Indian Airlines See Winner In Cargo: Both Domestic And International Sectors Mark Healthy Growth, Reveals DGCA Data

Directorate General of Civil Aviation (DGCA) has released data indicating the growth of cargo traffic in India’s domestic sector. The volume increased at nine per cent rate in 2017-18, with seven lakh tonnes of cargo moved around. International air cargo volume has grown to 17 lakh tonnes, which gives it a growth rate of 15 per cent.

Some of the supplies such as e-commerce and pharmacy require immediate cargo facilities. Owing to the growth of the aforementioned sectors, demand for cargo services has grown healthily for a few years. The cargo traffic in India, according to ICRA, will grow by 60 per cent in the next five years, Business Line reported.

Recently, most of the commercial airlines such as SpiceJet, IndiGo are jumping into the cargo business. IndiGo, in fact, occupies 22 per cent share in the domestic cargo market after it entered into a partnership with SmartKargo. The revenue generated in cargo is much more significant in comparison with the commercial passenger ferrying services.

Better infrastructural facilities are required for the growth of the industry, which has been dominated by only a few players so far, especially in the international air cargo sector. Providing adequate infrastructure is said to be the only way to ensure stable growth in the handling capacity at airports.