freight priority list. There has been a lot accomplished. But, to be completely honest, it still isn’t enough,” Sullivan said.

Three safety considerations for aviation freight were outlined by IATA:

• Civil aviation authorities must take severe measures against shippers who fail to declare lithium batteries in cargo or mail shipments to stop rogue shippers.
• Utilizing a lithium battery fire to quicken the development of a test standard for fire-resistant aircraft containers.
• Ensuring that nations accept the one standard for identifying all vehicles powered by lithium batteries, which goes into effect on January 1, 2025.