As the air cargo industry continues to adapt to an increasingly digitised landscape, Freightos and its subsidiary, WebCargo are making moves to capture the rapidly growing Indian market.
Scaling digitisation
India represents a high-potential market for Freightos, particularly following its entry around 2021-2022. The Indian air cargo market has shown remarkable readiness for digital transformation, with the company’s user base doubling and dynamic searches for air e-bookings increasing three to fourfold between 2022 and 2023. This growth highlights the industry’s increasing acceptance of digital platforms to streamline operations and enhance efficiency.
“What the industry is missing is really a good way to speak the same language – a digital language. Structured rates, quotations, and a unified way of doing business,” Joyce Tai, EVP of Worldwide Partnerships at Freightos, said, emphasising Freightos’ vision of creating a comprehensive digital ecosystem for freight forwarding.
“India easily can be one of the top countries to fully embrace digitisation without hesitation.”
Empowering small freight forwarders
Freightos has introduced a payment solution designed to bridge financial accessibility gaps for smaller freight forwarders, especially those in tier-2 and tier-3 cities. The platform offers access to live pricing and capacity without requiring substantial bank guarantees, thus providing smaller players with a competitive advantage.
“The product is designed for smaller cities and freight forwarders who do not hold airline stocks. It gives them a competitive advantage by providing access to live pricing and capacity without requiring hefty bank guarantees,” Sumit Garg, Regional Sales Manager, SMB South Asia & Middle East at WebCargo by Freightos, explained.
The platform’s integration with Qatar Airways’ live capacity and pricing data has allowed freight forwarders to book shipments in real time, reducing the dependency on manual processes.
Garg added, “It takes no more than 24 working hours to set up an account, and the entire transaction process is streamlined, from wallet top-ups to final bookings.”
To ensure secure financial transactions, Freightos has partnered with Axis Bank and Juspay, using escrow accounts to mitigate financial risks. This approach addresses a critical challenge for smaller freight forwarders who struggle with the capital-intensive requirements of traditional bank guarantee systems.
Compliance and market penetration
Compliance remains a core consideration for Freightos as it expands its presence in India. The company ensures adherence to global standards through GDPR compliance, ISO certification, and Nasdaq registration.
As Tai noted, “The money will be in the escrow account until the transaction is supposed to happen. This is the only way it should be done.”
The credibility established through collaborations with reputable carriers like Qatar Airways has been instrumental in strengthening Freightos’ presence in the region. According to Garg, the platform’s efficiency has already attracted over 80 new customers within the first month of launch, demonstrating a clear demand for streamlined digital solutions.
Future growth and integration
Looking ahead, Freightos plans to broaden its service offerings by integrating structured data solutions for shippers, enhancing cross-border rate-sharing capabilities, and expanding partnerships with additional airlines.
“The journey starts when you prepare a quotation. We want to bring an end-to-end solution to the Indian market and ensure everybody benefits from easier management of rates and bookings,” Tai stated.
The company’s commitment to enhancing transparency, efficiency, and financial flexibility aligns with broader industry trends aiming to digitise the air cargo supply chain. Freightos’ approach addresses a critical gap within India’s logistics landscape, as stakeholders increasingly seek innovative solutions that can streamline operations while maintaining compliance with international standards.
