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‘Implement slot management system, improve infra to reduce congestion’

M Afzal Malbarwala, Managing Director, Galaxy Freight said, “Congestion at airports, particularly during peak hours, poses significant challenges. Delays in cargo movement, high transit times, and increased costs are major concerns. To mitigate this, there’s need to Implement efficient slot management systems, Enhancing infrastructure and technology, Streamlining security and customs procedures, Promoting off-peak hour operations, Investing in digital solutions for real-time tracking and monitoring. By addressing these issues, we can minimise congestion, reduce costs, and improve overall efficiency in air cargo operations.”

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‘Limited capacity, infrastructure, high costs & delays lead to congestion at terminals’

Rajen Bhatia, Director, Tulsidas Khimji said, “Congestion at airports, especially during peak hours, is a significant issue affecting the efficiency of air travel and cargo movement, limited infrastructure and operational bottlenecks contributes to delays, high transit times and increased costs. There are various factors that affect the trade like limited Capacity, high Transit Times and Delays, Increased Costs, Environmental Impact. The Impact on Global Trade and Business: • Uncertainty in Delivery Times: Congestion at airports makes it difficult to guarantee delivery times, which is crucial for industries that rely on fast, predictable logistics. • Global Supply Chain Disruptions: Delays at major international airports affect the global supply chain, potentially impacting businesses’ ability to meet demand, especially in industries like e-commerce, automotive, and manufacturing. Congestion at airports is a complex issue that involves not just the transportation of passengers but also the smooth movement of cargo. It has far-reaching impacts on costs, efficiency, aenvironmental sustainability and supply chain inefficiencies that hurt businesses and disrupt the flow of goods, particularly in critical, fast-paced markets like Mumbai.

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‘ AFS can decongest terminals, enhance efficiency, and expedite clearance procedures’

Vipin Vohra, Chairman, Continental Carriers said, “Congestion at airports, especially during peak hours, significantly impacts cargo movement, leading to delays, higher transit times, and increased costs. A viable solution is the development of off-airport locations such as Air Freight Stations (AFS) near airports. By shifting cargo processing activities away from the airport premises, AFS can decongest terminals, enhance efficiency, and expedite clearance procedures. To encourage wider adoption, authorities should incentivise AFS development through policy support, streamlined regulatory frameworks, and operational benefits. A structured approach integrating AFS into India’s air cargo ecosystem will optimize logistics, reduce costs, and ensure seamless trade facilitation.”

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‘Root causes often include inadequate infrastructure, suboptimal cargo handling, and poor stakeholder coordination’

Kamal Jain, Director, Cargomen Logistics said, “Congestion at airports during peak hours severely impacts cargo efficiency, resulting in delays, extended transit times, and elevated logistics costs. The root causes often include inadequate infrastructure, suboptimal cargo handling, and poor stakeholder coordination. The solution lies in two key areas: implementation of robust Standard Operating Procedures (SOPs) and automation of cargo handling. SOPs must clearly define vehicle entry, parking, cargo acceptance, evacuation, and terminal exit. Integration of automated systems for documentation and process flow will ensure faster turnaround and improved operational efficiency. Terminal must work on continuous monitoring of turn around time of IN / OUT of vehicle and also work on predictive analysis to deploy manpower and resources.”

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‘Aware exporters about benefits of releasing cargo during non-peak hours to ease congestion’

Debajyoti Bagchi, Vice President, Business Development, TT Group said, “All air cargo stakeholders expect their shipments to be offloaded at the air cargo complex immediately upon truck arrival. However, most airlines operate during premium slots allocated at peak hours, creating a sense of urgency on the shop floor. This results in a rush for offloading, panic if cargo misses connections, delays in screening and buildup, resource shortages, potential cargo damage, and onboard no-fit situations. A small process change can make a significant impact if effectively implemented and accepted by exporters. Currently, non-peak hours remain underutilized. Custodians can introduce attractive concessions to encourage stakeholders to shift operations to off-peak times, optimizing existing manpower. Raising awareness among exporters about the benefits of releasing cargo earlier can further ease congestion. Concerns regarding free period adjustments can be addressed through negotiations with custodians to ensure fair compensation. While this approach may not provide an immediate solution, it presents a viable strategy to alleviate bottlenecks at cargo terminals.”

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‘Absence of regulated parking & offloading processes result in huge cargo bunching’

Sunil Kohli, Managing Director, Rahat Cargo said, “The congestion mainly at the airports especially located in the metro cities begins from the approaching roads leading to the cargo warehouses with plenty of vehicles carrying the cargo lined up for the entry during the peak hours. The congestion subsequently shifts to the cargo offloading point at the limited truck-doc areas due to departure schedules of flights of several carriers coinciding with each other followed by a delayed process of weighment by the custodian. An absence of regulated parking & offloading processes at the platforms results in bunching of huge cargo waiting for their turns. Congestion further occurs for the screening process wherein large volumes of cargo queues up thereby incurring considerable delays, inflated waiting time & an avoidable wastage of manpower. Thus, all the related agencies have to provide the requisite facilities commensurate with the growth of cargo tonnage facilitating hassle free timely handling of processes. The related agencies must install additional provisions and redesign their systems and processes, wherever needed to be in readiness for any peak demand scenario. They must also consider using technology, coordination, and best practices to optimize the use of resources and minimize delays and congestions.”

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Indian warehousing sector receives investments worth $1.96 bn in 2024: Report

According to Vestian’s report, the Indian warehousing and logistics sector received investments worth $1.96 billion in 2024, accounting for 29 per cent of the total institutional investment garnered in the real estate sector last year. The investment inflows surged to 203 per cent year-on-year in the sector, driven by the growing demand for warehouses amid the rapid expansion of the quick commerce sector. As a result, this surge in demand resulted in a record absorption of 44.9 million square feet (sq ft) in 2024, marking a 19 per cent increase over the previous year. Notably, the second half of 2024 alone witnessed 28.3 million sq ft of absorption, a 70 per cent jump compared to H1 2024 — the highest ever recorded in a single calendar year. “India’s position as a key logistics hub is set to strengthen on the back of positive investor sentiments, announcements in the Union Budget 2025-26, and robust domestic demand,” said Shrinivas Rao, FRICS, CEO, Vestian. The government’s continued focus on mega infrastructure projects is expected to further propel growth in the sector. Majority of the absorption in 2024 was concentrated in third-party logistics (3PL) companies, accounting for 33 per cent of the pan-India absorption. The share of engineering and manufacturing sector increased from 18 per cent in 2023 to 24 per cent in 2024, propelled by various government initiatives such as production-linked incentive (PLI) scheme and ‘Make in India’ campaign. Mumbai reported the highest absorption of 18.6 million sq ft in 2024 as it grew by 82 per cent compared to the previous year.

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ULIP surpasses 100 crore API transactions, boosts efficiency

The Unified Logistics Interface Platform (ULIP) has surpassed a landmark 100 crore API transactions, reinforcing its role as a game-changer in India’s logistics sector, said an official statement. Piyush Goyal, Union Minister of Commerce & Industry said this achievement marks a significant step toward building a world-class, technology-driven logistics ecosystem that fuels industrial growth under Make in India and accelerates the vision of Viksit Bharat 2047. “This milestone brings to life our Prime Minister’s vision of a seamless logistics ecosystem that strengthens Ease of Doing Business and positions Bharat as a global trade and manufacturing powerhouse. We remain committed to expanding ULIP’s capabilities, making Indian logistics more agile, resilient, and globally competitive,” the minister observed. By bridging critical data gaps, ULIP enables automation, real-time cargo tracking, and streamlined regulatory compliance, benefiting businesses across industries. Processing an average of 1 crore API transactions weekly, ULIP continues to drive widespread adoption and democratizes access to logistics data, ensuring equal opportunities for businesses of all sizes. This digital disruption is reshaping the competitive landscape, breaking monopolistic control, and empowering MSMEs, start-ups, and large enterprises alike, according to an official statement.

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ACAAI members meet & greet FIATA President in Geneva

C K Govil, President and Samir J Shah, Vice President at The Air Cargo Agents Association of India (ACAAI) and Amit Kamat chairman – elect, FFFAI welcomed Turgut Erkeskin President FIATA, and Stephane Graber Director General FIATA during the ongoing FIATA Head Office meeting in Geneva. The ACAAI President along with VP and Past President are promoting the FIATA RAP event to be held in Delhi from 21st May to 24th May 2025. The ACAAI members are actively participating in the event.

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Govt’s green nod to Bills of Lading to simplify shipping

The Lok Sabha passed the Bills of Lading Bill, 2024, which aims to update and simplify the legal framework for shipping documents replacing the colonial era Act of 1856. The current law, a brief three-Section Act, primarily governs the transfer of rights and confirmation that goods were loaded onto a vessel. With the shipping industry evolving and the global trade landscape changing, there is a pressing need for India to adopt a more comprehensive and understandable law that aligns with international standards,” the Ministry of Ports, Shipping and Waterways said in a statement. It also empowers the Central government to issue directions to facilitate the law’s implementation along with an inclusion of a standard repeal and saving clause, while eliminating the colonial legacy of the 1856 Act. Union Minister Sarbananda Sonowal termed it a historic milestone in India’s journey towards a modern, efficient, and globally competitive shipping sector. “The passing of this Bill reflects the government’s continued dedication to facilitating trade, reducing litigation risks, and ensuring that India remains at the forefront of global shipping,” the statement added. The Bill will be presented in the Rajya Sabha.

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