Volcanic Ash Put Air Freight at Risk

A volcanic eruption and the resulting spread of volcanic ash threatened national logistics and international trade through Soekarno-Hatta International Airport (Soetta), Indonesia’s main air transportation hub. A supply chain research institution, has warned that the closure of airspace or flight diversions could significantly disrupt export and import flows, with delays potentially affecting tens of millions of US dollars in trade.

Soekarno-Hatta plays a critical role in transporting high-value and time-sensitive goods. Based on data from Statistics Indonesia (BPS) and the Ministry of Trade, the average value of international trade passing through the airport is estimated at USD 84.03 million, or approximately IDR 1.3 trillion, per day.

The disruption to flight operations caused by volcanic ash could result in approximately USD 28 million worth of delayed exports and imports. This includes an estimated USD 9.04 million in delayed exports and USD 18.97 million in delayed imports, with around 160 tonnes of imported cargo potentially affected.

The potential disruption is particularly significant because air cargo is widely used for goods that require fast delivery, including perishable products, pharmaceutical supplies, critical manufacturing components and high-value electronics. Extended flight disruptions could therefore create knock-on effects beyond the airport, including cargo backlogs, delays in industrial production and shortages of essential raw materials.

To prevent cargo congestion and minimize the risk of supply shortages, experts have recommended activating cross-agency emergency coordination mechanisms. The response should involve airport operators, airlines, Customs and Excise authorities, quarantine agencies and other relevant stakeholders to ensure that critical cargo continues to move despite restrictions on air operations.

Priority should be given to goods that are highly sensitive to time and temperature, particularly perishable products and pharmaceuticals. Critical manufacturing components and high-value electronic products should also receive expedited handling to reduce the potential impact on industrial supply chains and business operations.

For domestic shipments, supply chain researchers urged businesses and logistics operators to immediately consider alternative transportation modes where feasible. Road, rail and sea transportation could help maintain the movement of goods and reduce pressure on the air cargo network while flight operations remain disrupted.

The situation highlights the vulnerability of supply chains that rely heavily on a single major aviation gateway. Soekarno-Hatta serves not only as Indonesia’s largest passenger airport but also as a key gateway for high-value international cargo. Any prolonged restriction on its airspace could therefore have wider implications for manufacturers, exporters, importers and logistics providers.

Early coordination, cargo prioritization and the rapid deployment of alternative transportation routes will be crucial in limiting the economic impact of volcanic ash disruptions. Businesses with time-sensitive or critical shipments are also expected to need contingency plans to prevent temporary aviation disruptions from developing into broader supply chain bottlenecks.

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