How Globalization Led To The Significant Growth Of Air Cargo Security And Screening Systems Industry?

Earlier, the security check of cargo shipments was handled manually by the security guards at the airport. Further, these checks were carried to check that the ships are not breaching the cargo laws by carrying anything perilous. So, this could be done manually as the number of cargos were less as compared to the current set-up.

Globalization led to the entry of a huge number of air service providers, thereby, boosting the air traffic and flow of cargo consignments on the airport. Hence, airports started to set up air cargo security and screening systems in order to scrutinize the cargo consignments faster and efficiently.

The global air cargo security and screening systems market was estimated at around US$ 900 Mn in 2015 and is anticipated to cross more than US$ 1,600 Mn till 2024 end. On the basis of value, the market is likely to display a strong CAGR of 6.1% over the forecast period (2015-2024).

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In the past few years, there has been remarkable escalation in the number of freight forwarders, leading to increased demand for air cargo services.  Freight forwarders organize shipments for organizations and individuals in order to transport goods for producer or manufacturer to a final point of distribution, market or a customer.  With increase in security and screening at the airports across the globe, along with the advancement in these processes, the number of freight forwarders are significantly augmented.

 Air Cargo Security and Screening Systems Post 9/11

Cargo industry, in past 15 years has observed more rigorous screening by Transportation Security Administration (TSA). According to James Kling, a supply chain management expert and a management professor, it took few years to execute the Certified Cargo Screening Program.
In 2007, after the 9/11 attacks, Congress passed a law stating that all the cargo transported in the passenger planes from the US must be screened along with the passenger luggage. However, they identified that the difficulty of screening an extensive variety of cargos and packages is more intricate than screening passenger baggage.

CCSP Approach by TSA

The Security Administration TSA came up with the Certified Cargo Screening Program (CCSP) as a solution. Under the CCSP shippers, logistics services providers, independent cargo screening firms, freight forwarders, and air carriers can screen cargo. This approach efficiently generated a disseminated screening setup, enabling screening to be implemented at the most economical point in the supply chain, thereby, modifying the effect on system performance, eventually advancing the flow of business.

The primary usage of using air cargo and screening systems is to detect narcotics and explosives. Airport authorities across the world use explosive detection technology and have mounted advanced security systems in order to trace drugs and detect explosives in both small and large pallets of cargo. Also, growing risk of terror-related activities has driven airport authorities to implement explosive detection technology.

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Recently, Aviation Civil Aviation Organization (ICAO) has come out with novel criteria to certify the security in the air cargo supply chain, eventually boosting the overall development.

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