South Korea’s Incheon International Airport has the potential to rapidly rise as a major hub for global freight logistics on the back of strong growth in e-commerce in Asia, experts said at an aviation forum.

Government officials, corporate executives and academic professionals gathered at the 27th International Air Cargo Forum and Exposition, hosted by the state-run Incheon International Airport Corp., in Seoul on Wednesday.

They discussed air cargo capability and the prospect of Incheon Airport.

“Incheon International Airport has developed into the world’s second-largest airport in terms of international freight volume with an annual average growth rate of 6.2 percent since its 2001 opening,” said Lee Ho-jin, the airport’s vice president. 

The country’s air cargo sector, however, faced near flat growth in recent years due to the economic slowdown in countries such as China, Europe and the U.S.

Korean manufacturers expanding overseas production has also contributed to lackluster growth in air cargo transportation.

Officials from global freight forwarders and airliners that use the Incheon Airport Logistics Center said the airport could benefit from the emergence of e-commerce.

“IIAC remains a strong base for us in all of the Asia region, transpacific and soon to be Europe,” said Kersti Krepp, vice president of sales and marketing at Polar Air cargo Worldwide.

She said the U.S.-based cargo airline expected strong growth in North Asia as the region is not only seeing growth in e-commerce but also moving to reduce and gradually eliminate tariffs for further economic integration.

The e-commerce sector is expected to account for about 30 to 40 percent of the total trading volume by 2025, according to an industry report.

“The amount of international express cargo via Internet orders at Incheon Airport has increased more than 40 percent in 2013, compared to the previous year,” IIAC vice president Lee said. “It is expected to grow further.”

The government needs to promote the country’s online shopping to boost the air cargo volume as well as develop the manufacturing industry near the airport, Incheon National University professor Ahn Seung-bum said during the forum.

By Park Han-na (hnpark@heraldcorp.com)