The liberalization of trade between countries has seen a greater number of airlines operating between nations which has opened up competition, increased capacity and frequency, and reduced prices. Global airfares and freight rates have reduced in real terms by an average of 2.4 percent per annum over the past 20 years.

The formation of the European Community has changed the way business is done in Europe and in the United States the deregulation of airlines and trucking companies has transformed the industry.
In the airline business, freight and freighter operations are taken seriously and constitute up to 18 percent of airlines revenue and make a significant contribution to profits.

The advent of carbon-fiber composite materials and high bypass turbo-fan engines is making aircraft lighter, more reliable and able to fly longer distances using less fuel. Studies of circadian rhythm have enabled flight crews to operate for longer hours to enable crew scheduling to keep pace with the longer distances and operating times on ultra-long haul routes.

Engine reliability has changed so much that now two engine aircraft can operate long distances over water (they used to have to remain within 60 minutes of land) and this has enabled the B777 and similar aircraft to perform tasks once thought unimaginable.


GPS SYSTEM
Computerization has enabled rapid throughput of large volumes of intercontinental freight meeting all the customs and quarantine requirements in keeping with global growth. The development of GPS systems has enabled aircraft to utilize the best wind conditions for speed.

The development of hub and spoke operations has however reduced point-to-point operations and increased risk by creating more transshipment of freight.

SURFACE TRANSPORT
In surface transport the construction of better road surfaces in the form of autobahns and freeways coupled with lighter equipment and the use of air-ride suspensions has provided a much smoother ride as well as less wear and tear on equipment and on the infrastructure we use.

The introduction of sleeper cabs, ABS braking, better tire technologies, driver training and fatigue management has made trucking a safer industry and cellular phones, GPS, Satellite tracking and Satellite communications has ensured that no-one is ever out of reach – business is real-time 24 x 7.

Containerization and palletisation has really changed the way the world does business. We’ll come back with another report on the next 30 years of changes in the virtual simulcast of the 2036 edition of the ICEFAT Newsletter.