Airfreight firms are experiencing snappily express however face challenges in assembly interrogate consequently of capacity constraints, as digitalisation and standardisation have change into mandatory for bettering effectivity and sustainability.
Talking at the Nordic Air Cargo Symposium 2024, Martin Drew, Chief Approach and Transformation Officer at Atlas Air, shared his insights on the evolving landscape of airfreight and the alternatives it presents.
Reflecting on the snappily upward thrust of firms esteem Alibaba, Shein, TikTok and Temu, Drew emphasised their excellent express trajectory: “Companies similar to Temu seemed to have attain from nowhere in the last 18 months. And the growth rates are fabulous, and in the event that they continue the same, these firms alone will power worldwide airfreight express smartly above predictions.”
Alternatively, with this express comes the must meet the soaring interrogate for air cargo products and providers, with ample capacity required if the industry is to meet its seemingly: “A seemingly constraint on these firms’ ongoing growth strategies is the provision of ample capacity to meet the increasing interrogate. We await a persisted shortage of smartly-organized freighter capacity over the next several years consequently of planned retirements and restricted new capacity entering the market.”
Drew wired the significance of collectively addressing industry challenges to make certain sustainable express, improved digitalisation, and standardisation across airfreight operations: “Airfreight is tranquil lagging in the encourage of. Whereas we must recognise the complexity of freight motion provocative rather a few stakeholders, the industry must persist in its efforts to standardise and digitise info alternate amongst all parties.
“This commitment is mandatory to providing our customers with the supreme diploma of service.”
Spirited to be green
Turning to sustainability considerations, Drew underscored the industry’s responsibility to sever encourage emissions and work towards decarbonisation: “As everyone is aware of, sustainable aviation gasoline (SAF) is in very fast provide, and interrogate will continue to outpace provide for the foreseeable future.
If the industry is to get on the path towards assembly its decarbonisation commitments, he used to be clear that “we can want make stronger insurance policies by incentivising the production and exercise of SAF.
“DHL, UPS and FedEx have all made public commitments to sever encourage CO2 greatly by 2030-2035. In Atlas, we have additionally aligned with the industry neutral of salvage zero by 2050.
“It’s no longer finest consequently of we’re seeking to be staunch corporate citizens and it’s the finest component to originate for the setting, then again it’s additionally consequently of the shippers that we work with are an increasing number of taking a sight at decarbonising their provide chains.
“So, let’s make certain sustainability does no longer change into one other explanation for heavy freight to shift to other modes in the long speed.”
