How Demand for Air Cargo Is Generated and Success Factors for Air Cargo

Demand for air cargo is generated when there is a need for expeditious movement of material and goods between two points. Air cargo is typically a costly option. The factors considered by businesses when utilizing air cargo versus other shipping methods (truck, rail, or ship) include the cost of transporting goods, the service commitment to the customer or end user, the value of the goods, and the time-sensitivity of the goods.

When evaluating an airport for air cargo service, air cargo carriers typically look for certain characteristics of an airport and its market area. Factors that lead to successful air cargo operations at an airport include but are not limited to:

  • Regional marketplace of consumers and producers: An airport’s proximity to the demand for air cargo shipments including the businesses that rely on air cargo to ship products to market is key.
  • Truck access to airport: Nearly all air cargo begins or ends its journey on a truck, making the ground distribution system as critical as the air distribution. The design and location of airports and their cargo facilities must take this into consideration and airports should provide a road infrastructure that includes restricted service roads as well as highway access.
  • Airport facilities and capacity: Airport facilities and the ability to meet current and future demand is important to supporting successful air cargo operations. A few items to consider in terms of facilities include:
    • Passenger terminal capacity and proximate aircraft apron
    • Warehousing, GSE, and office space
    • Remote apron and accessing taxiways
    • Building frontage, customer, and employee parking
  • Geographic location/competitive advantage: If an airport is close to other airports offering competing air cargo services and facilities, it can hinder an airport’s ability to compete effectively or attract new service.
  • Community support: Commitment by community leaders and stakeholders to support new or improved air cargo service is an important element of a successful air cargo development initiative and can be demonstrated through assistance with incentives, participation in cargo carrier recruitment, and by including air cargo in the broader community economic development strategy.

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