Report: Lost Luggage Declines, But Baggage Blunders Still Cost Billions

Natasha Lair
by Natasha Lair
Last updated: 7:35 AM ET, Fri June 13, 2025

Mishandled baggage remains a costly problem for the global aviation industry, but new data from SITA shows that steady progress is being made thanks to technology upgrades and more efficient processes.

According to SITA’s 2024 Baggage IT Insights report, the rate of mishandled baggage fell to 6.3 per 1,000 passengers in 2024, an 8.7% improvement from 2023. This marks a 67% drop compared to 2007, when rates were more than three times higher.

"Passenger numbers are rising so fast that – even as the percentage of mishandled bags gets better – the total volume of mishandled bags gets worse," SITA reports. "In the past year, in total over 10 million more bags were delayed, mislaid, misdirected, pilfered or stolen."

Still, the financial toll remains significant—baggage mishandling cost the industry an estimated US$5 billion in 2024.

RELATED: IATA Unveils 10-Year Roadmap to Modernize Baggage Handling

 According to SITA, international routes are five times more likely to lose luggage than domestic flights. Three quarters of bags are simply delayed. One in five bags is damaged or pilfered. One in twenty bags is lost or stolen.

Asia continues to lead the world with the lowest mishandling rate at just 3.1 bags per 1,000 passengers. North and South America followed at 5.5, with the Middle East and Africa reporting 6.02. Europe remains the outlier, with a much higher mishandling rate of 12.3 per 1,000 passengers.

Of the 33.4 million bags that were mishandled last year, more than 66% (22 million) were resolved within 48 hours using the SITA WorldTracer system.

Transfer-related mishandling accounted for more than 40% of incidents.

David Lavorel, CEO of SITA, emphasized that innovation is now central to air travel operations. “In air transport, transformation isn’t a phase, it’s the norm,” Lavorel said in a statement.

“The industry is constantly evolving, driven by technology, passenger expectations, and global change.”

SITA's report, covered by Business Traveller, highlights the growing role of automation and digital tools. In 2023, 38% of passengers received real-time updates on their checked baggage. That number rose to 42% in 2024. Meanwhile, 66% of airlines now offer automated bag drop services, with an additional 16% planning implementation by 2027.

Airlines are also embracing consumer tech to bridge gaps in service, allowing pax to share their Apple AirTag locations directly with airline staff using Apple’s Share Item Location feature—giving carriers a new level of visibility into delayed or lost luggage.

“Passengers now expect their baggage experience to be as easy and transparent as using a rideshare or delivery app,” Lavorel added. “It’s no longer just about moving bags, it’s about delivering a smooth, connected journey.”

While challenges remain, especially in high-traffic European hubs, the report underscores how targeted investment in baggage tracking and AI analytics is helping airlines and airports reduce errors and improve the passenger experience.

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