RAPID growth in India's airfreight sector is being undermined by a lack of sufficient capacity, particularly to export perishable cargo such as home-grown fruit, vegetables and flowers.
"Perishable cargo needs large belly space in an aircraft. There is currently not enough wide body capacity being offered out of India to do justice to the business," said Cyrus Guzder, managing director of the AFL logistics group.
"Meat exports were a large chunk of the volumes sent by air earlier, but have now moved to the sea because of new rules that forbid export of meat carcasses by air. Now only boneless meat can be exported after going through stringent packing norms," said Emirates Sky Cargo's airfreight manager Keki Patel.
In a bid to tackle this shortage and tap into greater business opportunities in a potentially lucrative air cargo market driven in part by a rise in imports by Indian retailers, Hyderabad-based airfrieght carrier Flyington has placed an order for six A330 freighters.
But obstacles block air cargo development, not the least being the soaring cost of fuel, which prompts more exporters to turn to sea freight. Lower costs and improved efficiency from shipping lines make this option increasingly attractive.
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