The Major Issues Facing the Air Cargo Industry

In the context of the accelerated growth of the air cargo industry and security concerns, coordinated and collective actions of customs authorities are essential. Moreover, the civil aviation authorities, and other stakeholders at the international and regional levels are of great importance for the creation of a reliable, safe and steadily developing global navigation system. Cargo delivery chains and the processes of moving shipments from the point of departure to the destination are often complex and subject to many regulatory requirements, especially when it comes to international air transportation.

Cargo Delivery

As we move along the delivery chain, the cargo passes through several structures with different responsibilities, including aircraft operators, express carriers, postal operators, registered agents, shippers, consignees, transport companies, and ground handling agents. An additional complication is that these structures are called differently in different countries or regions in which they are located. Before the cargo arrives at its destination, it may be reloaded several times from one flight to another, and only then various procedures and documentation will be carried out in relation to it following legal and commercial requirements (National Cargo Security Council, 2005). All competent authorities responsible for flight safety and aviation safety, crime prevention, and protection of State revenues are interested in ensuring that their rules are observed. All parties involved in this complex system share responsibility for ensuring cargo protection and work according to the law (Elias, 2018). In particular, they are obliged to ensure that nothing in the cargo endangers the aircraft and the lives of those on board.

Some cargo packages or consolidated shipments need to be bulkier for routine X-ray inspection, which is most common on airport territories. The most effective inspection method should be chosen, considering the cargo’s nature and content. It may require using different methods, which takes time and equipment that airports only sometimes have (Kelemen et al., 2020). Tons of cargo is prepared for departure with each flight, and too little time is allocated before departure. Last-minute inspection of the entire cargo by the operator can delay loading and negatively affect the competitiveness of air transport (Thorpe, 2020). The cargo protection structure should carry out the inspection using appropriate means and methods, taking into account the nature of the cargo since not all means, or methods may be suitable for the inspection of all cargo (Elias, 2018). Some shipments may be classified as high-risk cargo (for example, according to intelligence) and should be subject to additional inspection or other control measures in this case.

A well-developed infrastructure is required to ensure optimal connectivity. These include market access and liberalization, optimal use of air navigation services, aviation and airport systems, as well as effective facilitation and security procedures. For the full realization of the advantages of good connectivity, a well-established multimodal transportation system and the efficient operation of airlines are of great importance. Cargo that does not fall into the dangerous category is allowed to be transported by plane without any special restrictions. The list of dangerous goods is constantly being updated and supplemented (National Cargo Security Council, 2005). Insufficient experience of specialists who place an order often leads to the airline refusing to transport the goods. Experienced logisticians thoroughly know which products may be complicated and provide air transportation of dangerous goods in full compliance with the safety requirements declared in special Annexes to the Chicago Convention. Logistics often lead to the fact that a transport company is able to recoup its services only when working with combined cargoes. Contacting such an organization is almost always fraught with delays in sending the goods.

The problem today is the permanent increase in the cost of those airport services. Against the background of the ever-increasing price of fuel, it is increasingly difficult to maintain the payback of air transportation. It is worth clarifying that there are several other reasons. Firstly, as a rule, the composition of the fleet of cargo airlines is in a state of chronic obsolescence since it is rarely updated (National Cargo Security Council, 2005). Older aircraft, which are almost never idle, consume many times more fuel than younger, more modern, technically equipped aircraft. The increased creation of aviation unions significantly impacts the composition and condition of the global aviation industry (United States Government Accountability Office, 2021). The international air transport market is undergoing a period of simplification and liberalization, which is most clearly seen in the gradual disappearance of protectionism barriers and barriers to the number of routes and flights. Due to liberalization, foreign carriers are increasingly being allowed to operate freely, eventually leading to increased competition between national and foreign air carriers in various countries.

It is essential that control measures to ensure safety are observed throughout the cargo delivery chain, which includes: the shipper, the freight forwarder for delivery to the departure airport, the aircraft operator at the destination airport, the control airport, the aircraft, the destination airport, the aircraft operator at the destination airport, the freight forwarder for delivery to the consignee, the consignee (Elias, 2018). Customs authorities controlling international cargo flows are uniquely positioned to increase the security of the global supply chain of goods and promote socio-economic development through revenue collection and trade facilitation.

Improving the efficiency of interaction between the structures involved in the protection of air cargo and airmail is achieved through a clear delineation of their roles and responsibilities. The development of the customs control system provides for the creation of the necessary legal foundations and methodological support. A secure air cargo delivery chain is a set of interrelated security procedures applied to shipments to maintain their integrity from the moment they pass inspection or other security control until the aircraft is dispatched (United States Government Accountability Office, 2021). The vulnerability of air cargo and mail requires immediate action by states through harmonizing and strengthening the security system of the air cargo supply chain.

Conclusion

Thus, despite significant steps to improve customs legislation in recent years, some problems still need to be solved in the customs regulation of international air transportation related to legislation and the practice of its application. Taking into account the high importance of the industry in question for economic development, it is currently required to simplify and improve the efficiency of the system of customs regulation of air transportation. The organization of transit air cargo transportation is a very complex logistics process that affects many critical aspects of the activities of the carriers and other entities that ensure their organization and control over their implementation. The implementation of each functional stage of this process leads to the emergence of material, information, and financial flows and, as a result, costs, which ultimately determine the price levels of goods.

References

Elias, B. (2018). Security of air cargo shipments, operations, and facilities. Congressional Research Service, 1–22. Web.

Kelemen, M., Polishchuk, V., Gavurová, B., Andoga, R., Szabo, S., Yang, W., Christodoulakis, J., Gera, M., Kozuba, J., Kaľavský, P., & Antoško, M. (2020). Educational model for evaluation of airport nis security for safe and sustainable air transport. Sustainability, 12(16), 6352. Web.

National Cargo Security Council. (2005). Journal of Commerce. Web.

Thorpe, J. (2020). Exclusive: Expanding the horizons of air cargo security. International Security Journal. Web.

United States Government Accountability Office. (2021). Air cargo security: TSA field testing should ensure screening systems meet detection standards. Report to Congressional Committees. Web.

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