‘FTAs will increase speed, global reach and trade volume’

Vipin Vohra, Chairman, Continental Carriers says prioritizing air cargo in Foreign Trade Agreements (FTAs) can have a significant impact on international trade. It will increase speed, efficiency, and resilience of perishable and high-value goods supply chain, global reach and it can lead to increased trade volume, faster delivery times, and improved access to global markets for certain industries. He says, “Air cargo is known for its speed and efficiency in transporting cargo across borders. Prioritizing air cargo in FTAs can lead to quicker delivery times, reducing lead times for businesses and consumers. Air cargo is particularly useful for transporting perishable goods (like fresh produce and pharmaceuticals) and high-value goods (like electronics and luxury items) that require swift transportation to maintain their quality and value. Supply Chain Resilience: The COVID-19 pandemic highlighted the importance of supply chain resilience. Air cargo was critical for transporting medical supplies and vaccines during the pandemic. Prioritizing air cargo in FTAs can help ensure a resilient supply chain for essential goods. Global Reach: Airports and airlines cover a wide range of destinations, allowing businesses to access global markets easily. This can be especially beneficial for countries with limited land connections or geographical constraints. The impact of prioritizing air cargo in FTAs on cross-border trade depends on the specific circumstances of the countries involved. It can lead to increased trade volume, faster delivery times, and improved access to global markets for certain industries. However, it’s essential to strike a balance between air cargo and other modes of transportation to ensure diverse trade options and mitigate environmental and cost-related concerns.”

While there are benefits to prioritizing Air Cargo in FTAs, it’s crucial to consider the broader implications, including economic, environmental, and logistical factors, to make informed decisions that maximize trade benefits while minimizing potential drawbacks.