WEEKLY NEWS pharmaceuticals


CAN EMERGING AIRPORTS KEEP UP WITH PHARMA GROWTH?


BY Tanmay TIWARY


AS pharmaceutical supply chains grow more complex and time-sensitive, airfreight has become a critical enabler of global drug manufacturing and distribution. From vaccines and biologics to injectable therapies


and clinical trial material, demand for temperature-controlled transport continues to rise. Across emerging markets, however, questions persist over whether airport cold-chain infrastructure is scaling fast enough to support this growth. According to the International Air Transport Association (IATA),


remain commodities, driven by among the


AIR CARG O WEEK


fastest-growing


air


cargo the expansion of biologics, personalised


medicine, and increasingly fragmented production networks. While leading hubs in Europe and North America have invested heavily in


specialised pharma corridors, infrastructure readiness across emerging markets remains uneven. This disparity is increasingly influencing airline routing decisions, shipper confidence, and investment flows.


Demand growth outruns airport readiness Airlines and freight forwarders active in pharmaceutical logistics report that pharma volumes are expanding faster than general cargo at several emerging market airports, placing strain on facilities originally designed for less time-sensitive freight. Brendan Sullivan, IATA’s global head of cargo, has repeatedly noted in


industry forums that the greatest risks to pharmaceutical integrity typically arise on the ground rather than in the air. Weak temperature control, congestion, and manual processes at airports, he has said, can expose cargo to delays and compliance risks during peak operating windows. Forwarders report that at congested gateways, dwell times for temperature-sensitive


shipments can increase during night-time


peaks, when freighter arrivals overlap with passenger belly flows. Even short delays, industry participants warn, can undermine service-level agreements with pharmaceutical manufacturers.


India: Scale, growth — and a different view on risk India, one of the world’s largest producers of generic medicines and vaccines, sits at the centre of this debate. Pharmaceutical exports exceeded US$25 billion in FY24, according to government data, with airfreight accounting for a significant share of high-value and temperature-sensitive shipments. Cold-chain-capable infrastructure remains concentrated at a limited


number of gateways, notably Hyderabad, Mumbai, and Delhi. Hyderabad’s Rajiv Gandhi International Airport has positioned itself as a dedicated pharma hub, supported by specialised facilities and proximity to major manufacturing clusters. However, not all observers view airport infrastructure as a binding


constraint. G Chokkalingam, founder and head of research at Equinomics Research,


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argues that concerns around airport readiness may be overstated. “I don’t think airport infrastructure will be an issue in such time-sensitive


pharma exports. So far, I have not heard of any major bottlenecks,” he said. Chokkalingam points to structural differences between pharmaceutical


logistics and passenger aviation. “Competitive intensity in this segment is not as high as that seen in the passenger segment. Regulatory restrictions are also less stringent in airport infrastructure supporting industry,” he said. He added that pricing flexibility enables infrastructure investment to


keep pace with demand. “In B2B, it is quite possible to pass on fuel cost hikes to industry users without regulatory hurdles. As demand grows, the supply of such infrastructure should scale in similar proportions.”


Concentration continues to shape behaviour Despite this more optimistic view, airline cargo executives say operational


risk management continues to drive concentration at


proven gateways. Ram Menen, former senior vice president of Emirates SkyCargo, has previously observed that pharmaceutical shippers prioritise predictability and compliance over transit time, often favouring established airports even when routings are longer. As a result, secondary airports — particularly those lacking validated storage,


cold apron-side temperature protection, and consistent


monitoring systems — struggle to attract pharma traffic despite proximity to manufacturing clusters. Freight forwarders add that shippers increasingly factor airport


capability into production and inventory planning, consolidating volumes through a small number of trusted gateways to minimise operational risk.


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Africa and Southeast Asia: Selective progress Across Africa, pharmaceutical air cargo volumes are growing steadily, supported by vaccine distribution, clinical trials, and regional manufacturing initiatives. Ethiopian Airlines Group has invested heavily in pharma handling capabilities at Addis Ababa Bole International Airport, positioning the hub as a regional gateway for temperature-sensitive cargo. Beyond a small number of leading hubs, however, infrastructure gaps


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persist. Glyn Hughes, director general of The International Air Cargo Association (TIACA), has stated publicly that infrastructure constraints — rather than demand — remain the primary limiter of air cargo growth in many emerging markets. He has highlighted limited warehouse capacity, regulatory fragmentation, and landside bottlenecks as ongoing challenges. Southeast Asia presents a similarly uneven landscape. While Singapore


Changi has developed a mature pharma ecosystem, forwarders say cold- chain infrastructure in fast-growing manufacturing markets such as Vietnam and Indonesia is still catching up with export ambitions.


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