Air cargo — Air Cargo Industry Faces Pressure to Digitise Amid Global Supply Chain Challenges

5 Min Read
Disclosure: This website may contain affiliate links, which means I may earn a commission if you click on the link and make a purchase. I only recommend products or services that I personally use and believe will add value to my readers. Your support is appreciated!

The air cargo industry is under increasing pressure to digitise as global supply chains encounter significant challenges. This call to action was made by the International Air Transport Association (IATA) during the opening of the IATA World Cargo Symposium held in Lima, Peru. The association outlined three critical priorities: accelerating digitalisation, strengthening global standards, and enhancing safety and security.

Air cargo: Industry Resilience in a Complex Environment

As geopolitical disruptions and tariffs threaten to hinder global trade, IATA’s global head of cargo, Brendan Sullivan, emphasised the importance of building resilience within the industry. He stated, “Air cargo plays a critical role in connecting businesses to global markets and keeping supply chains moving,” acknowledging the growing complexity of the operating environment.

Strengthening Digitalisation for Efficiency

Digitalisation emerged as a key focus area, with Sullivan pointing out that air cargo data is often fragmented across various systems, leading to duplication, delays, and compliance risks. This fragmentation becomes particularly problematic in high-volume sectors such as e-commerce, where alignment of house waybill data with airline master air waybill records across multiple jurisdictions is imperative.

Sullivan introduced ONE Record as a transformative approach for the industry, stating, “ONE Record represents a foundational shift in how the industry shares, manages, and trusts data across the supply chain.” According to IATA, starting from January 2026, ONE Record will be the preferred method for end-to-end cargo data exchange. With over 70% of global air waybill volumes already on track for implementation, IATA encourages more airlines and freight forwarders to expedite their deployment of this system.

Global Standards and Safety Considerations

Alongside digitalisation, IATA is advocating for enhanced global standards, particularly in the areas of dangerous goods regulations and airport slot allocations. The rise in state and operator variations has surged to more than 1,200, complicating safety measures in a domain where consistency is crucial.

IATA insists that while variations will always exist, they should remain transparent and closely aligned with international standards. Moreover, the association highlighted the importance of fair access to airport infrastructure, noting that many cargo carriers at major hubs like Bogotá, Dubai, Heathrow, and Gatwick are often relegated to temporary or ad hoc slots, which hampers operational flexibility.

Sullivan reiterated the need for transparent and non-discriminatory slot allocation, stating, “Global standards and fair access to infrastructure are essential.” He added that aligning regulatory requirements will be vital for maintaining reliable air cargo connectivity as global trade continues to evolve.

Addressing Safety and Security Challenges

As air cargo supply chains face threats of malicious disruption, IATA called for ongoing attention to safety and security frameworks. The association noted that while ICAO Annex 18 serves as the global foundation for transporting dangerous goods safely, modernisation is necessary to accommodate the fast-moving nature of contemporary supply chains and address emerging risks, such as undeclared dangerous goods.

The cargo Consignment Security Declaration (CSD) is a critical compliance tool, yet its implementation varies across jurisdictions. IATA urged for wider adoption of electronic CSD (e-CSD) solutions to enhance data accuracy, streamline processes, and foster effective security oversight. Additionally, greater alignment across pre-loading advance cargo information programmes is essential.

Collaboration for Future Growth

In closing, Sullivan emphasised that “safety and security are shared responsibilities across the entire cargo ecosystem.” He asserted that modernising global frameworks and fostering cooperation between governments and the industry are essential for ensuring that global trade continues to operate safely and securely.

As the air cargo industry navigates these challenges, the push for digitalisation, stronger standards, and improved safety measures will be critical for maintaining its vital role in facilitating global trade and economic growth.

Share This Article
Leave a review