Cargo Village: Logistics concentration under one roof?

Airport infrastructure is always an area of concern for the air cargo industry. A cargo village is a place where entire air cargo fraternity comes under one roof, and all related activities are incorporated. CARGOTALK speaks to airports, airlines and freight forwarders to gather an insight into this concept. Is the ground set for such facilities in our country? Read on to find out which way the debate swings…

Sanjiv Kumar Executive Director – Cargo, Air India

Cargo villages will certainly bring relief on the infrastructure front. They will function as logistics concentration points, covering a range of activities like packing, re-packing, warehousing, truck parking and break-bulk services. They also provide better transport facilities, speedier customs clearances and are expected to reduce both handling costs and time. For enhanced efficiency, consignments dispatched from the cargo village to the airport should be in “ready for carriage” condition. The cargo village at Bengaluru covers not only the above, but also provides conference rooms, banking facilities and truck parking lots.

However, infrastructure needs to be addressed for cargo villages to be successful. The Bengaluru cargo village suffered initially due to delays in commencement, high rentals, unavailability of proper warehouse facilities, problems with internet connectivity and transshipment issues. These need to be resolved in advance for the upcoming cargo villages.

Furthermore, the village should have an intermodal terminal, with access to major freight movement corridors as well as to the nearest seaport. This will allow quick, flexible movement of cargo between warehouse, wharf and destination, by both rail and road.