Aviation system must keep pace with e-commerce growth, says Airports Authority boss
Published:Tuesday | June 14, 2022 | 8:29 PM
WESTERN BUREAU:
President and Chief Executive Officer of the Airports Authority of Jamaica (AAJ), Audley Deidrick, says the aviation system needs to be keep pace with the increasing speed service delivery through e-commerce.
He was addressing a panel discussion today at the eighth annual International Conference and Exhibition at the Montego Bay Convention Centre in Rose Hall, St James.
Aviation, he explained, acts as a physical support system to facilitate the e-commerce sector, which handles the electronic transactions for goods and services which are then transported to their appointed destinations.
Deidrick said while less than one per cent of all cargo delivered worldwide is done via aviation services, approximately 45 per cent of amount that goes through aviation is handled and distributed through airlines.
“We need to provide an enabling environment where our technology and our physical infrastructure are keeping pace with the improvements that are taking place in e-commerce. While e-commerce is a very powerful tool for cargo and trade, if e-commerce is moving at a speed of 90 miles an hour and the airports can only take the processing of these transactions and physical goods at 10 miles an hour, then you have a problem,” Deidrick told the panel.
The AAJ head added that the aviation system enables and accommodates other industries such as horticulture, pharmaceuticals, and sports.
With e-commerce businesses increasing because of the impact of the COVID-19 pandemic, global estimates are for e-commerce sales to reach US$5 trillion in 2022 and US$6 trillion by 2024, conference documents said.
Business-to-business e-commerce site sales are forecast to reach US$1.77 trillion for 2022, a 12 percent increase over 2021.
- Christopher Thomas
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