Hanjin Group and Korean Air chairman, Yang Ho Cho, have called for an “integrated air, sea and land logistics system to boost the global economy” at the Business Summit (B20) in France.
Cho explained: “It is important to lower logistical costs for international trading companies by building an integrated and standardised global logistics system.
“With lower costs, international trading companies will be able to strengthen their competitiveness, bolster international trade and enhance the global economy.”
Cho has been part of the B20’s Trade and Investment Working Group, convening with other business leaders from around the world at the B20, working alongside the G20 Summit that is designed to strengthen worldwide financial cooperation.
Also participating in the working group was the chairman of Nestle, and the presidents of Dow Chemical Company and Embraer, among others.
Cho showcased IATA’s e-freight project as a global success story: a worldwide air cargo system that simplifies transportation processes through standardised electronic data-exchange between businesses, airlines, airports and customs departments.
“To facilitate trade, this kind of effort should not be restricted to air transport but needs to be expanded to sea and surface,” Cho commented.
IATA introduced its e-freight system in 2004.
Chairman Cho, as a member of the IATA Board of Governors, adopted it for Korean Air in 2008 and committed to use it with other global airlines.
IATA predicts savings of from $3.1 billion and $4.9 billion in logistics costs per year if each international trading company adopts the e-freight system.
So far 384 airports, 33 carriers, 1,650 forwarders in 44 countries have joined in this e-freight initiative.
Korean Air is considered the Asia’s Leading Airline First Class by the prestigious World Travel Awards.