Madhya Pradesh, India's second largest state by area with a population of 75 million, has found that state-wide air cargo declined in fiscal 2011-12, with volume through its largest city, Indore, falling 10.6 per cent while its capital, Bhopal, suffered a 26.3 per cent year on year drop, according to the Shipping Gazette. 
This emerged after a survey by the Airport Authority of India (AAI), which noted that Indore airport handled 4,389 tonnes of cargo compared to 4,909 tonnes the previous financial year. Bhopal airport moved 806 tonnes compared to 1,093 tonnes the year before, reported the Times of India.
The downturn was attributed to the lack of competitive rates, longer time for the delivery of cargo, inconvenient service and absence of international cargo service as the main reasons for drastic dip in air cargo from the state during 2011-12, said the report.
"What's the point in sending cargo by air, if it takes as much time as in the case of sending by road transport," said Confederation of Indian Industry (CII-Madhya Pradesh) chairman RS Goswami, adding that trucking costs INR2 (US$0.03) per kilogramme compared to INR40 by air.
Mr Goswami said airlines take more than two days for delivering the cargo, while the same can be delivered in two days if it was sent by road.
Mr Goswami said the absence of international air freight facilities was another drawback. "If anyone has to send cargo to abroad, then first it has to be sent to the domestic airport at Delhi or Mumbai," he said.
Pharmaceutical products and high-end engineering goods are some of the major items being sent via air cargo from Bhopal. Bhopal and nearby areas have 1,000 engineering units out of which around 25 are export-oriented ones, said the report.
But Indore airport director RN Shinde said the decline was seasonal. "Right now Spice Jet and Air India are having air cargo services from Indore. Indigo Airlines has shown interest in starting cargo service from here in the future," he said.