[150319.EN.AIR] Singapore Changi to Double Cargo Handling Capacity by 2030

SINGAPORE aims to double its annual cargo handling capacity at Changi airport from three million to 5.4 million tonnes to tap the growing air cargo sector by developing at Changi East, a future Terminal 5 (T5) plus industrial zone.

Changi Airport Group's (CAG) plans were unveiled by Senior Minister of State for Transport Dr Lam Pin Min, who said T5 will start operating in 2030, Singapore's The Straits Times reported.

"In the long term, Singapore will continue to innovate and transform Changi Airport to meet the evolving demands of the air cargo sector. When fully completed, the Changi East Industrial Zone (CEIZ) will almost double our current handling capacity for cargo," Dr Lam said.

Speaking at the opening of a global cargo conference at Marina Bay Sands, Dr Lam noted that there have been shifts in global supply chains as industries seek higher efficiencies and some parts of the world engage in more trade protectionism practices.

"But one thing remains - air cargo is an important part of the global supply chain and a key enabler of the world trade," the Minister said.

In 2018, the global air cargo community recorded a total volume of 63 million tonnes of goods, and while this makes up only one per cent of the total volume of goods moved, the value of goods moved by air represents 35 per cent of world trade.

Dr Lam said: "The outlook of the air cargo industry remains optimistic, especially in Asia Pacific." This can be attributed to two key trends - emerging growth opportunities in Southeast Asia and rising affluence and consumption of Asia's rapidly growing middle class.

Citing eCommerce as an example, Dr Lam said at the 13th edition of the World Cargo Symposium, organised by the International Air Transport Association (IATA), that affluent and savvy consumers increasingly expect online orders to be delivered as soon as they hit the check out.

"Singapore's strong air connectivity within Southeast Asia and to the rest of the world puts us in a good position to support the growth of eCommerce in the region," he said.

In the long term, it is also important for the sector to innovate and transform, to meet changing needs and demands.

At the new Changi East industrial complex the air freight terminals will be highly automated and data-driven, Dr Lam noted. "We will strive to enhance our connectivity with the region and beyond, and support industry innovation by offering Singapore as a place to testbed new and innovative ideas," Dr Lam added.

Source : HKSG / Photo : Surbana Jurong.