1
REPORT EDITORIAL # 1 IN CIRCULATION & READERSHIP A ugust was a good month. During a meeting of the Airport Advisory Committee, it was decided to develop Pantnagar Airport at Uttarakhand as a cargo hub. This would fulfill the needs of adjacent industrial areas and increase connectivity with more flights. Meanwhile, the Indore Airport is soon to get its own air cargo facility with five companies in the race for the licence to run it. The draft of the Civil Aviation Policy is likely to come out by early September 2015. Operators transporting their cargo via railways have a reason to rejoice as two Dedicated Freight Corridors (DFC) projects on the Western and Eastern routes have been sanctioned and are under implementation. The unit cost of freight transport on the two corridors will be lesser than that of Indian Railways. Movement of cargo via shipping is again in focus after the Cochin Port welcomed a trade delegation from the US and discussed port-led investments. Visakhapatnam Port Trust will soon have a cold storage facility in its harbour, enabling exporters to store and export their perishable goods. The Ministry of Shipping has decid- ed to prepare a National Perspective Plan (NPP) for the entire coastline in six months, which will identify potential geographical regions to be called Coastal Economic Zones (CEZs). Thirty projects for port augmentation and mechanisation of major ports have been targeted in the current year. On the international front, an agreement between Cargolux and Oman Air will see new freighter flights between Muscat and Chennai, turning the latter into a cornerstone for transportation of cargo between India, the Middle East and Europe. Aiming high Smart Logistics: Ease in business The Confederation of Indian Industry Institute of Logistics organised ‘Smart Logistics 2015–Ease of Doing Business’ at New Delhi to discuss about the usage of IT in value chain, mix of multiple transport modes, necessity of mechanisation and need for green initiatives. Experts share their opinions: CT BUREAU Logistics service providers think of smarter ways of han- dling logistics. Among the ini- tiatives adopted for doing so is multimodal way of transporta- tion and in India 50-60 per cent of spending is on trans- portation. The second is infor- mation technology usage. The industry is facing an increas- ing challenge of lack of skilled manpower because of which mechanisation is a definite need. Srinath Manda Programme Head – Transportation & Logistics Frost & Sullivan Logistics is not all about goods’ movement but all what one wants to do in short-term and long-term. India has the capability of making logistics smart despite infrastructural hur- dles. I believe that this is a revolutionary time for logis- tics and the biggest revo- lution can be seen in the form of online retail, which is going to be very successful in the coming years. Manoj Kapoor Vice President and Head – APAC Service Assurance, Alcatel Lucent India The expectation of every sup- ply chain is minimising costs while keeping reasonable service, customer satisfaction, quality, on-time delivery. General strategies for supply chain are inventory, transport and location strategies and customer service goals. India is experiencing a GDP revival and the growth rate of our country is much more than that of China. Also, multimodal transportation is becoming important and going to dominate the market in future. Prashant Bhatmule Vice President – Supply Chain Hindware India IT is a value generator, a differentiator, as it will decide how business needs to be done. The IT solutions for logistics have to be interrelated, interac- tive, inclusive, individual- istic, unique and intelli- gent. Three things, which are going to decide the smart supply chain design, are Internet of Everything derived from Internet of Things, Big Data and connected customers. Asokan Sattanathan Founder Director Beta Solutions Achieving perfect service is actually delivering on time and in the right quantity irrespective of channel. Costs in logistics can be minimised by optimum utilisation of the available assets. It is necessary to be able to automate quality control especially during multimodal transportation. The drivers of logistics in India are the business models of eCommerce, impending implementation of GST and finding the ways and means to use technology to leverage the costs. Satya Narayan Sahu Director SAP SCM and Manufacturing Solutions Scarcity of skilled human resources along with competitive demand for efficiency in logistics has led to the introduction of mechanisation in logistics. There is a necessity to increase the percentage of skilled human resources. Movement across various modes is mechanised and now its being automated too. eCommerce companies are able to deliver within specified time with help from mechanised transport. Varghese Abraham Vice President Total Shipping & Logistics CARGOTALK is a publication of DDP Publications Private Limited. All information in CARGOTALK is derived from sources, which we consider reliable and a sincere effort is made to report accurate information. It is passed on to our readers without any responsibility on our part. The publisher regrets that he cannot accept liability for errors and omis- sions contained in this publication, however caused. Similarly, opinions/views expressed by third parties in abstract and/or in interviews are not necessarily shared by CARGOTALK. However, we wish to advice our readers that one or more recognized authorities may hold different views than those reported. Material used in this publication is intended for information purpose only. Readers are advised to seek specific advice before acting on information con- tained in this publication which is provided for general use and may not be appropriate for the readers’ particular cir- cumstances. Contents of this publication are copyright. No part of CARGOTALK or any part of the contents thereof may be reproduced, stored in retrieval system or transmitted in any form without the permission of the publication in writ- ing. The same rule applies when there is a copyright or the article is taken from another publication. An exemption is hereby granted for the extracts used for the purpose of fair review, provided two copies of the same publication are sent to us for our records. Publications reproducing material either in part or in whole, without permission could face legal action. The publisher assumes no responsibility for returning any material solicited or unsolicited nor is he responsible for material lost or damaged. This publication is not meant to be an endorsement of any specific product or services offered. The publisher reserves the right to refuse, withdraw, amend or otherwise deal with all advertisements without explanation. All advertisements must comply with the Indian and International Advertisements Code. The publisher will not be liable for any damage or loss caused by delayed pub- lication, error or failure of an advertisement to appear. SanJeet Editor Ambica Gulati Desk Editor Kalpana Lohumi Abeer Ray Reporter Tushar Upadhyay Nityanand Misra Design Gunjan Sabikhi Asst. Vice President Harshal Ashar Deputy General Manager Rajiv Sharma National Head - Sales Gaganpreet Kaur Assistant manager CARGOTALK is printed, published and edited by SanJeet on behalf of Durga Das Publications Pvt. Ltd., printed at Cirrus Graphics Pvt. Ltd., B-62/14, Phase II, Naraina Industrial Area, New Delhi - 110 028 and published at 72, Todarmal Road, New Delhi - 110 001 Tel.: +91 11 41669575, 41669576 ; Fax: +91 11 41669577 E-mail: [email protected], Website: www.cargotalk.in MUMBAI: 504, Marine Chambers, 43, New Marine Lines, Opp. SNDT College, Mumbai - 400 020, India, Ph.: +91-22-22070129; 22070130 MIDDLE EAST: Durga Das Publications Middle East (FZE); Z1-02, PO Box: 9348, Saif Zone, Sharjah, UAE; Ph.:+971-6-5528954, Fax: +971-6-5528956 Vikas Mandotia Nitin Kumar Advertisement Designer Anil Kharbanda Production Manager Ashok Rana Circulation Manager Simran Kaur Photo Journalist U22210DL2012PTC230432 Cargo Talk SEPTEMBER-2015:Layout 1 9/1/2015 2:19 PM Page 4

Smart Logistics Ease in business

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REPORT

SanJeetEditor

EDITORIAL

# 1 IN CIRCULATION & READERSHIP

August was a good month. Duringa meeting of the Airport Advisory

Committee, it was decided to developPantnagar Airport at Uttarakhand asa cargo hub. This would fulfill theneeds of adjacent industrial areas andincrease connectivity with more flights.Meanwhile, the Indore Airport is soonto get its own air cargo facility with fivecompanies in the race for the licenceto run it. The draft of the Civil AviationPolicy is likely to come out by earlySeptember 2015.

Operators transporting their cargovia railways have a reason to rejoiceas two Dedicated Freight Corridors(DFC) projects on the Western andEastern routes have been sanctionedand are under implementation. Theunit cost of freight transport on the twocorridors will be lesser than that ofIndian Railways.

Movement of cargo via shipping isagain in focus after the Cochin Portwelcomed a trade delegation from the US and discussed port-led investments. Visakhapatnam PortTrust will soon have a cold storagefacility in its harbour, enablingexporters to store and export their perishable goods.

The Ministry of Shipping has decid-ed to prepare a National PerspectivePlan (NPP) for the entire coastline insix months, which will identify potentialgeographical regions to be calledCoastal Economic Zones (CEZs).Thirty projects for port augmentationand mechanisation of major portshave been targeted in the current year.

On the international front, an agreement between Cargolux andOman Air will see new freighter flights between Muscat and Chennai,turning the latter into a cornerstone for transportation of cargo between India,the Middle East and Europe.

Aiming high

Smart Logistics: Ease in businessThe Confederation of Indian Industry Institute of Logistics organised ‘SmartLogistics 2015–Ease of Doing Business’ at New Delhi to discuss about theusage of IT in value chain, mix of multiple transport modes, necessity ofmechanisation and need for green initiatives. Experts share their opinions:

CT BUREAU

Logistics service providersthink of smarter ways of han-dling logistics. Among the ini-tiatives adopted for doing so ismultimodal way of transporta-tion and in India 50-60 percent of spending is on trans-portation. The second is infor-mation technology usage. Theindustry is facing an increas-

ing challenge of lack of skilled manpower because ofwhich mechanisation is a definite need.

Srinath Manda Programme Head – Transportation & Logistics

Frost & Sullivan

Logistics is not all aboutgoods’ movement but allwhat one wants to do inshort-term and long-term.India has the capability ofmaking logistics smartdespite infrastructural hur-dles. I believe that this is arevolutionary time for logis-tics and the biggest revo-

lution can be seen in the form of online retail, whichis going to be very successful in the coming years.

Manoj KapoorVice President and Head – APAC Service

Assurance, Alcatel Lucent India

The expectation of every sup-ply chain is minimising costswhile keeping reasonableservice, customer satisfaction,quality, on-time delivery.General strategies for supplychain are inventory, transportand location strategies andcustomer service goals. Indiais experiencing a GDP revivaland the growth rate of our country is much more than thatof China. Also, multimodal transportation is becomingimportant and going to dominate the market in future.

Prashant BhatmuleVice President – Supply Chain

Hindware India

IT is a value generator, adifferentiator, as it willdecide how businessneeds to be done. The ITsolutions for logistics haveto be interrelated, interac-tive, inclusive, individual-istic, unique and intelli-gent. Three things, whichare going to decide thesmart supply chain design, are Internet of Everythingderived from Internet of Things, Big Data and connected customers.

Asokan SattanathanFounder Director

Beta Solutions

Achieving perfect service isactually delivering on time andin the right quantity irrespectiveof channel. Costs in logisticscan be minimised by optimumutilisation of the availableassets. It is necessary to beable to automate quality controlespecially during multimodaltransportation. The drivers of

logistics in India are the business models of eCommerce,impending implementation of GST and finding the ways andmeans to use technology to leverage the costs.

Satya Narayan SahuDirector

SAP SCM and Manufacturing Solutions

Scarcity of skilled humanresources along with competitive demand for efficiency in logistics hasled to the introduction ofmechanisation in logistics.There is a necessity toincrease the percentage ofskilled human resources.Movement across various

modes is mechanised and now its being automatedtoo. eCommerce companies are able to deliver withinspecified time with help from mechanised transport.

Varghese AbrahamVice President

Total Shipping & Logistics

CARGOTALK is a publication of DDP Publications PrivateLimited. All information in CARGOTALK is derived fromsources, which we consider reliable and a sincere effort ismade to report accurate information. It is passed on to ourreaders without any responsibility on our part. The publisherregrets that he cannot accept liability for errors and omis-sions contained in this publication, however caused.Similarly, opinions/views expressed by third parties inabstract and/or in interviews are not necessarily shared byCARGOTALK. However, we wish to advice our readers thatone or more recognized authorities may hold different viewsthan those reported. Material used in this publication is

intended for information purpose only. Readers are advisedto seek specific advice before acting on information con-tained in this publication which is provided for general useand may not be appropriate for the readers’ particular cir-cumstances. Contents of this publication are copyright. Nopart of CARGOTALK or any part of the contents thereofmay be reproduced, stored in retrieval system or transmittedin any form without the permission of the publication in writ-ing. The same rule applies when there is a copyright or thearticle is taken from another publication. An exemption ishereby granted for the extracts used for the purpose of fairreview, provided two copies of the same publication are sent

to us for our records. Publications reproducing material eitherin part or in whole, without permission could face legalaction. The publisher assumes no responsibility for returningany material solicited or unsolicited nor is he responsible formaterial lost or damaged. This publication is not meant tobe an endorsement of any specific product or servicesoffered. The publisher reserves the right to refuse, withdraw,amend or otherwise deal with all advertisements withoutexplanation. All advertisements must comply with the Indianand International Advertisements Code. The publisher willnot be liable for any damage or loss caused by delayed pub-lication, error or failure of an advertisement to appear.

SanJeetEditor

Ambica GulatiDesk Editor

Kalpana LohumiAbeer RayReporter

Tushar UpadhyayNityanand Misra

Design

Gunjan SabikhiAsst. Vice President

Harshal AsharDeputy General

Manager

Rajiv SharmaNational Head - Sales

Gaganpreet KaurAssistant manager

CARGOTALK is printed, published and edited by SanJeeton behalf of Durga Das Publications Pvt. Ltd., printed at

Cirrus Graphics Pvt. Ltd., B-62/14, Phase II, NarainaIndustrial Area, New Delhi - 110 028 and published at

72, Todarmal Road, New Delhi - 110 001Tel.: +91 11 41669575, 41669576 ; Fax: +91 11 41669577E-mail: [email protected], Website: www.cargotalk.in

MUMBAI:504, Marine Chambers, 43, New Marine Lines, Opp. SNDT College,

Mumbai - 400 020, India, Ph.: +91-22-22070129; 22070130

MIDDLE EAST:Durga Das Publications Middle East (FZE); Z1-02, PO Box: 9348, SaifZone, Sharjah, UAE; Ph.:+971-6-5528954, Fax: +971-6-5528956

Vikas MandotiaNitin Kumar

Advertisement Designer

Anil KharbandaProduction Manager

Ashok RanaCirculation Manager

Simran KaurPhoto Journalist

U22210DL2012PTC230432

Cargo Talk SEPTEMBER-2015:Layout 1 9/1/2015 2:19 PM Page 4