India Cargo Awards Raises a Toast

raises atoast India Cargo Awards Managing Director, Aargus Global Aargus Director, Managing Mahesh Trikha Vol.: XX Issue 3; February 2020 Vol.: XXIssue3;February cargotalk.inca 04th -05thofsamemonthatG.P.O. NewDelhi-110001;RNINo.:DELENG/2003/10642;DateofPublication:03/02/2020 Postal Reg. No.:DL(ND)-11/6002/2019-20-21.WPPU(C)-272/2019-21forpostingon SUPPLY CHAIN No zip,zap,zoomin AUTO WORLD AI shapesfutureof Pages 44| ` 50 A DDP Publication

EDITOR SanJeet MANAGING EDITOR contents FEBRUARY 2020 Peden Doma Bhutia DESK EDITOR Smita Kulshreshth SR. REPORTER Kalpana Lohumi GENERAL MANAGER Harshal Ashar MANAGER Yogita Bhurani Gaganpreet Kaur SALES CO-ORDINATOR Jaspreet Kaur DESIGN Nityanand Misra ADVERTISEMENT Pg.14 COVER STORY DESIGNERS AI shapes future of supply chain Vikas Mandotia Nitin Kumar PRODUCTION MANAGER Anil Kharbanda CIRCULATION MANAGER Ashok Rana

U22210DL2012PTC230432 Pg. PERSONALITY OF THE MONTH Pg. INDUSTRY OPINION CARGOTALK is printed, published and edited by SanJeet on behalf of DDP 20 22 Publications Pvt. Ltd., printed at Super Cassettes Industries Ltd., India puts its best Cold chain gets ‘smart’ C-85,86,94, Sector-4, Noida, Distt.: Gautam Budh Nagar, U.P.- 201301 and published at 72, Todarmal Road, New Delhi - 110 001; Tel.: +91 11 23234177, E-mail: [email protected], Website: www.cargotalk.in foot forward 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 Pg. INTERNATIONAL NEWS and omissions contained in this publication, however caused. 6 Similarly, opinions/views expressed by third parties in abstract and/ or in interviews are not necessarily shared by CARGOTALK. However, we News from the industry 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 contained Pg.10 AWARD TALK in this publication which is provided for general use and may not be appropriate for the readers’ particular circumstances. Contents of this India Cargo Awards raises publication are copyright. No part of CARGOTALK or any part of the contents thereof may be reproduced, stored in retrieval system or transmitted a toast in any form without the permission of the publication in writing. 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 Pg. ASSOCIATION TALK publication are sent to us for our records. Publications reproducing 34 material either in part or in whole, without permission could facqwe legal action. The publisher assumes no responsibility for returning any Kakinada’s agri-export hit material solicited or unsolicited nor is he responsible for material lost or damaged. This publication is not meant to be an endorsement of Pg. AUTO TALK any speciﬁc product or services offered. The publisher reserves the right 24 to refuse, withdraw, amend or otherwise deal with all advertisements without explanation. All advertisements must comply with the Indian No zip, zap, zoom in and International Advertisements Code. The publisher will not be liable for any damage or loss caused by delayed publication, error or failure of an advertisement to appear. auto world

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INTERNATIONAL NEWS Schiphol sees drop in cargo volumes chiphol saw its cargo traffic drop 13.2 per cent to 0.85 million tonnes destinations for cargo tonnage Operating in a slot constrained Slast year because of the reduced while belly cargo volumes dropped were Shanghai, Moscow and environment is challenging and it freighter flights and weaker market 2.3 per cent to 0.7 million tonnes. Nairobi. “The figures in 2019 were is having an impact on our results,” conditions. The total cargo volumes The airport is currently facing a slot in line with our expectations as we said Maaike van der Windt, for 2019 dropped by nine per cent shortage that has resulted in some continue to face full freighter slot Director – Aviation Marketing, year-on-year in 2019 to 1.6 million freighter operators switching to challenges, on top of a weakening Cargo and Customer Experience, tonnes. Full freighter volumes fell by nearby alternatives. The three main of the global air cargo market. Amsterdam Airport Schiphol. 7UDIILF Outbound traffic to the Asian region was down 14.1 per cent to 260,245 tonnes and inbound declined 10.3 per cent to 268,242 tonnes

The outbound North American market fell 2.2 per cent to 164,603 tonnes, while inbound was down 14.2 per cent to 112,019 tonnes

Cargo inbound to Latin America declined 11.3 per cent to 115,506 tonnes and outbound dropped 6.3 per cent to 76,159 tonnes

European ﬁgures show outbound trafﬁc fell 2.3 per cent to 119,635 tonnes and inbound decreased 8.5 per cent to 106,480 tonnes

The Middle East inbound market showed a positive story as inbound was up 4.7 per cent to 93,089 tonnes, but outbound was down 3.8 per cent to 106,178 tonnes

Outbound trafﬁc to Africa was down 2.9 per cent to 51,828 tonnes and inbound declined 14.3 per cent to 96,278 tonnes

dnata & Toll Group join Western Sydney Airport freight project nata and Toll Group collaborated with Western Sydney Airport and dhave joined 10 other freight industry stakeholders on the design of the freight precinct at the new Western Sydney International Airport. The airport will have the capacity to process approximately 220,000 tonnes of air cargo each year through its proposed ﬁt-for- purpose, on-airport cargo facility upon the completion of its ﬁrst stage of development and opening in 2026. The facility will include multiple dedicated cargo aircraft stands. This freight precinct is then &DUJRILJXUHV

Australian airports currently transport more than 1 million tonnes of air cargo annually, this number is forecasted to grow considerably over the next decade

Western Sydney Airport has also signed Memorandum of planned to scale up with demand and could see 1.8 million tonnes of Understanding for operations at the international freight precinct air cargo per annum in the future. dnata will provide ground handling with 10 major freight companies, including Australia Post, DB and airline support services for passenger and cargo ﬂights, while Toll Schenker, DHL Express, DSV Air and Sea, FedEx, Menzies Aviation, Group is expected to contribute its operational experience to develop Swissport, Qantas Freight, Skyroad Logistics and Wymap the new freight hub.

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NEWS INTERNATIONAL LAUNCHES LATAM Cargo commences CSafe opens service centre at perishable hub in GRU Incheon Airport ATAM Cargo has opened a chambers with refrigeration ranges Lnew perishable hub in Brazil’s of 0 to 2°C and 2 to 12°C for storage Guarulhos (GRU) worth US$ 3.5 and repalletising. The system also million. The facility is intended to allows temperatures in the chambers support the carrier’s fresh shipment to be increased up to 22°C. “Our programme for perishable products perishable hub will help us reduce en route from South America to the time perishables are exposed to destinations worldwide. non-controlled temperatures by up to 20 per cent because of its capacity The perishable hub occupies a to offer variable temperature space of 1,637 square metres and ranges and its strategic location increases carrier’s storage capacity closer to the loading areas,” said at GRU by 33 per cent; 50 per Claudio Torres, International o accommodate the growing the increasing product demand from cent of the total space is equipped Commercial Director – South Tdemand for its specialised air South Korea, but also strengthen with variable temperature cooling America, LATAM Cargo. cargo containers for pharmaceutical our ability to flex as needed for and other temperature-sensitive repositioning large number of products in South Korea and the temperature-controlled containers Asia-Pacific region, CSafe Global to other CSafe hubs within Asia- has expanded its service centre at Pacific to meet unexpected or Incheon Airport (ICN). “With the immediate surge demand from our expanded warehouse space and customers and partners across the increased repair service throughout, region,” said Tom Weir, Global Vice not only can we easily accommodate President – Operations, CSafe.

CH Robinson launches DHL expands in US, facility to be tech innovation around 41,000 sq ft in size HL has announced to invest be 20,000 square feet larger than DUS$ 3.8 million to expand its the original facility, nearly doubling Cleveland facility in response to a its size to 41,000 square feet. As further anticipated surge in demand part of the expansion, it will include for international shipping and a higher capacity interior conveyer e-commerce, and to support the system and space to accommodate Participants region’s manufacturing industries. 32 vans and trucks to maximise The expanded DHL facility will be processing capabilities and enable located near the Cleveland Hopkins earlier deliveries for international and H Robinson has launched its CH Companies like L’Oreal International Airport (CLE) and will local shippers. CRobinson Labs called innovation and Target have already incubator in order to work with its participated in programmes customers to develop technology connected to the incubator, solutions, built especially for individual known informally as ‘Robinson supply chains. The software uses Labs’ during the pilot phase technologies like big data analytics of its online business to help companies streamline their intelligence software, supply chains and improve their on- Navisphere Insight. time performance. This incubator is representative of an increasing trend adding new programmes to support in the third-party logistics space, their customers’ more complex trade where major forwarders and 3PLs are and operational needs.

8 CARGOTALK FEBRUARY - 2020 www.cargotalk.in INTERNATIONAL NEWS

Qatar Cargo launches freighter SEKO Logistics & AGWorld service to Japan partner for cross-border prospects o create new cross- atar Cargo has launched a their cargo to and from Japan.” Tborder growth Qfreighter service in Kansai Qatar Airways Cargo currently opportunities for International Airport, Osaka. The offers more than 250 tonnes of shippers doing business scheduled service will operate belly-hold cargo capacity each between Asia and the twice per week, operating on a way to Haneda and Narita airports United States, SEKO loop of Doha, Kansai and Hong in Tokyo per week. General Logistics and Air & Kong. Guillaume Halleux, Chief cargo, hi-tech goods, electronics, Ground World Transport Officer Cargo, Qatar Airways, said, pharmaceuticals and perishables (AGWorld) have “We are glad to start 2020 with will form the majority of exports established a partnership the announcement of freighters and imports on the new route. by inking a new deal. The move is AGWorld clients in the high-tech, to Osaka, a major financial centre Overnight truck routes are intended to provide customers, retail, manufacturing, health care in Japan. With direct flights to available connecting Osaka with based in or shipping to these regions and other industries can plug into Osaka, our customers are offered Tokyo Haneda, Tokyo Narita and alternative options to transport our coast-to-coast US network and dedicated freighter capacity for Nagoya Chubu, six days a week. goods amid evolving global SEKO’s 3PL and forwarding trade disputes. expertise, cross-border parcel platform with Section 321 and Type “SEKO customers will gain from 86 express clearance capabilities greater access to the Southeast and portfolio of services bundled Asia market with AG World’s with technology,” said James significant airfreight tonnage and Gagne, President and CEO, scalable capacity platform, while SEKO Logistics.

FEBRUARY - 2020 CARGOTALK 9 AWARD TALK

India Cargo Awards raises a toast The India Cargo Awards 2019 hailed the achievements of the cargo industry at Hotel Crowne Plaza Greater Noida on January 27, in the presence of stalwarts of the cargo and logistics industry. The chief guest of the ceremony was N Sivasailam, Special Secretary – Logistics, Department of Commerce, Government of India. Full report in next issue S. No. Category Name 1 Gallery of Legends Mr. P S Atree 2 DDP Game Changer Mr. Vipan Jain 3 DDP Trailblazer Mr. Parvinder Singh 4 Best Cargo Professional of the Year Mahesh Trikha, Aargus Global Logistics 5 Best Greenﬁeld Airport - Cargo Kempegowda International Airport, Bengaluru 6 Best Railside warehousing company Central Railside Warehouse Company Limited 7 Best Air Cargo Services AAI Cargo Logistics and Allied Services Company 8 Leading Freight Forwarding Company Emirates Logistics India 9 Best 3PL Company - Aerospace Continental Carriers 10 State-of-the-Art Air Cargo Terminal Delhi Cargo Service Center India 11 Emerging Industrial & Logistics Developer Warehouster 12 Leading Freight Forwarding Company - Pharma Cargo Partner Logistics India 13 Best Online Freight Market Place LogYcode Tech Solutions 14 Best B2B Express Distribution Company TCI Express Ltd. 15 Best Air Cargo Terminal Operator - Cold Chain Air India Sats Airport Services 16 Best Technology Solution Provider - Supply Chain Management Softlink Global 17 Best Integrated Logistics Provider DTDC Express 18 Best Air Cargo Terminal Operator (North & East) Celebi Delhi Cargo Terminal Management 19 Best Digital Trade Facilitator - Technology Kale Logistics Solutions 20 Best Logistics Service Provider - International Fast Forward Logistics India 21 Best Project Cargo Handler Mata Group 22 Best Training Institute - Logistics & Aviation Nextstep Institute of Logistics & Aviation. 23 Excellence in Supply Chain Management & Logistics Jeena & Co. 24 Best IT & Software Service provider Hans Infomatic 25 Most Admired Cargo Company of the Region SA Consultants and Forwarders 26 Excellence in Supply and Services for Designer / Bespoke Tiles Soil 27 Leading Transport Agent SSK Smart Move Logistics 28 Most promising Start Up - Logistics Awot Global Logistics (India) 29 Best Air Cargo Terminal Operator (West & South) Cargo Service Center India 30 Best logistics Service Provider - Air Continental Carriers 31 Best Supply Chain Management Company Tiger Logistics 32 Best Custom House Agent - Sea Masters Logistics Solutions 33 Best Technology Solution Provider Softlink Global 34 Best Custom Bonded Trucking Operator Shreeji Translogistics 35 Best Ocean Freight Forwarding Company Tiger Logistics 36 Best Container Tracking Solution Company DMICDC Logistics Data Services 37 Hospitality Partner Crowne Plaza, Greater Noida

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shapes future of supply chain With its predictive capabilities, Artiﬁcial Intelligence (AI) is improving the logistics world by having a tool which can help with capacity planning and accurate demand forecasting. explains how AI is bringing the change across the industry and what can be expected in the future.

Kalpana Lohumi

ogistics industry has seen many in global logistics and supply chain logistics and supply chains are advancements in recent years, be management. While AI is making waves undergoing a transformation as more Lit, infrastructure or technology. The across industries, delves into AI is being employed to manage both industry is even making all the efforts how Indian logistics and supply chain domestic and international movement in upping the logistics game with the industry is making beneﬁts out of it. of goods. There are vast opportunities, adoption of technology and making from improving performance to creating the processes smooth. AI will no longer Adding to this, Parvinder Singh, customer satisfaction, and the logistics be considered as the technology of Managing Director, Hans Infomatic service providers are increasingly future, as it has already started shaping shares, “AI has been a catchword in the seeing the beneﬁts of being a part of everyday lives and even taken pace supply chain world recently. Worldwide, digitally integrated value chain which

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is truly global, scalable, agile, and the routine repetitive tasks will be With Big Data and AI or Machine cost-effective.” redundant and hence employees Learning (ML), the data from all can focus on core functions of the systems are being analysed Logistics industry always registers the businesses.” and the results are much sharper influx of tonnes of data and volumes and beneficial.” of shipments gathered from every According to Nihar Parida, touch point. Amit Maheshwari, Industry Expert, “The core issue Mentioning logistics and the CEO, Softlink Global shares its today in supply chain and logistics is supply chain is a complex process ground-breaking advantages. He to bridge the gap between demand which requires a lot of planning says, “Logistics industry requires and supply and how fast can the along with flexible and customer several decisive factors for orders be fulfilled. Currently, most friendly solutions. Vaibhav Vohra, immediate business decision like or may be all the organisations Managing Director, Continental suitable carrier, possible routes and use multiple software or ERPs for Carriers, believes, “With recent scheduling which can be decided in different functionality of supply technological advancements, few minutes with average human chain and logistics. By virtue of this, logistics industry is exploring Parvinder Singh mind and with the help of AI we the systems work in silos and do AI and its solutions in terms of Managing Director, Hans Infomatic and DDP Trailblazer, India Cargo Awards 2019 can make accurate decision within not talk to each other. The human resource management, distribution seconds. Intelligent warehousing intervention or interpretation of systems, cost reduction and better helps to bring efficiency by data and its co-relation to business customer services and experience enabling smart data-driven insights plays a huge role. As humans etc. Growth of digitisation in the integrated with AI in segregating, we have a limited bandwidth logistics and supply chain sector AI can analyse sorting and moving. In future AI to correlate between has made people interested in using will automate the entire logistics number of data AI to maximise their resources by warehouse processes & supply chain operations where tables. accurately calculating the time and and optimise the money involved in the distribution process of a package to a sending, receiving, certain place.” storing, picking and Ashish Asaf, MD & CEO, SA management of Consultant and Forwarders, explains how the technological tools have individual products the potential to make the air freight forwarding cheaper, safer and simpler. He explicates, “Automation of the business processes paves path to achieve the agility and scalability required to compete with time, thereby increasing productivity, driving revenue growth and breaking through the confinements of stereotypes. Technology is transforming the freight forwarding, logistics and supply chain ecosystem in multiple ways, from automated systems to augmented reality and the use of big data, machine learning and AI.”

MAKING PROCESSES EFFICIENT The on-going evolution in the areas of technologies like AI and ML are said to seize the potential to bring in disruption and lead

FEBRUARY - 2020 CARGOTALK 15 COVER STORY

Amit Maheshwari Nihar Parida CEO, Softlink Global and Industry Expert India Cargo Awards Winner 2019

enterprises and organisations across support of better infrastructure the globe. The same is the case along with transparent and efficient The logistics and With Big Data and AI with the logistics industry the world documentation,” opines Vohra. over. There are many air and ocean supply chain industry, or Machine Learning, carriers and multinational logistics “While the industry is suddenly fuelled with Big the data from all the companies, who have adopted flooded with data like never, before AI in their quest to technological digitisation of processes continues Data & AI is gaining systems are being advancement. There are online to remain a challenge. Despite this, portals provided by these players the industry is waking up to the momentum to analysed and the which offer pricing and business potential transformation that it can streamline the huge results are much prospects based on predictive undergo by leveraging the new- analysis, customer behaviour, age technologies that can drive the amount of data flow sharper and beneficial seasonal aspects thereby filtering sector soon,” points Singh. the right business, increasing revenue and mitigating risks. The Commenting on the present status best fact is that out of almost 900 of industry adopting technologies innovation within industry. Sharing organisations that have adopted like AI, Maheshwari informs, “AI in his experience, Parida adds, “The or initiated working towards logistics has come a long way where industry is still learning how to use blockchain technology, with the we can imagine driverless cars, AI. Most of the customers I have use of AI and predictive analysis, 30 pilotless aircrafts, drone delivery dealt with or introduced AI are per cent are from the logistics and and predictive analysis in future. The more inclined towards business supply chain sector,” notes Asaf. logistics and supply chain industry, intelligence from the historical data. fuelled with Big Data and AI is They are yet to understand how the “Government’s policy with stress gaining momentum to streamline predictive analysis of AI can not only on digitisation is making people the huge amount of data flow in the optimise their supply chain but can interested in adopting new industry. So far, the data has been Findings increase their sale substantially.” technological advancements. It is tracked, utilised, cleaned, sorted need of the hour for logistics players and analysed with limited scope. Out of almost 900 “Lately the term ‘Big Data’ has in India to invest in technologies The difference today, however, is not organisations that have been under the limelight. It is said to make the processes efficient. only the presence of huge data but adopted or initiated working that businesses around the world Globally, logistics companies have availability of complex algorithms towards blockchain generate nearly 2.5 quintillion made significant investments in AI in technologies that enable technology, with the use of AI bytes of data daily. So, for sure and technologies in transportation computing, sorting, evaluating and and predictive analysis, 30 per it has penetrated almost every and warehousing of goods. It should in taking actions. Slowly, AI is being cent are from the logistics and industry today and is a dominant also be considered that adoption used to extract contextual intelligent supply chain sector driving force behind the success of of technology needs an equal reports such as availability of trucks

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COVER STORY

Vaibhav Vohra Ashish Asaf Managing Director, Continental Carriers and MD & CEO, SA Consultant and Forwarders and Face of the Future, India Cargo Awards 2017 Face of the Future, India Cargo Awards 2018

logistics companies to optimise channels to get goods to retailers routes using real-time traffic data, and other customers in good time.” Globally, logistics Technology is improve vehicle utilisation and provide cost effective routes. Such Maheshwari calls it the most vital companies have transforming the technology is also being effectively technology that will enable the first made significant freight forwarding, used for keeping a check on fuel to the final link in the supply chain consumption, operational planning by providing visibility about the investments in AI logistics & supply chain and in providing accurate delivery manufacturing, shipping, inventory schedule to the customer.” management, accounting and and technologies in ecosystem in multiple customer relations to make accurate transportation and ways, by the use of According to Asaf, predictive and timely decision for the businesses. analytics in businesses can be He continues, “Logistics and supply warehousing of goods big data, ML & AI highly instrumental to assess the chain technologies are adding market for new products, target abundance of algorithms to facilitate audience, forecasting consumer operational standards, to spot errors demand, rationalising supply, with a higher level of accuracy than for delivery, accurate delivery time improving timelines and schedules, humans and reduce the overall and costing in real time to minimise instant data processing, as well as distribution time of the industry.” the inventory and operational costs. keeping fleet running at peak One of the widespread adoptions of performance levels. “AI can lead to proactive approach AI in the industry is the Graphical to supply chain risk management Processing Units (GPUs) which is the Elaborating the roles AI plays in with increased visibility and control exponential functioning of CPUs.” optimising the modern supply chain, over tiered networks of suppliers to Singh tells, “It extracts important guide risk management activities Digitisation SHORTEN data from customers, suppliers and and resources to the most critical DISTRIBUTION documents. It helps to manage the areas,” Asaf adds. On the other PROCESSES flow of goods throughout the supply hand, Parida is not sure if AI can Growth of digitisation AI is being used to calculate chain, ensuring that raw material shorten the distribution process in the logistics and supply the fastest routes which and products are in the right place or not till the time the constraints chain sector has made people enhance productivity and reduce at the right time. AI can analyse of Indian logistics are mapped interested in using AI to transportation costs. Commenting warehouse processes and optimise properly. He continues, “Theory maximise their resources by on how AI shorten the distribution the sending, receiving, storing, of Constraints is important for accurately calculating the processes, Vohra says, “There are picking and management of AI to think and give any proper time and money involved in apps available that help in keeping individual products. It can also analysis. Going ahead with it will the distribution process of a track of the vehicle and provide analyse fleet performance and definitely make the distribution package to a certain place last-mile visibility that allows ensure the right distribution leaner and profitable.”

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PERSONALITY India puts its best foot forward Government initiatives and measures have helped the Indian logistics industry to compete in the international market. As logistics and cargo industry continues to grow big and maintain its buzz, Mahesh Trikha, Managing Director, Aargus Global, shares the company’s 25-year journey towards bringing efﬁciency while adapting to new market conditions.

Neha Rawat

How do you see the and a lot of water has flowed since. Everyone talks about present status of the One of the most impacting factors challenges in the logistics and cargo is the mode of communications Indian logistics industry, industry? which has drastically changed. With how responsible is the The logistics is and shall remain the the introduction of mobile phones, government and the buzz for minimum of five years from email, etc. the turnaround time has industry to bring about now on. I believe it’s on a strong improved drastically resulting in efficiency at work? footing and will continue to grow overall efficiency and speed. Government and its agencies play this year onwards again. vital roles in this as the policies flow The advanced IT systems and software from there. Here are some of the What changes you have for the industry, whether in the measures taken by the government seen in the industry, field of tracking, invoicing, EDI which I feel have helped the industry. since the inception of filing, freight forwarding, warehousing One of the most pleasing factors in Aargus Global Logistics? etc. has put the country’s logistics this regard is that the government has Aargus Global is now in scenario on global hubs attracting lot created a separate department for its 25th year of of financial assistance/FDI for many in logistics and now we have Secretary - inception the fraternity. Logistics in Department of Commerce, Government of India. It shows the Where does the Indian commitment of the government logistics industry stand to help the industry and more vis-a-vis the interna- importantly the foreign companies tional market? We are among the top seven economies of the world and our target is to be on the 4th position by 2025. This is really a good sign as India’s industry stand vis-a-vis the international market is going to be ever strong.

We can hope and see spurt in Indian manufacturing ﬁgures, under ‘Make In Mahesh Trikha India’ programme of our government, Managing Director, Aargus Global and putting Indian logistics industry on a Best Cargo Professional of the Year 2019 India Cargo Awards strong footing with others.

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who are eager to set up the business here. The Single Window concept of the Government of India has put One of the most important changes in India on an appreciable position in world ranking, on ease of doing current systems is the advancement of business list; the introduction of GST IT and support system is a welcome step and has helped the industry in a big way on transit times of transportation across India, hence helping the efficiency levels further. customs. This makes the international through all weathers of business What are the changes logistics/forwarding more efficient. environment and been successful that you would like to We would like to see the advantage in professionally managing our see about in making the of Skill India initiative. This should company. It’s only because of the team industry more efficient? lead to more skilled workers/staff at members who have been with us for One of the most important changes all levels and will boost efficiency. more than 20 years, team consisting in current systems is the advancement of stalwarts and professionals of the of IT and support system. With regard How would you like industry, with mix of experienced and to import and exports, another to contribute towards new blood. important aspect shall be to hook up making these changes? India’s roadmap all government agencies on EDI of The way forward, we have started After my son, Saurabh Trikha, investing in focussed training of our taking took over since 2010, we India’s logistics scenario team. We have updated our software have grown three times and are on global hubs is attracting a to be among the best in industry well set to grow further. Our ability lot of financial assistance/FDI in India or comparable to best in to adapt to changes required from for many in the fraternity the world. Increasing efficiency in time to time, support of customers, the company is our objective. We well balanced team, introduction of We are among the top are flexible in adapting to new latest technologies, specialisation seven economies of the technologies and market conditions. of handling of niche products world and the target is to be th mainly pharma, DG, Aircraft on on the 4 position by 2025 How do you ensure that Ground (AOG), ecommerce and The Single Window concept your company stays on auto parts along with project cargo of the Government of India has top of its game? etc. gives us additional advantage put India on an appreciable We shall be celebrating silver jubilee and confidence to stay on top of the position in world ranking, in on June 1, 2020. We have gone given situations. the ease of doing business list

FEBRUARY - 2020 CARGOTALK 21 INDUSTRY OPINION Cold chain gets ‘smart’ The cold chain ecosystem plays an important role in providing end-to-end visibility, while data transparency and traceability also ensure product quality and process efﬁciency. discusses transparency via AI & IoT in the cold chain industry and ﬁnds out if implementation cost is still a barrier to further business in India.

Kalpana Lohumi HARPREET SINGH MALHOTRA VIKASH MOHAN Chairman & Managing Director, Tiger Logistics India and CEO, DHL SmarTrucking India India Cargo Awards Winner 2019 oday, the IoT is changing the process of oT is already transforming the way logistics is Tinventory, logistics, manufacturing, and Idone in India and is particularly important for more. Contextual intelligence provided by the cold chain industry. Companies in sectors technology such as Intelligent Robotic Sorting, such as pharmaceutical, agriculture, dairy AI-powered visual inspection, etc. which and confectionary, floriculture, quick-service are transforming warehouse management, restaurants, and processed foods, often face shipping, tracking, logistics, packaging and challenges in preserving the shelf life of their so on. Supervised and unsupervised learning, products and moving it swiftly and seamlessly and reinforcement learning technologies across the supply chain, due to inadequate are facilitating real-time decision-making, temperature management. Consequently, they enhanced fraud detection, predictive insights, require a high degree of transparency in the etc. AI-led automation in the form of self- process, to ensure the integrity of their goods. driving forklifts, automated sorting, self- IoT helps accomplish this through a connected ecosystem that facilitates managing intelligent inventory systems, autonomous/driverless ground smart monitoring and continuous communication. vehicles, etc. are revolutionising warehousing, logistics, distribution, inventory Our trucks have IoT-enabled sensors that track shipments and monitor the temperature. The data is sent to a centralised control tower, providing real-time updates on the location of the shipments and its estimated arrival time on the system, allowing the operations team to take Internet-connected trackers use long-range immediate action if irregularities arise and enhancing transparency in the networks or Low Power Wide Area Networks shipment process for customers. The doors of the SmarTrucks are also (LPWANs) to let companies track specific items monitored by sensors to ensure security. The implementation cost of these throughout their delivery journeys Companies in sectors such as pharmaceutical, management, etc. intelligent software solutions are enabling better supplier processed foods, etc. often face challenges in selection, product design, audits, evaluations, production planning, B2B sourcing, etc. preserving the shelf life and swift movement of their products across the supply chain The implementation cost should not be worked as a barrier for IoT and AI. Internet-connected trackers use long-range networks or Low Power Wide Area Networks (LPWANs) to let companies track specific items throughout their delivery journeys. In the same vein, satellite trackers provide location data solutions has reduced since they were first developed. Sensor technology on an item almost anywhere on the planet, even in areas that do not have has become cost-efficient, and wireless connectivity is increasing, making cellular coverage. Also, near-field communication (NFC) tags, based on RFID current IoT networks cheaper to implement and maintain. This gives an standards, allow workers to use their mobile devices as readers for the NFC opportunity for logistics companies to deploy IoT solutions at scale and tags, which provides an advantage over RFID tags and readers. become future-ready.

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PANKAJ MEHTA Managing Director, Carrier Transicold, India & South Asia

oT-powered cold chains not only help combat SUNIL KOHLI Iproduct loss but are also a proof of quality and Managing Director, Rahat Cargo compliance to various stakeholders. Everyone is now keen to learn the source and steps taken here is no doubt that incorporating to ensure the safety and quality of the products TIoT-based solutions requires ongoing they would be consuming. Businesses effectively cold chain transformations. Migration use IoT to help translate data into meaningful from outdated cooling containers to other actions using data analytics. In absence of cold shipping packages has become crucial to chain technology, problems such as compromised ensure better temperature control, real- and reduced shelf life of product have plagued time data monitoring, automated reporting, the cold chain. Effective root cause analysis, and predictive analytics. Apart from real- time asset tracking, the data obtained through the IoT-powered sensors allows stakeholders to better understand the risks involved, improve operational output and A cold chain is only as strong as its distribution schedules. This inevitably translates into high customer retention, weakest link, and one way to enable an as cold chain logistics becomes more streamlined and visible. uninterrupted cold chain going forward is to turn to IoT solutions The data obtained through the IoT-powered sensors allows stakeholders to better corrective and preventive action, predictive analysis and faster resolution times are few of the many benefits of adopting IoT solutions for cold chain warehousing and understand the risks involved, improve logistics, which are enabled by data analysis. A cold chain is only operational output and distribution schedules as strong as its weakest link, and one way to enable an uninterrupted cold chain going forward is to turn to IoT solutions. When IoT-based solution emerges, there is no need to check environmental conditions of cold storage manually. What is more, even goods freshness can be verified without human assistance. However, in my opinion, implementing both AI & IoT solutions seem to be still far away since the stakeholders engaged in the cold chain supply industry have been struggling with the financial issues at various stages. Hence, they may not like to enter in a new arena at this point of time.

FEBRUARY - 2020 CARGOTALK 23 AUTO TALK

No zip, zap, zoom in auto world The automotive industry has one of the highest multiplier effects and many industries are allied to its fortunes; one such industry is automotive logistics. Logistics experts talk to about the impact of unprecedented decline in the auto industry and its repercussion on the logistics sector.

24 CARGOTALK FEBRUARY - 2020 www.cargotalk.in AUTO TALK

ﬁgure close to 13 per cent. However, points, Huned Gandhi, Managing the industry has seen a major Director – Air & Sea Logistics Indian slowdown for over a year. Logistics Subcontinent, Dachser. “From two- is an integral part of the automotive wheelers to cars and heavy duty manufacturing industry and it is trucks, all segments of the sector important to mention that supply have seen a dip. It is expected chain of automotive is complex that the slowdown will cause the and requires constant attention industry to close the FY 2019-20 to details. explores where with a decline of 13-17 per cent in the Indian automotive logistics wholesale dispatches as compared is heading and how the current with last ﬁnancial year.” scenario of automotive industry has impacted the logistics industry. “Despite the continued discounts and freebies for over a year, the

Commenting on the present year-end sale didn’t help much in Aditya Shah scenario, Aditya Shah, Executive stimulating any major demand. Executive Director V Trans India Director, V Trans India, says, “The The growth of the auto component Indian auto logistics industry is industry is totally reliant on vehicle going through a tough phase industry, a current 15-20 per cent for quite a time now; best of the cut in vehicle production has led best companies’ plant have been to a crisis like situation in the auto India has 60 per reported idle for five days to a few component sector too. It’s like weeks. One prominent reason of a ripple effect and if such a big cent load on roads slowdown is unpreparedness of the industry will remain on a downward whereas in developed industry to meet the BS VI norms spiral for such long period, it’s most along with sentimental slowdown definitely that the logistics industry countries as high in demand and liquidity crisis in the will face the heat of the slowdown. form of lack of easy lending. This The sales slump and the drop in as 60 per cent of also affected the ancillary industry auto manufacturing has affected the entire transportation segments. Many of the ancillary business in both the transportation industries are MSMEs which do not and warehousing. However, with happens through have shock absorbing capacity to industries like Life Science and railways a bigger extent and are finding it Healthcare (LSH) and e-commerce is difficult to sustain and continue the still growing in the country, it helped operations. Naturally, the logistics logistics players to subsidise the business related to auto industry effect due to the auto slowdown,” has also been affected badly. There he continues. are many companies specialised in auto logistics that were having a India being a prominent exporter large chunk of business from auto of automotive vehicles has strong industry. Adding to the trouble, export growth expectations for Kalpana Lohumi there is no clear sign of how long the near future. Sharing a positive this slowdown will take to recover. perspective, Amit Tandon, he Indian automobile industry Auto logistics had its proportion of Managing Director, AS India, is one of the driving forces supply for auto part and vehicles informs, “Several policy initiatives Trivia Tof Indian economy which which has cascaded with downturn in investment and technology contributes around 49 per cent in the overall economy and resulted development by the government to the country’s manufacturing in big impact on logistics, especially as well as the major automobile Maruti Suzuki has got into Gross Domestic Product (GDP) on transport business.” players in the Indian market are an agreement with Indian and 7.5 per cent to its overall expected to make India a leader in Railways to transport its new GDP, according to the Indian Auto “India’s economy is facing the the two-wheeler and four-wheeler cars from a factory in Gujarat, Industry Report Status 2020. With slowdown for almost a year and market in the world by 2020. The to other locations including the Automotive Mission Plan (AMP) the automotive industry is one of Government of India has been the remote ones, having 2026, government aims to take this the worst hit by the slowdown,” encouraging foreign investment capacity of 2.5 million vehicles

FEBRUARY - 2020 CARGOTALK 25 AUTO TALK

in the automobile sector by India, comprising commercial allowing 100 per cent FDI under vehicles, passenger cars, two- the automatic route. The Ministry wheelers, tractors, and construction of Heavy Industries, Government of equipment. These segments are India has also shortlisted 11 cities down by more than 15 per cent in in the country for introduction of their sales volumes.” electric vehicles (EVs) in their public transport systems.” On the other hand, seeing it as a prospect for new age logistics “In line with general slowdown in companies, Manish Ahuja, Director, the Indian economy, the automotive Holisol, tells, “The slowdown in the industry in India is facing a slackening auto industry is not only impacting of the demand which has led to the OEMs but the support industries inventory pile-up, stalled production are also facing the brunt. For new-

Huned Gandhi Amit Tandon lines, disturbance in supply chains, age logistics companies, this is an Managing Director – Air & Sea Logistics Indian Managing Director, AS India and languishing dealership operations, opportunity to work with industry to Subcontinent, Dachser India Cargo Awards Winner 2016 etc. The manufacturers are also make supply chain logistics agile and looking for cost reduction, inter alia, lean for long term benefits. Industry on logistics, to meet the challenges players are open to evaluate and of excess stocks, competition and replace the conventional methods Growth of industries The GOI has been availability of more advanced with new practices such as looking models,” Tandon adds. at ‘packaging of the product from like LSH and encouraging foreign a logistics perspective’ for overall e-commerce in the investment in the Adding to these lines, Alexandre benefit in the line-to-line supply Amine Soufiani, Managing chain. We are living in a time country is helping automobile sector Director – India Operations, FM where the industry is gearing itself Logistic, says, “A dip in the sales to answer this agile requirement logistics players to by allowing 100 per volume of commercial vehicles to respond and adapt better to subsidise the ill-effect cent FDI under the in the end of 2018, immediately consumer demands, government after the regulatory change in policies & environment.” of auto slowdown automatic route axle load norms, has turned into a full-blown conflagration in a year, ROAD OR RAIL? engulfing at least five segments Indian Railways has recently of the automotive industry in emerged as the most preferred

26 CARGOTALK FEBRUARY - 2020 www.cargotalk.in

AUTO TALK

to rake movements by rail for export Stressing on the challenges part, consignments, as this is a cheaper Ahuja says, “Railways has its own and faster mode.” set of challenges. Opting rail mode is not going to be enough, relooking Souﬁani adds, “The Automobile into ﬁrst and last-mile connectivity Freight Train Operator (AFTO) catered by transport industry is also policy was liberalised to encourage required. So, what is needed today more private investment in special is an integrated solution which can wagons, procurement of Indian seamlessly connect the rail and road.” Railway’s own BCACBM (high- capacity railway wagons) and NMG “The automobile companies are wagons. With the government increasing their transportation increasing its focus on promoting through railways because of cost alternative means of transportation cutting pressure. In Indian scenario,

Alexandre Amine Soufiani Manish Ahuja to reduce carbon footprint, demand the model mix is not as good as of Managing Director – India Operations Director for transporting vehicles through developed countries. India has 60 FM Logistic Holisol railways is also increasing.” per cent load on roads whereas in developed countries as high as 60 per However, Gandhi feels, “The cent of entire transportation happens model mix for automotive logistics through railways,” explains Shah. The government’s For new-age logistics in India is largely dependent on road transport, followed by rail Shah believes the shift will certainly increased focus on companies, this is an transport. It’s the global rise in affect the logistics business. He adds, reducing carbon opportunity to work fuel prices and the cut down in “The infrastructure development, automobile production, which mainly of warehousing, will take footprint leads to with industry to make played more significant role in place near railways hubs and the LSPs putting pressure on road transport will have to deliver under the cost more demand for supply chain logistics than the decision of automobile pressure and should bring increased transporting vehicles agile and lean for long companies to transport vehicles efficiency to counter the shift via railways. As the automobile towards railways. Even collaborating through railways term benefits sector shows little signs of revival, with railways and making the first we will soon see the situation mile and last mile delivery in sync will getting back to normal.” also see rise in coming times”

mode of transportation given the low cost of transportation, faster 5HTXLVLWHV service, reliability and safety offered by railway system and needless Better transport infrastructure that involves, better roads, and better to mention that railways are the standards of transportation in comparison to global level green mode of transportation. Product quality of vehicles manufactured in India must improve However, the country is more into modal mix for automotive logistics. Connectivity with major ports and related infrastructure demands a On this Tandon says, “The railways lot of attention and improvement have been constantly improving Deployment and use of technology in warehouses be improved their connectivity to various to support intricate and highly time-sensitive supplies and industrial and manufacturing hubs inventory control with the gateway ports in India, particularly with the development Labour and tax regulations must change to become amicable of the dedicated freight corridors for all parties in the country, both in the private Mediatory authorities must be empowered to take fast decision to and the public sector. This has, to ensure the smooth operations a very large extent, replaced the All the new trucks should come with built-in GPS technology for movement of the vehicular cargo higher visibility from the traditional road movement

28 CARGOTALK FEBRUARY - 2020 www.cargotalk.in

FAMILY ALBUM

DCBA-LSC’s skill training Collaborating with Logistics Sector Skill Council, Delhi Customs Brokers Association organised an eight-hour training programme at Delhi Cargo Service Center. The event aimed to skill the Exim executives of ofﬁces and ﬁelds pertaining to customs broking business.

30 CARGOTALK FEBRUARY - 2020 www.cargotalk.in

CARGO STATISTICS

TRAFFIC STATISTICS DOMESTIC FREIGHT

Freight (in tonnes) Freight (in tonnes) For the Month For the period For the Month For the period April to November April to November S. Airport November November % 2019- 2018- % S. Airport November November % 2019- 2018- % No. 2019 2018 Change 2020 2019 Change No. 2019 2018 Change 2020 2019 Change

(A) 19 International Airports 30 Chandigarh 1,003 448 123.9 6,561 3,747 75.1 1 Chennai 7,072 6,975 1.4 56,102 66,140 -15.2 31 Madurai 179 291 -38.5 1,062 2,421 -56.1 2 Kolkata 8,149 7,657 6.4 69,296 66,975 3.5 32 Surat 147 107 37.4 678 660 2.7 3 Ahmedabad 4,748 4,299 10.4 40,081 38,288 4.7 33 Aurangabad 86 162 -46.9 511 1,508 -66.1 4 Goa 411 223 84.3 2,919 1,766 65.3 34 Indore 792 920 -13.9 6,806 8,172 -16.7 5 Guwahati 1,799 1,983 -9.3 14,601 15,530 -6.0 Total 7,308 6,922 5.6 58,674 67,230 -12.7 6 Lucknow 678 507 33.7 8,023 2,779 188.7 (D) 25 Domestic Airports 7 Jaipur 1,463 1,282 14.1 10,543 10,391 1.5 35 Ranchi 458 356 28.7 4,056 3,769 7.6 8 Trivandrum 162 140 15.7 1,458 1,033 41.1 36 Raipur 575 422 36.3 4,191 3,200 31.0 9 Bhubaneswar 846 786 7.6 6,546 6,128 6.8 37 Agartala 165 432 -61.8 2,942 3,663 -19.7 10 Calicut 0 41 - 578 404 43.1 38 Udaipur 0 0 - 3 2 50.0 39 Jammu 113 205 -44.9 984 1,334 -26.2 11 Coimbatore 799 718 11.3 6,667 7,372 -9.6 40 Dehradun 17 20 -15.0 111 137 -19.0 12 Varanasi 308 285 8.1 2,509 1,666 50.6 41 Vadodara 306 124 146.8 2,299 1,628 41.2 13 Srinagar 480 588 -18.4 5,548 5,650 -1.8 42 Leh 159 236 -32.6 1,358 941 44.3 14 Amritsar 43 60 -28.3 810 665 21.8 43 Bhopal 129 189 -31.7 894 1,169 -23.5 15 Mangalore 291 36 - 570 274 108.0 44 Jodhpur 0 0 - 1 5 -80.0 16 Portblair 623 621 0.3 4,612 3,660 26.0 45 Hubli 8 0 - 70 0 - 46 Rajahmundry 0 6 - 0 47 - 17 Trichy 0 0 - 2 7 -71.4 47 Silchar 62 94 -34.0 569 560 1.6 18 Imphal 717 507 41.4 5,377 4,128 30.3 48 Dibrugarh 89 82 8.5 663 583 13.7 19 Vijayawada 132 91 45.1 1,550 382 305.8 49 Rajkot 4 20 -80.0 21 177 -88.1 Total 28,721 26,799 7.2 2,37,792 2,33,238 2.0 50 Jabalpur 0 0 - 0 1 - (B) 6 JV International Airports 51 Dimapur 44 60 -26.7 233 349 -33.2 52 Bhuj 0 3 - 0 22 - 20 Delhi (DIAL) 29,283 33,811 -13.4 2,46,276 2,50,639 -1.7 53 Tuticorin 3 4 -25.0 39 26 50.0 21 Mumbai (MIAL) 24,954 25,182 -0.9 1,93,090 1,91,063 1.1 54 Jorhat 0 4 - 0 30 - 22 Bangalore (BIAL) 12,642 11,357 11.3 1,05,310 1,00,424 4.9 55 Juhu 29 26 11.5 247 228 8.3 56 Kanpur (Chakeri) 2 0 - 93 0 - 23 Hyderabad (GHIAL) 5,077 4,848 4.7 41,871 40,325 3.8 57 Jamnagar 0 1 - 0 3 - 24 Cochin (CIAL) 1,161 1,041 11.5 9,522 9,369 1.6 58 Agatti 9 2 350.0 47 18 161.1

25 Nagpur (MIPL) 600 689 -12.9 5,962 5,904 1.0 59 Jharsuguda 7 0 - 34 0 - Total 2,179 2,286 -4.7 18,855 17,892 5.4 Total 73,717 76,928 -4.2 6,02,031 5,97,724 0.7 (E) 2 St Govt./ Pvt Airports (C) 9 Custom Airports 60 Lengpui (Aizwal) 69 45 53.3 312 351 -11.1 26 Pune 3,242 3,321 -2.4 25,331 35,043 -27.7 61 Nasik (Hal Ozar) 0 30 - 7 129 -94.6 27 Patna 932 872 6.9 8,735 7,760 12.6 Total 69 75 -8.0 319 480 -33.5 28 Bagdogra 623 476 30.9 5,285 4,406 20.0 Grand Total 1,11,994 1,13,010 -0.9 9,17,671 9,16,564 0.1 29 Visakhapatnam 304 325 -6.5 3,705 3,513 5.5 (A+B+C+D+E)

32 CARGOTALK FEBRUARY - 2020 www.cargotalk.in CARGO STATISTICS TRAFFIC STATISTICS – INTERNATIONAL FREIGHT * Estimated

(A) 15 International Airports (B) 6 JV International Airports 1 Chennai 22,502 24,247 -7.2 1,88,858 2,18,300 -13.5 16 Delhi (DIAL) 50,724 51,854 -2.2 4,12,966 4,46,269 -7.5 2 Kolkata 5,371 5,253 2.2 40,424 41,426 -2.4 17 Mumbai (MIAL) 48,988 56,398 -13.1 3,91,308 4,56,084 -14.2 3 Ahmedabad 4,307 5,128 -16.0 34,022 31,623 7.6 18 Bangalore (BIAL) 18,732 18,201 2.9 1,52,177 1,64,654 -7.6 4 Goa 60 129 -53.5 778 1,356 -42.6 19 Hyderabad (GHIAL) 7,088 6,530 8.5 56,076 56,377 -0.5 20 Cochin (CIAL) 4,164 4,815 -13.5 42,965 35,938 19.6 5 Guwahati 2 1 100.0 3 19 -84.2 21 Nagpur (MIPL) 37 126 -70.6 792 647 22.4 6 Lucknow 241 207 16.4 2,304 1,969 17.0 Total 1,29,733 1,37,924 -5.9 10,56,284 11,59,969 -8.9 7 Jaipur 214 213 0.5 1,577 1,687 -6.5 8 Trivandrum 1,623 1,716 -5.4 17,129 15,028 14.0 (C) 4 Custom Airports 9 Bhubaneswar 8 3 166.7 28 18 55.6 22 Pune 19 12 58.3 134 34 294.1 10 Calicut 2,068 1,375 50.4 18,616 9,535 95.2 23 Visakhapatnam 42 0 - 315 0 - 11 Coimbatore 209 203 3.0 1,797 1,456 23.4 24 Madurai 122 140 -12.9 1,140 1,085 5.1 25 Indore 42 0 - 571 0 - 12 Varanasi 0 0 - 5 0 - Total 225 152 48.0 2,160 1,119 93.0 13 Amritsar 87 66 31.8 848 469 80.8 (D) Total 9 St Govt./ 0 0 - 0 12 - 14 Mangalore 336 186 80.6 1,928 2,212 -12.8 Pvt Airports 15 Trichy 597 521 14.6 5,549 4,438 25.0 Grand Total 1,67,583 1,77,324 -5.5 13,72,310 14,90,636 -7.9 Total 37,625 39,248 -4.1 3,13,866 3,29,536 -4.8 (A+B+C+D) (Source: AAI)

Monthly Traffic And Operating Statistics During 2019 (Provisional) (Scheduled Domestic Services) (Cargo Carried) Freight Mail Total Freight Mail Total Freight Mail Total Freight Mail Total in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes in Tonnes JAN Air Asia Air India Air India Express Alliance to APR 8,667.1 0.0 8,667.1 23,595.2 3,035.6 26,630.8 217.9 0.1 218.0 37.6 0.0 37.6 MAY 3,123.9 0.0 3,123.9 6,954.6 849.1 7,803.8 50.0 0.0 50.0 15.1 0.0 15.1 JUN 2,857.6 0.0 2,857.6 6,208.2 673.3 6,881.5 82.4 0.1 82.6 13.6 0.0 13.6 JUL 2,837.8 0.0 2,837.8 6,081.4 709.6 6,791.1 84.1 0.0 84.1 11.7 0.0 11.7 AUG 3,110.9 0.0 3,110.9 5,940.0 755.1 6,695.1 49.1 0.0 49.1 21.6 0.0 21.6 SEP 3,415.5 0.0 3,415.5 5,936.4 684.2 6,620.6 60.6 0.0 60.6 25.0 0.0 25.0 OCT 3,857.5 0.0 3,857.5 6,740.8 630.8 7,371.6 89.6 0.0 89.6 25.8 0.0 25.8 NOV 3,246.2 19.1 3,265.3 5,913.4 755.9 6,669.4 82.3 0.0 82.3 22.8 0.0 22.8 TOTAL 31,116.7 19.1 31,135.8 67,370.1 8,093.8 75,463.9 716.1 0.2 716.3 173.2 0.0 173.2 JAN Blue Dart GoAir SpiceJet Indigo to APR 36,978.0 0.0 36,978.0 23,575.3 0.0 23,575.3 30,667.7 0.0 30,667.7 45,573.1 5,832.1 51,405 MAY 10,311.0 0.0 10,311.0 7,918.5 0.0 7,918.5 9,149.3 0.0 9,149.3 20,557.9 1,610.3 22,168.2 JUN 10,110.7 0.0 10,110.7 7,445.3 0.0 7,445.3 9,841.7 0.0 9,841.7 19,024.6 1,548.6 20,573.1 JUL 11,224.2 0.0 11,224.2 8,094.7 0.0 8,094.7 10,706.2 0.0 10,706.2 20,020.0 1,730.2 21,750.2 AUG 10,921.1 0.0 10,921.1 8,752.8 0.0 8,752.8 11,256.8 0.0 11,256.8 20,637.4 1,499.9 20,637.4 SEP 10,502.6 0.0 10,502.6 9,086.7 0.0 9,086.7 10,962.9 0.0 10,962.9 21,670.8 1,291.9 22,962.7 OCT 10,430.4 0.0 10,430.4 10,082.4 0.0 10,082.4 12,337.4 0.0 12,337.4 22,166.4 1,303.0 23,469.4 NOV 10,375.4 0.0 10,375.4 8,673.2 0.0 8,673.2 10,811.6 0.0 10,811.6 19,120.1 1,540.7 20,660.8 TOTAL 110,853.3 0.0 110,853.3 83,628.9 0.0 83,628.9 105,733.6 0.0 105,733.6 64,491.9 7,389.6 71,881.5 (Source: DGCA) FEBRUARY - 2020 CARGOTALK 33 ASSOCIATION TALK Kakinada’s agri-export hit

Kakinada’s business faces a sharp fall as the port fails to compete with global rice prices as per the market standards. M Satyanarayana, Vice Chairman, FFFAI and President, Kakinada Custom Brokers Association, shares how he will be guiding the association’s members in all aspects relating to anchorage port, deep water port and customs or GST.

Neha Rawat

Could you please give an maize has a high domestic price overview of the prevail- compared to global prices, similarly, ing business scenario in As the Vice Chairman rice also has such disparity and faces and around Kakinada much competition, thereby global pertaining to customs of FFFAI my rice prices are less and do not match broking and freight responsibility Indian markets. Hence, exporters are forwarding? unable to procure rice to compete Kakinada’s prevailing business is has been increased with global market. However, the reduced from previous years due to to fulﬁll the government has provided farmers international recession and export procuring paddy with minimum price disparity for customs brokers. expectations of support price. 28 associations You have recently been elected as Vice Chairman, FFFAI. Could you please elabo- When exports are reduced, naturally rate on your added customs brokers business will responsibilities for your also be reduced, whereas region as well as for there were many other the apex body at the reasons due to which national level? imports were reduced. As the Vice Chairman of FFFAI, my We have to face the bad responsibility has been increased weather due to reduced to fulfill the expectations of 28 exports and imports. locations / associations. From Kakinada Port is not my association, I was the first much exposed to freight person elected as Vice Chairman, forwarding, but in future and thanks to all EC members the customs brokers will of FFFAI for giving me the take part in it. opportunity to serve the national body, FFFAI. Are you facing any challenges speciﬁc to I will take forward the ideals your region? of our Chairman AV Vijaykumar Kakinada port is basically based on and other office bearers to the agri exports of rice, maize etc. Now members of the association.

34 CARGOTALK FEBRUARY - 2020 www.cargotalk.in DOMESTIC NEWS Shipsy’s international freight module gets 300+ customers

hipsy has launched a new suite related tasks. It allows for Sof solutions for international The software has intelligent reference rates, onboarding not just users across freight digitisation and automation. multiple bidding rounds and dashboards internal teams but also freight The solution which has a free forwarders, custom house tier usage of up to 50 shipments around cost-saving and vendor participation agents, transporters and other per month, has seen over 300+ vendors. With alerts when customers actively using this To further help reduce costs, the The most recently launched any task is missed, the system solution. By just adding an excel rate of procurement module was Shipment Execution module helps reduce incidental costs sheet of BL/container numbers, launched two months ago. The allows for the digitisation of in the domestic movement the solution gives insights across software has intelligent reference all documentation and cargo of containers. all containers that are stuck at rates, multiple bidding rounds and transshipment ports, arriving at dashboards around cost-saving destination port and the ones and vendor participation. Shipsy that are delayed. It also allows for maintains a sync with all shipping automated communication of daily lines and ensures local charges are shipment reports to clients. The updated on actuals and no errors system intelligently alerts on the come in quotes. The cost savings containers that are about to incur report gives an overview of the detention/demurrage penalties and negotiation process and cost that predicts delays across shipping lines has been saved due to multiple based on the overall trends. All this bidding rounds. Vendor participation is possible for freight movement analytics ensures transparency and across 35+ global shipping lines. fairness across the vendor base. JNPT and Antwerp Port Authority initiate seamless trade

awaharlal Nehru Port Trust (JNPT) IAS, Chairman, JNPT said, “Indore is (Container Corporation of India) Jand Antwerp Port Authority a significant market for us, therefore connects traffic of ICD Pithampur & organised a knowledge session on connectivity from here is important Ratlam at JN Port and Distribution ‘Gateways for trade between the and it will further increase the Logistics connects traffic of ICD India-Europe corridors’ in Indore. market economy of Indore and Dhannad at JNPT. The trade The session focused on the role of Madhya Pradesh. fraternity in Madhya Pradesh in Europe. The port’s DNA of ports in international trade and can take advantage of JNPT’s cargo handling-logistics-industry, supply chain ecosystem, innovations The EXIM community in Indore facilities and will also boost the smooth customs procedures, impacting the sector and the various can now take advantage of JNPT’s trade volumes from Indore to the unique services such as fiscal initiatives to be undertaken for facilities to trade across the world. global markets. representation, value-added seamless gateway to customers This will definitely open up an logistics offered at the port trading via ocean between the opportunity for enhancing cargo The Port of Antwerp positioned premises and excellent port India-Europe corridors. While generation between Indore and itself as a unique gateway offering connectivity to the European addressing the delegates at the JNPT.” Indore is well connected the best possible combination of hinterland & worldwide reinforced knowledge session, Sanjay Sethi, with JNPT through rail; CONCOR efficiency and cost to customers the case.

FEBRUARY - 2020 CARGOTALK 35 FAMILY ALBUM

ACCD hosts glitterati at annual ball The Air Cargo Club of Delhi (ACCD) hosted yet another breathtaking and magniﬁcent Annual Ball on the 43rd Founders day on January 11, 2020 at Hotel Andaz Aerocity, New Delhi. The managing committee took to the stage to acquaint the members about the activities.

36 CARGOTALK FEBRUARY - 2020 www.cargotalk.in FAMILY ALBUM

FEBRUARY - 2020 CARGOTALK 37 DOMESTIC NEWS Delhi Airport is exclusive SF Airlines’s 2nd freighter cargo hub for China between Shenzhen & Delhi

elhi International Airport and accessories, brought the D(DIAL) has announced that it consignment from Beijing to Delhi has been chosen as the exclusive for onward delivery to Ukraine in cargo transshipment centre in India the last week of 2019. This was the by China. As per this significant first instance of international-to- development, Chinese cargo international movement of China’s to the Central Asian countries cargo via Delhi airport. is now being routed through Delhi Airport’s Transshipment This new movement of international Excellence Centre (TEC). Delhi transhipment cargo connecting has emerged as a cargo hub for China to Ukraine via Delhi Airport businesses in North India and will give a significant impetus neighbouring countries. An Air Asia to the air cargo and regional X (D7) freighter, carrying garment logistics sectors. F Airlines has launched its India, New Delhi is an important Ssecond freighter service location for Chinese companies to between Shenzhen and New invest, develop and expand their Delhi. Airlines’ B747-400F, the business in the country,” said, new route will see two flights per Sam Sun, Head, SF Express India. week, providing a weekly round- “To leverage these advantages, trip capacity of 400 tonne. The SF Express has launched an all- company has added a new flight new direct air freight route to between Shenzhen and New New Delhi to fully penetrate Delhi in addition to its Shenzhen– the Indian market and provide Chennai service launched earlier comprehensive cross-border in 2019. “As the capital of logistics coverage,” he added.

Walmart, Amazon & Reliance to set up logistics hubs in MP

eeing the improved connectivity Sof Madhya Pradesh with other states in all directions, Walmart, Amazon and Reliance are preparing to tap into the strategic location of Madhya Pradesh to set up logistics bases by locating national distribution centres and warehouses in the state. The state is likely to see intense activity on this front in March and April. The business heads of the retailers are planning visits in a couple of months to ﬁgure out details of logistics business.

According to Rajesh Rajoura, “Walmart, Amazon and Reliance is neither their priority nor the state fruit and vegetable markets in a Principal Secretary to the State have expressed interest in building governments’. But logistics hubs will big way and would want to set Government for Industrial logistics hubs and warehouses in get due consideration.” In addition, up centres for supply in Madhya Investment Policy and Promotion, the state. Setting up retail outlets Amazon also plans to enter fresh Pradesh and the rest of the country.

38 CARGOTALK FEBRUARY - 2020 www.cargotalk.in DOMESTIC NEWS Blackstone to invest `380 crore in Allcargo o develop logistics parks in key Tconsumption hubs in India, Allcargo Logistics has partnered with Blackstone Group. Blackstone will invest up to `380 crore in Allcargo Logistics to develop industrial and logistics parks across India. Blackstone proposes to make its investment in the platform, by way of debt and equity. Allcargo will retain a minority stake in the various logistics assets and transfer its debt as it relates these speciﬁc assets to their relevant subsidiaries. The transaction is expected to conclude in a phasewise manner over the next achievement of certain milestones. to create a global benchmark in solutions to our customers,” states 12 months, subject to satisfaction “Through this strategic tie-up, we will warehousing infrastructure and Shashi Kiran Shetty, Chairman, of customary closing conditions and reiterate our commitment, position provide state-of-the-art warehousing Allcargo Logistics.

GHAL & ESR to develop Adani Ports and SEZ to 66-acre logistics park acquire 75% stake in in Hyderabad Krishnapatnam Port

MR Hyderabad Aerotropolis and industrial real estate dani Ports and Special G(GHAL) has formed a joint sector. It would also benefit the AEconomic Zone (APSEZ) will venture with ESR Hyderabad burgeoning cargo industry in the be acquiring a 75 per cent stake 1 (ESR) to develop a 66-acre region,” said Aman Kapoor, from the existing shareholders logistics and industrial park at CEO – Airport Land Development, of Krishnapatnam Port and the Hyderabad airport city. Both GMR Group. Abhijit Malkani Company (KPCL). This acquisition the companies, for the aforesaid and Jai Mirpuri, Country will accelerate APSEZ’s stride transaction, have entered into Heads of ESR India said, “Being towards 400 MMT by 2025. definitive agreements with an strategically located, this state- The acquisition value of KPCL is equity interest of 70 per cent of-the-art facility showcasing approximately `13,500 crore. The and 30 per cent respectively smart, sustainable and human- acquisition is subject to regulatory in the SPV viz., GMR Logistics centric design, will pave the way approvals and the transaction Park. The total project outlay for Indian and global companies is expected to be completed in would be around `550 crore. to capitalise on the immense 120 days. “This collaboration will set new growth opportunities available in standards for the warehousing the Indian market.” Karan Adani, Chief Executive Karan Adani Chief Executive Officer and Whole Time Director Officer and Whole Time Director, APSEZ APSEZ, said, “Given the best- in-class infrastructure and the potential of KPCL and improving distinct hinterland catered by returns to stakeholders.” Adani KPCL, this acquisition will not just added that APSEZ will target to increase our market share to 27 enhance cargo volume at KPCL to per cent but also add remarkable 100 MMT in around seven years value to our pan-India footprint. and will double its EBIDTA in We are confident of harnessing the around four years.

FEBRUARY - 2020 CARGOTALK 39 CARGO EVENTS ASSOCIATION TALK MCCI & FFFAI focus on India’s trade with neighbouring countries

FEBRUARY 2020 Domestic ACFI Annual Event on Air Cargo New Delhi 5 Green Supply Chain Summit New Delhi 7 Logistics & Supply Chain Tech Mumbai 11 Innovation Summit National Conference on Supply Chennai 15 Chain and Logistics

Asia Pharma Supply Chain Summit Mumbai 25-26 Sudip Dey, Vice Chairman, FFFAI along with other dignitaries at MCCI Logistics Forum held in Kolkata

Global Logistics Show Mumbai 25-27 he MCCI Logistics Forum for strengthening India’s trade CTL Conference Mumbai 27-28 T2019 emphasised on regular and economic engagement with communication between importers its neighbouring countries like International of Nepal and the service providers Bangladesh, Nepal, Bhutan and Supply Chain & Logistic Arabia Dubai 3-4 in India to bring down logistics Myanmar. Of India’s total trade cost. Sudip Dey, Vice Reverse Logistics Conference & Las Vegas 4-6 Chairman, Federation Expo in Las Vegas of Freight Forwarders Cargo Logistics Canada Vancouver 4-6 Associations in India (FFFAI), suggests, Retail Supply Chain Conference Dallas 23-26 “There must be regular interactions between MARCH 2020 the importers of Nepal Domestic and Kolkata service Shipping, Marine & Ports World Expo Mumbai 4-6 providers to bring down cost of Nepal imports. Pharma Logi Meet Mumbai 6 It was only due to lack Sudip Dey is being felicitated at the MCCI Logistics Forum held in Kolkata WINGS India Hyderabad 12-15 of communication that anomalies were happening such with the neighbouring countries, Supply Plus South Hyderabad 20-22 as port ground rent, penalty by over 55 per cent is through land- International Railways etc. Kolkata Port Trust based trading points. CBIC has MODEX Atlanta 9-12 (KoPT) may keep a liaison officer in designated 109 border trading Nepal for dealing with day-to-day locations as ‘Land Customs Stations‘ IATA WCS 2020 Istanbul 10 issues. Border restrictions for transit (LCS), of which 85 are operational. LogiMAT 2020 Stuttgart 10-12 into Nepal should be done away with The adequacy of infrastructure at and vigilance should be done with these LCSs, including warehousing, 2020 IWLA Convention & Expo San Diego 15-17 the help of risk management & IT.” examination sheds, parking bays 6th America Freight Sao Paolo 15-19 etc. as well as seamless movement Cargo Conference Highlighting the importance of and faster clearances by regulatory Indo-Nepal as well as regional agencies like customs, FSSAI, plant SAP-Centric Supply Chain San Antonio 16-18 trade MCCI officials maintained an and animal quarantine will be critical Supply Chain Conference London 17-18 efficient logistics and transportation to increase the overall trade across infrastructure that would be critical India’s borders. IntraLogisteX Coventry 31-Apr 1

40 CARGOTALK FEBRUARY - 2020 www.cargotalk.in

MOVEMENTS

ESSAR PORTS JDA SOFTWARE LONDON INDIA Essar Oil UK announced the appointment of JDA Software announced the appointment of Mark Wilson as Chief Executive Ofﬁcer. Wilson Umesh Gaur as Managing Director of JDA’s has international experience in both the Centers of Excellence (CoE) in India. In his downstream and petrochemical industries. During new role, Gaur will be responsible for providing his time at BP p.l.c. he held a number of senior leadership of the two CoEs in Bengaluru and leadership positions. He previously worked for Hyderabad and continue to be instrumental in Innovene LLC as Vice President, Solutions BU interacting with regional customers underlining (Brussels, Belgium). Wilson has a ﬁrst-class honours the JDA value proposition from the sales cycle to degree in Electronic Engineering from the University delivery and implementation. of Southampton and is a member of the Chartered Institute of Management Accountants (CIMA) UK.

HELLMANN JDA SOFTWARE APAC ASIA-PACIFIC Sven Raudszus is appointed as Regional Chief Vinok Sequeira is appointed as Senior Vice Executive for Asia Pacific (APAC) at Hellmann President, Associate Success for the Asia-Pacific Worldwide Logistics, effective March 1, 2020. region including the India CoEs. He will align Raudszus will be responsible for the operative the Associate Success team in APAC with the and strategic business within the Asia Pacific marketing and sales force in the field, customer region, including Southeast Asia, Australia success teams working with its customers and and New Zealand. He has been working in product development teams and other functions, the logistics industry for 25 years and has held all with an eye towards JDA’s laser focus on various management positions in the Asian customer success. He is responsible for leading region. Since 2016 he was Chief Executive Asia business growth through hiring, engaging and Pacific for Panalpina. developing supply chain talent.

DHL EXPRESS CHAPMAN FREEBORN JAPAN NORTH AMERICA DHL Express has appointed Tony Khan as Chapman Freeborn has appointed Norris President and Representative Director, DHL Hiraki as Cargo Sales Director for the North Express Japan. With the appointment, Khan America region. Norris will play a crucial role in becomes a member of the management board developing the cargo sales strategy. He began of DHL Express Asia Paciﬁc. He takes the helm his career in logistics over 25 years ago, gaining with a stellar track record of over 17 years experience from leadership roles at FedEx and in Operations and General Management. In UPS in the US and the Middle East. He will be that role, he oversaw the hub’s management responsible for building out a sales team and and overall operations which included its business acquisition strategy that complements expansion of capabilities, connectivity within growth plans for Chapman Freeborn’s global the global network, cost control, as well as product portfolio. transit time performance.

ATLAS AIR WORLDWIDE DAMCO USA EMEA John Dietrich is appointed as Chief Executive of Damco has appointed Naomi Landman as Head Atlas Air Worldwide. Dietrich take over from William of Europe, Middle East and Africa (EMEA) and Flynn, who retires from the position after a 13-year network strategy to drive growth in 2020. Landman tenure and will move over to become Chairman of brings two decades of forwarding experience and the Board. Dietrich, who is also President of the airfreight expertise in senior management roles, company, previously held the role of Chief Operating most recently as Managing Director at Gefco Ofﬁcer and Executive Vice President. He has more Netherlands. The appointment comes as the than 30 years of experience in the aviation and air Netherlands-based freight forwarder continues to cargo industries, including more than 20 years with diversify its service offerings, developing new air Atlas Air Worldwide. He has served in his current cargo solutions, investing in further digitalisation COO role since 2006. projects, and opening new facilities.

42 CARGOTALK FEBRUARY - 2020 www.cargotalk.in