Plan panel recommends cargo villages around major airports

In line with the international practice,the Planning Commission has recommended the setting up of dedicated air cargo villages....

In line with the international practice,the Planning Commission has recommended the setting up of dedicated air cargo villages,which can boost the economy and generate employment opportunities. These cargo villages,which could be planned around major airports,will entail the establishment of an integrated cargo infrastructure,according to a recent integrated logistics report prepared by the panel. The cargo villages are designed as a one-stop solution,providing forward and backward linkages,so as to give a thrust to the cargo industry.

For the creation and development of such villages,the plan panel has recommended demarcation of land within the international airports. Where land is not available within the airport premises,off-airport air cargo village facilities can be developed, said the report. The commerce department or customs should frame standard guidelines,similar to inland container depots,to facilitate private participation.

While the on-airport site cargo villages could be managed by the airport operator or its licensees,the off-airport site cargo villages could be developed by any logistics operator. For development of international air cargo hubs within airports,the plan panel has suggested that the airport operator should decide if the investment made in upgrading the infrastructure is justified.

However,it has unequivocally supported the development of Delhi as an international air cargo hub. Considering relevant factors that affect an airports ability to attract transshipment cargo traffic,Delhi comes to mind first for development of an international cargo hub in India, the report noted. The Plan panels recommendation of Delhi comes on the heels of Nagpur being developed as international air cargo hub. Earlier,the Airports Authority of India had objected to Nagpur being chosen as the site for an international cargo hub.

The village will comprise airline terminals,forward bonded terminals and specialty centres for the movement of special cargo such as perishables,valuable cargo,pharmaceuticals and restricted articles. It will address issues of delays and multiple clearances by rationalisation,streamlining and simplification of procedures,documents and charges a long-standing demand of the cargo industry.

Currently,air cargo forms just 1 per cent of the countrys total volume of trade,which makes up for almost half the global average. As per the latest report of the International Air Transport Association (IATA),international air freight was down by 21.7 per cent in April 2009 compared to previous year levels.