Air freight is a critical mode of transport. It serves markets and supply chains that demand speed but this is achieved at a cost. To meet the demand for growth, world air cargo traffic is forecasted to growing on average by 4.2 percent per year. Industries such as the automotive and retail industries utilize air freight to achieve Just In Time’ (JIT) logistics.
The most important documentation relating to airfreight is the Air Waybill (AWB). An AWB provides the following details:
- A unique identification number of which the first part is the IATA airline code number
- The name of the consignee who is the only party to whom the carrier can deliver
The AWB is the carrier’s receipt by air, providing evidence of the contract of carriage.
Table 1 identifies the strengths and weaknesses of air transportation.
| Strengths | Weaknesses |
|---|---|
| Speed | Expensive |
| Suitable for perishable goods | Inflexible relying on regular flight schedules |
| Increased level of security | Must be supported by other modes of transport to carry out transfers to and from airports |
| Reliable transit times and schedules | Environmental impact – carbon footprint |
| Less cargo handling |
Table 1: The Strengths and Weaknesses of Air Transportation