Air shipping is a key component of manufacturing trade, especially when talking about trade in components, a major trend nowadays. More simply explained, air cargo is a must-have of our modern lives, regardless if it’s a business shipping goods and products, or moving offices or an individual ordering things online from overseas. Despite the fact that it is often overlooked, air transport is an innovation that has definitely made our lives easier.
If it’s still hard for someone to wrap their heads around this, think of the pharmaceutical industry and how highly dependent it is on air shipping. Transporting life-saving medicines such as biologics or vaccines not only requires speedy delivery and efficiency, but it also a temperature sensitive imperative. Overall, estimates show that $13.4 billion are spent worldwide on temperature controlled biopharma logistics and by 2021, that figures is expected to increase by another 3 billion at the very least.
Nevertheless, medicines are among the most expensive products to transport and it’s not because of cargo costs, but because of the regulatory restrictions associated with this and the expertise required to do so. Luckily, with the fourth industrial revolution well on its way, highly advanced data analytics and the myriad of benefits the internet of things brings, the gaps of shipping via air will be closed. An ever-increasing global demand in a highly competitive market such as the world of pharma and biopharma is much in need of air cargo innovation.
Wrongfully handling occurs in more than half of all temperature excursions while the package is in the hands of airline and airports. And this is extremely important when a single, apparently minor mistake along the supply chain can alter the integrity of an entire batch of medicines. The cost paid here is much bigger than numbers, it is patients’ lives.
Due to major shifts in the pharmaceutical industry, currently a transformation is happening across the value chain. Manufacturing companies are moving from single manufacturing sites to global networks which can require a drug to be processed in multiple sites throughout multiple locations that may not necessarily be in the same place.
The pharmaceutical sector is one of the most innovative industries in Canada. The country has the 10th largest world market. Within this context, air shipping will start playing an even bigger role and manufacturers will need to be able to rely on the business that offer such services more than ever.
Air shipping has proven itself to be a vital enabler of the global economy and that is across sectors and industries. It is a valuable component of the whole airline industry in Canada, generating about 12% of overall revenue, and it is key in driving global commerce now and in the future.