The cargo security incident of October 2010 highlights the role that e-freight can play to accelerate the flow of quality shipment data to security agencies and customs authorities.
E-freight aims to replace paper documents in the air cargo supply chain with electronic messaging. This facilitates more accuracy, efficiency and reliability along with potential industry benefits of up to US$4.9 billion. For 2011, the Board set the target at reaching volumes representing 10% penetration on trade lanes where e-freight was live at the end of 2010.
Progress to date remains modest with the industry achieving 4.77% penetration in May 2011. At IATA's June 2011 AGM, airline CEO's endorsed the project targets and agreed to increase their individual airline performance and work with industry stakeholders towards faster adoption. However, there remains some significant roadblocks, including regulatory and customs issues, and industry technological readiness for adopting paperless business processes across the entire supply chain. Airlines, forwarders, shippers and ground handlers need to collaborate and receive full support from regulatory and customs authorities for the 100% e-freight vision to be realized. To foster this commitment, cooperation and support, IATA has engaged with its key partners in the industry via the Global Air Cargo Advisory Group (GACAG). The Advisory Group includes IATA, TIACA (The International Air Cargo Association), FIATA (International Federation of Freight Forwarders Associations) and GSF (Global Shippers Forum). GACAG’s ability to align the supply chain towards the common goal of 100% e-freight is the most potent mechanism to achieving success.
View the June 2011 e-freight campaign report to learn about industry status and forecasts, issues that slow down e-freight penetration, how IATA plans to help addressing them and more.