The air cargo industry faces several key challenges, including regulation and digitalisation, the rapid growth of e-commerce and the consequent imbalances in northbound supply, leading to tariff distortions.

 Addressing these issues is crucial for maintaining a balanced supply and ensuring the industry’s continued growth and efficiency. 

“At Avianca Cargo, our purpose is to build long-term relationships. This is possible because we are capable of responding to the specific needs of our clients in a flexible way, prioritising our commitment to deliver the best service,” Diogo Elias, Avianca Cargo Senior Vice President, stated.

“We believe that our people, a team of experts that work closely with our customers, is the key that allows us to deliver excellent results. And, beyond operating excellent, we improve the supply chain by developing new businesses, increasing connectivity, and enhancing operational efficiency.”

Fresh approach

This new brand repositioning reflects three years of transformation, as the airline evolved into the new avianca cargo – a more reliable partner for customers and a team that is obsessed with bringing to reality each and every requirement, solution, shipment, that they need, always committed to strengthen their businesses and make them grow.

“We have raised our standards for our customers, our levels of service, renewed our fleet, our product portfolio, our infrastructure and we are offering a more consistent itinerary,” Elias explained.

“We dream together, we build solutions together and make them happen. Our customers drive everything we do. “avianca cargo, we are doing it for you.”

Sustainability and innovation

Sustainability is a critical factor shaping the future of the airfreight industry, with far-reaching impacts. Avianca Cargo acknowledges the importance of collaborating with key clients to enhance its role in the supply chain. Together, the carrier is working on measuring carbon footprints and developing initiatives to reduce, mitigate, and offset environmental impacts.

“We operate one of the largest cargo networks in the Americas, utilising the A330F, the most modern mid-sized freighter with the lowest environmental impact in the region,” Elias cited. 

“In April, Avianca Cargo announced a significant sustainability initiative, replacing conventional plastics with biodegradable materials from BioNatur Plastics for pallet covers across all its stations. Since the start of this partnership, the company has purchased over 1,630 boxes of biodegradable plastic, preventing the equivalent of more than 4.8 million 16 oz. plastic bottles from ending up in landfills.

“While traditional plastic can take up to 1,000 years to biodegrade, these biodegradable plastics break down in just eight to 12 years. Importantly, the biodegradable plastics retain the same quality as conventional ones and can be recycled for further use.”

In addition to sustainability, digitalization is transforming how we operate, improving efficiency and transparency across the supply chain. The carrier is investing in advanced digital platforms to streamline processes to enhance customer experience.

“To achieve this, the company has implemented several new initiatives that increase booking accuracy and reduce confirmation time, all within its eBooking strategy, which allows customers to plan, confirm, and manage reservations digitally 24/7,” Elias continued. 

“Avianca Cargo has become the first cargo airline to simultaneously connect with the three major marketplaces—CargoAI, cargoONE, and WebCargo. Since January 2024, it has offered 100 percent of its routes for general cargo (GCR) bookings through these platforms.

“The company integrated with CargoWise, a cargo system used by the top 25 cargo agents globally. Avianca Cargo now receives bookings from six countries, including Panama, El Salvador, Brazil, Colombia, Ecuador, and the United States.

“Avianca Cargo became the first airline in South America to have an integrated system with DB Schenker, one of the largest global logistics providers.

“The airline uses Airblox, an online marketplace that allows freight forwarders and the airline to exchange cargo capacity via electronic block space agreements (eBSA). Currently, more than 280 flights are available for booking over a two-month period on the platform.”

Key markets and challenges

The air cargo industry is currently grappling with several significant challenges, including regulatory changes, the need for digitalisation, and the rapid expansion of e-commerce, which has led to imbalances in northbound supply and tariff distortions. Addressing these issues is essential for maintaining a balanced supply chain and ensuring the industry’s continued growth and efficiency.

For Avianca Cargo, the primary focus is on reinforcing its network for our clients. In July, the carrier announced the expansion of its West Coast network as part of a strategy to strengthen cargo hubs in the US and enhance operations in Mexico. This includes better integration between Avianca Cargo and its commercial partner, AeroUnion. 

In South America, Avianca Cargo launched three new routes last year, including two in Brazil, to strengthen its presence in the region. These new routes enhance connectivity with North America and Europe, underscoring its commitment to serving the South American markets.

 In Europe, Avianca Cargo recently introduced the Bogota-Paris route with five weekly flights on passenger aircraft, providing a capacity of over 100 tons. This route focuses on the export of perishables like fruits, flowers, and salmon, while also serving the southbound market with products such as electronics and pharmaceuticals.

“Our focus has been and will continue to be connecting our clients with the main markets in Latin America. Northbound we will consolidate our leadership on perishables transportation such as flowers, fruits, and salmon,” Elias outlined. 

“Meanwhile, for the southbound routes, we will focus on technology, pharmaceutical, high value products, auto parts and e-commerce. 

“As for the rest of the markets, we will continue strengthening our own and interline alliances with Asia and Europe.

“In terms of our network to Europe we connect through strategic hubs such as Barcelona, Madrid, París and Londres, and through us interline agreements we will connect more than 80 countries around the world to strategic commercial destinations.

“We are expanding our partnerships to tap into the growing Asian market. For example, we signed a Memorandum of Understanding (MoU) with Turkish Cargo to explore synergies that will improve connectivity between regions. 

“Through increased capacity and strategic alliances, we plan to diversify our product portfolio.

“A year after signing our MOU, we are very happy to announce that, as part of this strategic partnership, Turkish Airlines just launched a new service between Liège Airport (LGG) in Belgium and Miami International Airport (MIA) in the United States. This new operation will enable both carriers to further develop our partnership and enhance air cargo connections, providing customers with greater capacity and access to a more extensive and interconnected global network”.