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Air Cargo Policy

The Ministry of Civil Aviation, Government of India has formed an Inter-Ministerial Air Cargo Logistic Board headed by Secretary, Ministry of Civil Aviation. The Board will lay down the policy guidelines for setting up of air cargo facilities at airports and will also set performance standards relating to the quality of service in the air cargo logistic supply chain.

The Civil Aviation Minister, Shri Ajit Singh has set up the Board with an objectives to resolve inter-ministerial issues that affects the air cargo operations in the country. The Board will review, on a continuous basis, the general and sectoral policy regime governing air cargo logistic operations and remove the bottlenecks to efficiency.

The Ministry of Civil Aviation has earlier constituted a working group on air cargo and service industry to set priority of issues and recommend policy initiatives on air cargo express service industry recognizing its vital role in the economic development of the nation. The Inter-Ministerial Board has been constituted on the recommendation of this working group in keeping with the need to handle increased demand for air cargo transportation and ensure rapid delivery of goods.

The 17-member Board with representatives of the level of Joint Secretary and above from various Central Ministries and Departments will have the following broad framework of functions:

· To resolve Inter-Ministerial issues that affect the air cargo logistics operations in the country and to achieve better efficiency.

· To review, on a continuous basis the general and sectoral policy regimes governing Air Cargo Logistics operations with a view to remove bottlenecks to efficiency.

· To review and monitor the functioning of Cargo Facilitation Committee tha are headed by Airport Directors of AAI and other private/JV airports with a view to review the effectiveness of these bodies.

· To lay down policy guidelines for setting up of Air Cargo facilities at airports, air freight stations/cargo villages including guidelines for Public Private Partnership model of development of these facilities.

· To act as a coordinating agency to ensure expeditious clearance of the proposals for setting up of air cargo facilities at airports, air freight stations/cargo villages in the country subject to fulfillment of all statutory requirements.

· To lay down performance standards relating to quality of service in the air cargo logistics supply chain to be monitored by the Airports Economic Regulatory Authority (AERA) for implementation.

· To review the progress on development of major gateway airports as cargo hubs through facilitating transshipment and

· To review periodically implementation of the proposals cleared by the Board.

Representatives of the Ministries of Environment and Forests, Ministry of Health and Family Welfare, Ministry of Home Affairs, Ministry of Railways, Ministry of Road Transport and Highways, Ministry of Shipping, Planning Commission, and Representatives of Department of Agriculture and Cooperation, Department of Commerce, Department of Revenue, Central Board of Excise and Customs, Container Corporation of India Ltd, Joint Secretary dealing with Airport Infrastructure, Ministry of Civil Aviation, Commissioner of Security, Board of Civil Aviation Security, Airports Authority of India and Economic Advisor, Ministry of Civil Aviation as Member Secretary will comprise the 17-member Board which may co-opt representatives of any other Ministry/Department of Government of India, State Governments, Financial Institutions and professional experts and representatives of the Industry as and when necessary. 



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