Blockchain for Air Cargo Tracking
Sector: Tertiary sector · Industry: Aviation · Organisation: PLOGchain (FFG-gefördertes Forschungsprojekt, Österreich) · Maturity level: Concept
Blockchain technology is being explored to improve transparency and efficiency in air cargo supply chains. The technology would enable comprehensive traceability of air cargo shipments and could theoretically automate customs processing. However, since no verified implementations or concrete projects are documented, this remains a conceptual use case scenario.
Documentation status
- Project status: Concept
- Evidence: Evidence medium
- Editorial review: Ufuk Avci, 15 April 2026
Description
PLOGchain (Pharmaceutical Logistics Chain) is an Austrian research project funded by the FFG (Funding Agency). The project examined the use of blockchain technology for real-time tracking of freight shipments with a special focus on temperature-sensitive pharmaceutical air freight.
Air freight logistics is highly complex: a shipment from Vienna to Sydney typically involves 5-7 different organisations (sender, forwarder, ground handler, carrier, transit hubs, customs, recipient). Each handover point generates paper documents; no party has complete visibility. PLOGchain solved this problem for the Austrian context: all shipment events are blockchain-documented; all authorised participants see the same status in real time. PwC Germany simultaneously supported companies in blockchain supply chain implementations and published a comprehensive guide on blockchain in the supply chain. Air France-KLM already evaluated the use of blockchain for its MRO processes in 2017 (Aviation Today). The PricewaterhouseCoopers model estimates the potential blockchain value in the air freight sector at 3.5 billion USD global savings through efficiency gains.
Perspectives
B2B — organisations perspective
Air freight forwarders and airlines can synchronise all parties involved in a freight movement in real time via blockchain platforms — seamless visibility, immediate status updates, reduced handling times.
B2C — consumers perspective
End customers could benefit from improved shipment tracking and more reliable delivery times. However, the direct impact on private customers would be limited, as they usually do not interact directly with air freight services.
Employees perspective
Employees in air freight handling would need to adapt to new digital workflows. Manual documentation processes would be replaced by automated blockchain-based systems.
Benefits
General
- Increased transparency throughout the entire air freight supply chain through immutable data recording.
- Theoretical reduction of delays through automated processes and improved coordination.
- Possible cost reductions through fewer manual errors and more efficient handling.
B2B — organisations
- Improved coordination between different actors in the air freight industry through a shared data basis.
Employees
- Less repetitive manual tasks through automation of documentation processes.
Challenges
General
- Lack of interoperability between different blockchain networks and existing systems.
- Need for industry-wide standardisation and coordination among all stakeholders.
B2B — organisations
- High implementation costs and complex integration into existing freight management systems.
Employees
- Required further training to handle new blockchain-based workflows.
Technology foundation
A hybrid blockchain solution would be suitable for air freight tracking as it can meet both public transparency and private data protection requirements. Smart contracts could enable automated processes for customs clearance and document processing.
Tags
Supply chain, Transparency, Smart contract, Tracking, Automation