Our Government’s Initiatives are propelling the Logistic sector towards matching international standards. Streamlining processes and reduction of costs will attract more investment in the sector. In the past 10 years the logistics industry has become more organized, and is improving & redefining with every year, says Kruti Jobanputra, Director, JW Ventures.
CT Bureau
How is business shaping up for Indian warehousing industry in the new normal? What are the key growth drivers?
Warehousing in India is in the process of continuous transformation. There is a growing demand for better quality of storage solutions. The industry can benefit from increased use of technology due to the fast-growing Indian economy throughout various sectors, especially FMCG products.
The key growth drivers for the organized logistics industry are:
1) Continuous growth of the Indian economy
2) Shift from unorganized to organized players
3) Minimal government regulation
4) Introduction of tech technology such as AI and ERP systems
5) Improvement of the transportation infrastructure
Do you think PMGS and NLP initiatives can boost the logistics and warehousing sector? How will these boost multimodal infra and connectivity?
Government initiatives like these will propel the Indian logistics sector towards the international standard. The goal of streamlining processes and reducing costs will attract more investment in the sector. These policies provide recognition to the industry as an important pillar of the economy.
- Logistics can create large employment opportunities. Introduction of courses on supply chain and logistics across education systems will help boost employment and address the current manpower issues
- With the new policies, we will be able to create an efficient system that is able to generate employment and reduce wastage
How would you rate logistics infra for cargo handling, storage, and transportation. Do you think it needs improvement?
India is a growing economy. Logistics has largely been an ‘unorganized’ and ‘unrecognized’ sector. As the economy has grown, the industry has become more organized and recognized, but there is still a long way to go. Over the years, there has been an improvement on the transportation front. Port and inland infrastructure have grown and improved. There needs to be more training and education towards cargo handling. The industry requires large investments and capital to further expand growing needs.
Elaborate on the JW Group’s expansion plans?
Our Group is working towards providing customised logistics solutions from container freight stations, cold storage, 3PL warehousing, transportation to pan-India services such as labelling, re-packing, sorting, breakbulk to semi-contract manufacturing for our customers in Mumbai, Bengaluru, Delhi among others.
The past two to three years saw a warehousing shift towards tier II and III cities. What are the significant factors supporting the shift?
COVID played a role in encouraging companies in redefining supply chain strategies to reduce their time to market.
- The increase in consumption and rising disposable income has increased demand all throughout the country
- Improvement of connectivity, and technology has played a key role
