Baggage mishandling remains a persistent challenge in the aviation industry, leading to financial losses for airlines and significant inconvenience for passengers. Despite advancements in Baggage Handling Systems (BHS), issues such as human errors, technical failures, and the complexities of high-volume processing continue to affect operational efficiency. Emerging technologies such as RFID (Radio Frequency Identification), IoT (Internet of Things), AI, and blockchain have been explored to enhance real-time tracking, automation, and security in baggage management. However, deployment challenges, scalability concerns, and interoperability among international airport systems remain critical barriers to seamless implementation. This review examines recent advancements in BHS and their impact on transparency, security, and efficiency. Key innovations, including IoT-enabled real-time monitoring, AI-driven automation, and blockchain-based security frameworks, are analyzed based on their functionality, practical applications, and inherent limitations. Furthermore, the study identifies challenges to existing methodologies. Through a comprehensive review of emerging BHS, this paper highlights technological trends shaping the next generation of intelligent and passenger-centric BHS.