IATA WCS opening assesses progress on sustainability, digitalisation and safety

Speaking on the opening day of the 18th International Air Transport Association’s World Cargo Symposium (IATA WCS) in Hong Kong earlier today (12 March), the trade association’s global head of air cargo, Brendan Sullivan, noted that, “Air cargo is critical for the global economy. And it improves people’s lives.

“In extraordinary circumstances this is clearly visible,” he continued. “During the pandemic, collectively we brought medical supplies and vaccines to where they were needed.

“Air cargo delivers humanitarian aid in the wake of natural disasters such as earthquakes and floods.

“And today it is a vital alternative to Red Sea shipping lanes that face geopolitical disruptions.”

Plus, of course, he pointed out that, “Each and every day our industry delivers goods that keep the global economy moving.

“The 58 million tonnes of air cargo delivered in 2023 accounted for 35% of the value of goods traded internationally. That supports jobs the world over.

“Our success matters. And with volumes now firmly back to pre-pandemic levels the challenge is to ensure that our growth is efficient, safe, and sustainable.”

Sullivan looked at those three facets in turn, starting with efficiency, where he said that the biggest opportunity is represented by digitalisation.

“This has not happened as fast as any of us would have liked,” he suggested.

“But progress is real. Inefficient paper-based, manual processes are being replaced with digital solutions in all aspects of cargo operations from tracking to customs clearance. That’s a fact.”

He highlighted three main areas where significant progress has been made:

* The seamless sharing of digital information, including the adoption of IATA’s ONE Record data standard (with both Cathay Cargo and Lufthansa Cargo announcing at this WCS that they have implemented ONE Record well before the target date of January 2026 when all IATA member airlines aim to have the ONE Record capability)

* The digitalisation of customs and trade facilitation processes, with some nations having made notable progress in developing and implementing strategies to facilitate trade, streamline border operations and securely manage the flow of goods

* Shipment tracking, with the growth in the shipment of pharmaceuticals by air and the rapid rise in e-commerce having in particular led to an increase in demand for real-time shipment tracking

Sullivan said that IATA is pressing the entire industry to come together to ensure a unified and effective approach to digitalisation.

To help with this process, he announced that IATA has introduced a Digitalization Charter to help the value chain give additional focus to this.

The charter benchmarks excellence, security, and sustainability within the digital domain. Cathay Cargo, CHAMP Cargosystems, Global Logistics System (HK) Company Limited (GLSHK), IAG Cargo, IBS Software, LATAM Cargo and Lufthansa Cargo have already become the first signatories of the charter.

Safety and sustainability

Safety was described as the second big priority. “For air cargo, we must continue to put special emphasis on the handling of dangerous goods, and in particular lithium batteries,” Sullivan declared.

And progress has been made there, he said, for example in terms of IATA’s Dangerous Goods Regulations (DGR), which the body has continuously published since 1956.

Within items covered under the DGR, the focus on lithium batteries continues, and IATA has also made good progress on this, he said.

Finally, in terms of sustainability and the industry’s target to achieve net-zero carbon emissions by 2050, much progress has been made on sustainable aviation fuels (SAF), Sullivan reported, including Virgin Atlantic completing the first transatlantic flight powered entirely by SAF, transporting a Kuehne+Nagel shipment.

IATA is developing CO2 Connect for Air Cargo in partnership with non-profit body Smart Freight Centre to enable application of a unified methodology along the air cargo value chain for carbon emission calculations and reporting.

To calculate CO2 emissions, CO2 Connect for Cargo is powered by actual airline operational data and based on the industry-approved methodology, responds to the growing demand for CO2 data transparency.

Complementing this is IATA Environmental assessment (IEnvA) for Cargo. Last year, IATA expanded this to include airports, cargo handling facilities, freight forwarders and ramp handlers.

Currently, the programme supports 60 organisations from the industry, including airlines, airports, and cargo handlers.

In Hong Kong, both Cathay Cargo Terminal and handler Hong Kong Air Cargo Terminals Limited (Hactl) have announced full IEnvA certification during the WCS.

Transformative action

Concluding, Sullivan said that, “We are an industry that is active on many fronts. And together our actions are transformative for a critical global industry.

“And that is important. For any industry to survive change is essential. And constant change for anyone is never easy. But it is absolutely worth it when that change delivers 60 million tonnes of cargo which powers economies, improves peoples’ lives and genuinely makes our world a better place.

“And that is what inspires us to make our industry more efficient, ever safer and on target for net zero carbon emissions by 2050.”