Aviation remains one of the most important means of transport for the modern globalized world. The high level of safety and speed of delivery is viewed as the basic advantages that are usually associated with civil aviation. However, at the same time, the strategic importance of the sector and its impact on international intercourse introduce a set of different problems and concerns associated with the security and quality of provided services. The air cargo industry, as a critically important element of aviation, also faces some challenges that should be overcome today to guarantee its stable functioning. These might include terrorist threats, costs of fuel, security concerns, illegal traffic, and the rise of e-commerce. The resolution of these problems is vital for the future of the sphere.
The significance of the air cargo industry is evidenced by the high income generated by the sector every year. For instance, in 2019, revenue streams reached $102.4 billion, and there is a forecast for their further growth (Madhavan et al., 2020). In such a way, transportation of property using aircraft becomes a popular and required way to deliver cargoes, and it is used by businesses and international corporations. However, airlines working in the given sector face strict demands for the quality, security, and organization of flights. Today, the majority of nations require carriers to provide advanced information to customs and border control services about shipments and property that is delivered (Madhavan et al., 2020). It introduced the need for better control of cargoes, their content, and severer security measures.
The terrorist threat remains a traditionally relevant concern for the civil aviation sphere. However, the nature of the problem differs if to compare cargo and passenger carriers. In the second case, attackers try to destroy aircraft and cause damage to individuals onboard. For the cargo industry, the main problem is associated with the attempts to use aircraft to deliver hazardous or explosive materials to various areas with the primary goal to organize terrorist acts there. There are cases when terrorists tried to use civil cargoes to hide explosives and detonate them after arrival (Elias, 2007). It means that today, carriers have to introduce severer and more effective measures to detect incendiary devices or hazardous substances and minimize risks. At the moment, air cargo can be a potential target for terrorists because screening and inspection in the sphere are not as extensive as screening passengers, which creates new vulnerabilities (Elias, 2007). For this reason, companies working in the sector face the need to improve their security measures and inspection of cargoes to avoid critical outcomes.
Considering recent fluctuations in the price of oil, fuel costs become another significant concern of the air cargo industry. The increase in the price has a direct impact on route profitability and the ability of a carrier to generate income (Reiman et al., 2015). For this reason, the volatility of the oil market and unstable fuel costs can be viewed as a major challenge for the whole sector. At the moment, the use of digital devices to enhance cargo weight management and distribution becomes an approach that can help to attain more effective fuel consumption (Reiman et al., 2015). However, the problem remains topical as the increase in prices for fuel preconditions the appropriate growth in the costs of services, which might distract potential clients and make them consider other delivery options.
The air cargo industry can also be associated with drug or illegal product trafficking that poses a serious threat to carriers and nations’ security. The growing risk linked to smuggling and introduce the need for useful screening equipment that will help to detect dangerous items or drugs and stop their transportation. However, it increases the costs needed to organize flights, results in delays in the shipment process, and introduces additional barriers for companies (Elias, 2007). Moreover, not all clients are ready to wait, which means that there is a high risk of using other shipment options. For this reason, the increase in the number of illegal cargoes delivered by carriers every year introduces a new challenge that should be overcome to guarantee observation of all existing regulations and minimize the risks.
Carriers also have to meet the high level of clients’ demands on the quality of delivered cargoes and their safety. It means that using airlines to deliver their property, individuals expect on-time delivery of undamaged items which will meet their requirements. Regarding the tendency towards the growth in the number of cargoes every year, companies operating in the sector might face a serious challenge of organizing freight in the aircraft in a way that will guarantee its safety (Knowler, 2019). Moreover, it might presuppose the need for additional equipment that will protect the physical characteristics of cargoes and ensure that they will travel undamaged.
Finally, the sphere faces significant logistics challenges because of the fast rise of e-commerce. In general, the given tendency has a positive impact on the air cargo industry because of the increased number of products that should be transported (Hylton & Ross, 2018). However, the sheer volume of e-commerce cargoes poses a threat to the industry because of the need to accelerate the movements of goods, provide new levels of transparency to clients (Knowler, 2019). Under these conditions, the air cargo industry enters the phase of radical transformation with the primary goal to be able to meet the demands of new clients and ensure the on-time delivery of items to different areas.
Altogether, the air cargo industry can be viewed as one of the most important and effective ways to deliver property and goods to different regions. However, its significance also preconditions the emergence of some challenges, such as the high level of the terrorist threat, high price for fuels, illegal trafficking, and the rise of international logistics. For this reason, the sphere has to adapt to new conditions and integrate new technologies, such as better screening tools, to avoid critical outcomes and preserve the ability to meet the demands of clients.
References
Elias, B. (2007). Air cargo security. Federation of American Scientists. Web.
Hylton, P., & Ross, C. L. (2018). Air cargo forecasting in an age of electronic retail. Transportation Research Record, 2672(29), 48–58.
Knowler, G. (2019). Trade turmoil, e-commerce lift air cargo. Journal of Commerce. Web.
Madhavan, M., Ali Sharafuddin, M., Piboonrungroj, P., & Yang, C.-C. (2020). Short-term forecasting for airline industry: The case of Indian air passenger and air cargo. Global Business Review.
Reiman, A. D., Main, B. D., & Anderson, B. E. (2015). Enhancing airlift fuel efficiency through increased utilization of cargo capacity. The Journal of Defense Modeling and Simulation, 12(1), 19–29.