Air transporation

The fastest
The most expensive
The most secure
Mostly used for perishable goods and very expensive goods (luxury goods)
Line System Aircraft or Charter Aircraft
International cargo traffic has doubled in the last five years

1. International Conventions
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4.

Warsaw Convention, 1929

International Sanitary Convention for Aerial Navigation, The Hague, 1933
Chicago Convention on International Civil Aviation, 1944
International Air Transport Association, 1933

Warsaw Convention, 1929

International civil aviation agreement that establishes the legal framework for carriage of
passengers, luggage, and goods (cargo);
It covers conditions of carriage that define liability of the carrier in case of loss, damage, injury
or death due to accident on international flights and spell out procedures for claims and
restitution;
lays down out the requirements for format and content of air transport documents (passenger
tickets, luggage tickets, air consignment notes).

International Sanitary Convention for Aerial Navigation

Signed in Hague, 1933;

Regulation of sanitary control measures that can be taken by airports and indicating the specific
documents that must be on board;
requirement for the presentation of all documents (such as sanitary veterinary or phytosanitary certificates)

Chicago Convention on International Civil Aviation, 1944

established the International Civil Aviation Organization (ICAO), a specialized agency of

the United Nations charged with coordinating and regulating international air travel;
The Convention establishes rules of airspace, aircraft registration and safety, and details
the rights of the signatories in relation to air travel;

International Air Transport Association, 1933

Signed in Hague, 1933

Over 130 member states (over 280 air companies);
There are established the IATA transporting conditions ;
Providing a system for splitting the benefits;
Overflown areas are divided in 3 zones:

I.
II.
III.

North America, South America and the islands around;

Europe, Africa, Middle East, the islands around;
Asia, Australia, New Zealand, the islands around.

2. International Air Transport Cooperation

INTERLINE Contract
Mutual representation contract for general sales
The Contract operating in pool
The Contract regarding handling

3. Air Waybill

The air waybill is a contract - an agreement between the shipper and the carrier;
Air consignment note refers to a receipt issued by an international airline for goods and an
evidence of the contract of carriage, but it is not a document of title to the goods;
It covers transport of cargo from airport to airport. By accepting a shipment an IATA cargo
agent is acting on behalf of the carrier whose air waybill is issued;
The air waybill has multiple copies so that each party involved in the shipment can document it.

Main Functions

Contract of Carriage
Evidence of Receipt of Goods
Freight Bill
Certificate of Insurance
Customs Declaration

Content of the Air Waybill

the shipper's name and address,

consignee's name and address,
three letter origin airport code,
three letter destination airport code,
declared shipment value for customs,
number of pieces, gross weight, a description of the goods,
any special instructions (e.g,. "perishable").
conditions of contract that describe the carrier's terms and conditions, such as its liability limits
and claims procedures.

4. Rates and Price formation

General Cargo Rates

Specific Commodity Rates

Main elements that influence the level of air rates:

Weight of cargo
Cargo cubic capacity
Distance and transport relation
Type of goods
Packaging way
Transport form of employment
The possibility of using the return flight

Conditions of payments

Charges prepaid (CP)

Charges collect (CC)
Cash on Delivery (COD)