Indian logistics industry will be having higher investments with the passing of industry tax reforms and advancement in technology.
Advancement in digital technology will create great opportunities for logistics technology developers,supply chain and logistics transformation team.
The Government of India’s strong prominence on manufacturing and initiatives such as “Make in India” is boosting domestic production, which is strengthening the logistics industry. Concerted efforts are done by logistics company to keep pace with this growth by digitizing their solutions and offering online freight services.
This will provide visibility across the supply chain and transform it to an organized industry. Some of the advanced technologies adopted include automated storage and retrieval systems (ASRS) in warehouse and transportation, radio frequency identification (RFID) in place of bar codes, and global positioning system (GPS) for real-time tracking.
“In addition to modernization the digital wave, Indian logistics companies are in the way of change in the transition from indirect taxation to goods and service tax (GST). The simplified tax structure benefits the warehousing industry and logistics costs will be reduced by up to 2.5%,” said Senthil Kumar Subbiah, Research Analyst, Supply Chain & Logistics Transformation Practice, Frost & Sullivan. “This tax change, along with land and labor market revising, will improve the efficiency of both transportation and freight forwarding.”
Indian Logistics Industry – Growth Insights and Forecast to 2020 is part of the Supply Chain & Logistics Transformation team’s Growth Partnership Subscription. According to the study, investments in infrastructure development across all modes of transportation,implementation of GST,relaxed foreign direct investment regulations, and increased technology adoption are altering the Indian logistics industry.
Meanwhile, the increasing inflow of international logistics service providers (LSPs) are prompting third-party logistics (3PLs) and domestic LSPs to expand their focus on transportation service, warehousing and freight forwarding. This will open up opportunities for partnerships, and domestic logistics companies will have access to the modern technologies introduced by global service providers.Indian logistics services will greatly benefit from the development of transportation and logistics-related infrastructure, such as dedicated freight corridors, logistics parks, free-trade warehousing zones, port modernization, and container freight stations.
“Another major influence on the logistics industry is latest technological advances as like the ubiquitous of smart phones and internet, and the consequent rise of e-Commerce. As more than 30% of the Indian population resides in tier II and tier III cities, e-Commerce sites receive more orders from these cities,” noted Subbiah. “To provide better services to customers, e-Commerce firms who are demands bigger and more efficient warehouses, faster delivery options and improved last-mile connectivity, which translates to a plethora of business opportunities for 3PL companies and logistics startups.”
Overall, LSPs are leveraging technologies such as Big Data and cloud-based application platforms for better order fulfillment and tracking of shipments. The modernization of logistics infrastructure field and government support will go a long way in advancing the Indian logistics industry.
There are various academies providing trainings in logistics in keralaPosted by Reliant on Saturday, September 16th, 2017 at 6:30 am and is filed under Blog.
In the fields of airport operations, airport engineering construction, cargo management, airport finance, airport commercial, land management, HR management and aviation law human resources have to be constantly upgraded. An increase is observed in hiring of direct staff including pilots, engineers, cabin crew, ground staff, airport staff, air cargo, maintenance, repair and operations and air navigation staff. More demand is expected in management and operations profile. Liberalization of the economy, De-regulation, Open sky policy and Public-Private Partnerships has boosted the air traffic movements. Airports are seeing rapid expansion and modernization.
This sector is expected to bring a large amount of employment opportunities in the coming 2-3 decades but along with it, emerges the bigger challenge of requirement of highly skilled aviation professionals. Skilled manpower requirements are estimated to increase to 30000 from 20000 for airports whereas for airlines the rise is estimated from 62000 to 117000. Requirement for ground handling, flight catering, aviation security and other related areas will treble from 90000 to 270000. RK Srivastava, the chairman of Airports Authority of India said that there would be hiring at airports as well. The Narendra Modi government aims to set up low cost airports. It will be around 200 in number. It is established to facilitate air travel to smaller towns, according to the economic survey. The government has modernized 33 existing small airports, expanding their passenger terminals and lengthening runways.
There are various academies to train students for logistics and supply chain management institute in kochi. Various courses are there to train executives in air cargo management. They are trained to handle and process air cargo. Also they are taught about cargo management at airports, import export cargo handling procedures, cargo capacity of aircraft, effective warehousing management. Short duration programs are included to serve executives for their professional and skill development. The development and expansion in the Indian air cargo sector has resulted in tremendous opportunities for training and employment in this sector as both the government and private sectors have come at forefront with a positive approach.Posted by Reliant on Monday, July 17th, 2017 at 11:37 am and is filed under Blog.
Dubai flower center, a multistory facility located next to the Dubai cargo village is one of the most advanced cold storage. It is specially designed for storage of flowers. It is designed for processing of flowers imported primarily from Africa for both the local market and for distribution to the region. The initial stage for this center was designed for an annual throughout of up to 180000 tonnes of flowers. The perishable handling area in Dubai cargo mega terminal is about 4623 square meters floor space with 3927 square meters of 218 individual cells of temperature zones. Narobi is another airport having a pair of on-airport refrigerated storage facilities operated by the ground handling subsidiary of Kenya Airways, as well as a standalone cold storage operated by DHL on the airport and Swiss port off the airport.
Changi terminals offers dedicated care in perishable handling facility that is temperature monitored and humidity controlled to cater different types of requirements and a wide range of commodities. When we consider the case of India it is a long way to go as it has just stepped into this. In dealing with the perishables it is at nascent stage of growth in the Indian air cargo sector when it is compared to international scenario. There are many sectors where the Indian market really needs to buck up.
India has the potential to become one of the world’s great air cargo centers. A population of more than 1.2 billion, rapid growth of international trade and huge manufacturing engine all bode well for the industry. But whatever the reason, it is unknown that India has not realized this great potential. It is agreed by the participants that inadequate infrastructure in the country is a major obstacle followed by the cost inefficiencies and the need for governmental and tax reforms. In 1960 the per capita income of Singapore at purchasing power parity was two and half times India’s. In 2010 it was 15 times richer. This a country which handled 531 million tonnes of cargo in 2010 with only 276 square miles area having a little beyond a good harbor in 1960.
In airports of Dubai and Hong Kong bulk of their cargo is transshipment cargo which does not have to undergo customs clearance unlike in India where the transshipment component is an insignificant proportion of the total throughput handled. So comparison of dwell time of Indian airports with hub airports like Hong Kong, Dubai etc are not realistic. Indian airports must transform to international cargo hubs. They can adopt more systematic approach, observe international standards adopted at airports to achieve this. This is possible only if government and industry work together. It is evident that the future is bright for the air cargo sector. For developing the cargo hubs infrastructure and airlines have a great role to play. We have to translate ideas into action. Government look forward for ideas from the industry players to work together. But we need to look at the prevailing challenges in order to begin with a change. INTERNATIONAL DIPLOMA IN LOGISTICS & TRANSPORTPosted by Reliant on Saturday, July 8th, 2017 at 7:45 am and is filed under Blog.
In Germany there is over thirty commercial and cargo airports and number of smaller airfields and airstrips are for business and general aviation. Millions of passengers are served by Frankfurt and Munich a year. Small airports in medium sized cities serves about 220 thousand passengers. Lepzig-Halle airport is the largest hub for express cargo in Germany. DHL’s European hub has significantly contributed to the growth of airport for almost nine years.
Spicejet which is one of the largest airline in the country by no. of domestic passengers, has increased their cargo business and introduced door to door delivery service for their corporate customers. Cargo and logistics is a growing business for spicejet. They used to outsource the business but they are now handling it themselves. They have tie up with courier firms and made new recruitment’s for door to door cargo delivery.
Spicejet was on the verge of closure in 2014, but they managed a comeback. They came back not only with on the back of passenger’s revenue but also on the ancillary business front. At the beginning of 2015, it was at six percent where the spicejet revenue from the ancillary business stood. It increased to 16 percent at the end of October December. The management team looked for other sources of income to maintain their growth.
Spicejet posted consecutive profitable result with Rs 232 crore profit. The airline currently has many aircraft’s which include mix of Boeing 737, Airbus A-320 and Bombardier Q-400 aircraft. To recover the lost ground, spicejet recruited 70-80 pilots and invested in pilot training academy. They got into exclusive agreement with eCommerce to deliver products. Airlines are necessary for the eCommerce firms. They need airlines for the delivery of their goods to their customers as well as get delivery from various suppliers. The main thing they needed is the air connectivity.
Cargo operations form an intrinsic part of their business. They are confident that the technology platform will add their efficiency and will ensure that their shipment / goods are tracked well i.e. from the point of booking to point of delivery. More common user terminals are made by spicejet across various airports in country. This will enhance the movement of domestic cargo and standardize cost. Reliant Institute of logistics provides Logistics and Supply Chain Management Courses in kochiPosted by Reliant on Saturday, June 24th, 2017 at 11:20 am and is filed under Blog.
So many academic goals that we expect you to achieve.