Air Cargo Load Ex-India: A Diminishing Trend in 2022-23?

Reducing Air Freight in the Air Cargo Industry

The data from the DGCA shows that air cargo load ex-India has been on a

downward trend in 2023. In the first quarter of the year, cargo load fell by 10% year-

on-year. In the second quarter, the decline was even more pronounced, at 15% year-on-year.

There are a number of factors that could be contributing to this trend. One possibility

is that the seasonal demand cycle is playing a role. Air cargo demand typically peaks

during the holiday season, and then declines in the following months. However, the

decline in air cargo load in 2023 has been more pronounced than usual.

Another possibility is that better road and rail efficiencies are appearing in the supply

chain. This could be leading to businesses shifting their cargo to these modes of

transport. Road and rail are often cheaper than air freight, and they can be more

Reliable.

Whatever the reasons for the decline, it is clear that the air cargo industry in India is

facing some challenges. If the trend continues, it could have a negative impact on

the industry's growth.

Guidance for Improving the Air Cargo Industry

There are a number of things that could be done to improve the air cargo industry in

India. One important step would be to invest in infrastructure. This would include

building new airports and expanding existing ones. It would also include improving

the road and rail network.

Another important step would be to reduce the cost of air freight. This could be done

by introducing more competition into the market. It could also be done by reducing

taxes and other fees.

Finally, the government could also play a role in promoting the air cargo industry.

This could be done by providing financial incentives to businesses that use air

freight. It could also be done by simplifying the regulatory environment.

The Future of Air Cargo in India

The future of air cargo in India is bright. The country has a large and growing

economy, and this is leading to an increase in air cargo demand. The government is

also committed to developing the air cargo industry.

However, there are some challenges that need to be addressed. These include the

need for infrastructure investment, the need to reduce the cost of air freight, and the

need to simplify the regulatory environment.

If these challenges can be addressed, the air cargo industry in India is poised for

significant growth. By 2026, the industry could be handling 5 million tons of cargo

per year. This would create jobs and boost the economy.

World Port: A Disrupter in Airport Real Estate

The World Port project, which is being developed by the USTDA and HADC, has the

potential to be a major disruptor in the airport real estate market in India. The project

is expected to create a new hub for air cargo in the country, and it could attract

businesses from all over the world.

The World Port project is located in Haryana, which is a major logistics hub in India.

The project is expected to create a new airport, as well as a number of other

facilities, including warehouses, cold storage units, and distribution centers.

The World Port project is expected to be completed in 2025. Once it is completed, it

is expected to create thousands of jobs and boost the economy of Haryana.

The World Port project is a major development for the air cargo industry in India. It

has the potential to transform the industry, and it could make India a major player in

the global air cargo market