CARGOCONNECT-JANUARY2025 - Flipbook - Page 6
In FY2024 alone,
Indian ports
managed 819.22
million tonnes of
cargo, a 4.45% rise
year-on-year.
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India’s maritime sector is the backbone of its trade
and commerce, handling approximately 95% of the
country’s trade by volume and 70% by value. With
12 major ports and over 200 notified minor and
intermediate ports, India’s port infrastructure plays a
crucial role in supporting its expanding economy. As of 2023,
India boasts a 昀氀eet of 1,530 ships sailing under its 昀氀ag.
As the sixteenth-largest maritime nation globally,
India holds a strategic position on key international
shipping routes. A signi昀椀cant portion of cargo ships
traveling between East Asia and destinations such
as America, Europe, and Africa pass through Indian
waters, underscoring the country’s importance in global trade.
Beyond trade, India is also the world’s third-largest ship recycler
by tonnage. Looking ahead, India aims to become one of the top
10 shipbuilding nations by 2030, expanding its footprint in the
global maritime sector.
As per estimates, global e-commerce exports
are expected to touch US$2 trillion in 2030 from
US$800 billion now. India’s exports through this
medium are only about US$5 billion compared to
China’s US$250 billion annually. Being a pioneer
in e-commerce exports, China’s exports through this channel
accounted for 6.4% of its total merchandise exports in 2023.
In light of this, the government’s initiative to establish pilot
E-commerce Export Hubs (ECEHs) is seen as a crucial step in
boosting the country’s e-commerce exports.
The electronics sector has become the largest
contributor to India’s air cargo exports and ranks
third overall among export categories. Mobile
phones alone accounted for US$15 billion of the
US$29.1 billion total electronics exports in FY202324. With mobile phone exports expected to soar to US$180
billion by 2030—an eightfold increase from current levels—this
rapid growth is critical to achieving the government’s ambitious
target of US$500 billion in electronics production by the same
year, while propelling India’s air cargo electronics exports to
new heights.
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According to a report from the International Trade
Administration, the global B2B e-commerce market
is projected to reach a value of US$36 trillion by
2026, with 80% of that growth concentrated in
APAC markets. At the same time, smaller markets,
including Latin America and the Middle East, are expected to
drive signi昀椀cant growth over the long-term. To put that growth
into perspective, Boeing notes that the e-commerce sector now
requires the equivalent of one hundred 777 Freighters daily to
handle shipments from China to the US alone.
In March 2023, Boeing established its 昀椀rst freighter
conversion line in India, joining its global network
of conversion facilities in China, Costa Rica, and
the UK. In collaboration with Hyderabad-based
GMR Aero Technic, Boeing is converting Boeing 737
passenger aircraft into freighters, providing a signi昀椀cant boost
to India’s emerging maintenance, repair, and overhaul (MRO)
industry. To date, the company has delivered over 180 converted
freighters from a total of more than 280 orders.
The International A ir Transport Association
(IATA)’s ONE Record initiative seeks to harmonise
the industry by creating a new digital ecosystem
focussed on standardisation. By adopting ONE
Record, the air cargo community can eliminate
the barriers of existing information exchange protocols,
enabling the augmentation of shipment data. This presents
an opportunity to enhance visibility and improve efficiency
throughout the supply chain.
Over the next 20 years, Airbus forecasts a demand
for more than 42,000 new aircraft deliveries. This
includes passenger aircraft with over 100 seats and
freighters with a payload of over 10 tons. These
new deliveries will increasingly replace older, less
fuel-e昀케cient aircraft, contributing to further reductions in
fuel burn per revenue passenger kilometer (RPK), which
has already halved since 1990. Currently, around 30% of the
world’s in-service aircraft 昀氀eet comprises the latest generation
models.
