Postal Reg. No.: DL (ND)-11/6002/2016-17-18. WPP No.: U (C)-272/2016-18 for posting on 04th - 05th of same month at G.P.O. New Delhi-110001 Vol.: XVIII Issue 01; December 2017 RNI No.: DELENG/2003/10642, Date of Publication: 03/12/2017 Pages:48 `50/- ddppl.com CargoTalk.in ANNUAL Issue Air cargo springs suitable growth: AAI.............................................................................03 Ensuring a favourable business climate........................................................................... 10 Indian logistics sector: Poised to grow and eliminate bottlenecks................................12 Project Cargo: On the move A cargo, sometimes, require its own unique solution, by means of sensitivity of risk with sheer weight or odd size. CARGOTALK unravels the nuances of ‘Project Cargo’, for the industry. KALPANA LOHUMI seen good increase in the OD cargo business as people very cargo doesn’t fit have started exporting plant Ein a standard logistics and machinery making solution. High level of goods from India. This is a risks is associated with good sign for the country cargo shipments due to its to expand its horizon to all nature. Cargo with larger those countries that were not dimensions requires a importing goods from India,” completely different set of tells Malani. equipment, infrastructure and experienced Infrastructure boom personnel. Dealing “The last five years or so with cargo of peculiar has surely witnessed a boom dimensions is always a in the Indian infrastructure challenge for a transporter. industry particularly in the Last year, a transparent setting up of large scale system for movement power projects, installing of cargo through over of telecom equipments, dimensional vehicles was setting up industrial plants launched and an online in different sectors such nod for movement of 5,000 as automobiles, cement, such vehicles including Amit Tandon, Managing Raj Malani, Director, provided on fertilizers, minerals and machinery was given by Director, Asia Shipping Shree Balaji Shipping & the cargo for safe handling metals, as a consequence, the government to prevent India, shares, “Over Projects, says, “A project cargo. So, we definitely need of the cargo till the time demand for moving ODC. middlemen and lengthy Dimensional (OD) cargo is cargo is something where people who can handle this cargo is handed over to In the past three to five and time-consuming defined based on weight we cannot take chances cargo with utmost care using shipping line/airline.” years, there has been a paperwork involved in the and dimension. Anything in handling the cargo each appropriate equipment to sudden surge in the power process. Exploring the above 40 feet length, with time. The cargo, if damaged stuff it with proper lashing/ “The OD cargo business sector although one to two intricacies of transportation 8.25 feet height, and while stuffing, loading or chocking, etc. Additionally, has seen tremendous growth refineries are in the pipeline. of project cargo, CARGOTALK 8.25 feet width would be unloading, will be of no use the cargo handling team in India over the past few The manufacturing industry decodes the potential of considered as OD cargo. to consignee and it will be needs to be present from years. Especially over last has witnessed a rising this segment for the Indian The industry is witnessing a a loss of time and money manufacturing stage itself year, ever since ‘Make in demand in both domestic logistics industry. 15-20 per cent growth.” for everyone involved in this to ensure proper hooks are India’ was launched, we have and export market and in turn Contd. on page 6 X PAN INDIA Government gives logistics sector infrastructure status n a major push to help the sector get credit level post in the Commerce Supplies and Disposals (ICD) with a minimum Logistics costs of Ideveloping an integrated at competitive rates and Ministry to coordinate with (DGS&D) as Special investment of `50 crore exports are very high in logistics framework in the on a long-term basis as all the ministries concerned Secretary In-charge of and minimum area of 10 India and due to this, Indian country including industrial rising logistics cost impacts and departments. To adopt logistics in the Commerce acre, a cold chain facility goods are less competitive parks, cold chains and the global competitiveness a coherent approach and Industry Ministry. with a minimum investment in global markets. According warehousing facilities—the of exporters. for the development of The government of `15 crore and minimum to a report, about 14 per government has granted Realising the logistics infrastructure, the has defined “logistics area of 20,000 sq. ft and a cent of the total value of infrastructure status to the importance of the logistics government appointed infrastructure” to include warehousing facility with a goods goes into the logistics logistics sector, enabling the sector to promote trade, the Binoy Kumar, Former a multimodal logistics minimum investment of `25 cost. On the other hand, in industry to access cheaper government has created a Director General of park comprising an crore and a minimum area other major economies, this finances. This status would separate special secretary- Directorate General of Inland Container Depot of 100,000 sq ft. is just six to eight per cent. AVIATION DECEMBER 2017 CARGOTALK 3 Air cargo springs suitable growth: AAI Airports Authority of India (AAI) is increasing cargo footprint facilities at most of the airports. Guru Prasad Mohapatra, Chairman, AAI, talks about the achievements in 2016-17 and about the future plans. CT BUREAU How much cargo is being handled at AAI airports presently? The current volume of cargo being handled at AAI airports is 8.08 lakh metric tonnes. And, there is 34.53 per cent increase in tonnage and 19.55 per cent rise in revenue during financial year 2016-17 as compared to last year. Guru Prasad Mohapatra Chairman facilities at Kolkata and cases where cargo/courier documentation services airports withwit the specific AAI Please brief us Chennai airports. facilities are outsourced on behalf of airlines to time line. about the air under O&M model at the old, be rendered by AAICLAS cargo facilities We have augmented redundant, under-utilised by Q2-2018-19, development Name of Time line (PDC) commissioned during 25 X-ray machines /dual passenger terminal buildings of Air Cargo Community the Airport There is 34.53 per the year 2016-17? image and 17 single view at both metro and non-metro System for air cargo sector Pune Q-4 2017-18 cent increase in We have commissioned at the existing/upcoming airports, so as to make cargo by 2021-22, and exploring Guwahati Q-3 2017-18 domestic cargo facilities cargo facilities at Tier-II/ facilities economically viable. the possibility of end-to-end Tirupati Q-2 2018-19 tonnage and at Ranchi, Ahmedabad, Tier-III cities besides 25 processing of shipments Lucknow Q-1 2018-19 19.55 per cent Raipur, Aurangabad, explosive trace devices for What are your moving completely in Trivandrum Q-3 2017-18 Bhubaneshwar, Goa cargo facilities. future plans? electronic form at air Varanasi Q-3 2017-18 rise in revenue and Srinagar (interim) We have plenty plans cargo terminals at AAI Amritsar Q-2 2019-20 during financial airports. International cargo A path breaking decision to focus on; development airports – partially ongoing. Surat Q-2 2018-19 facilities at Indore and has been taken by AAI of Free Trade Warehousing We are planning to launch Rajahmundry Q-2 2018-19 year 2016-17 Bhubaneshwar airports board to reduce the 50 per Zone by 2023, development common user domestic air Srinagar Q-1 2019-20 and international courier cent space rentals in the of complete range of cargo terminal at following Vijaywada Q-3 2017-18 # 1 IN CIRCULATION & READERSHIP REPORT EDITORIAL CII to transform industry Taking a step towards transforming the industry, CII’s Maritime, Ports, Logistics Wave of hope & Warehousing exhibition and conclave 2017 held in Mumbai outdid itself ndia is a vast country and so is the this year by raising pertinent issues that are hampering the sector’s growth. Idynamics of its logistics sector. As the government has started initiating HAZEL JAIN To meet the increasing demand for EXIM trade, which will rise in pro- solutions to the problems that cargo November has been a great portion to the fast-growing Indian agents, airlines, shipping lines, air and month for the sector with all the economy, the port-led develop- sea port operators are facing, it is also announcements including getting ment model focuses on energising the industry status. This has been the coastal economy and the in- the responsibility of the industry to our demand for a very long time. frastructure development by mod- deliberate and turn up with the solutions. We also heard that a logistics desk ernising our ports and integrating has been set up under the Ministry The industry has finally received the long them with SEZ’s port-based smart of Commerce. Finally, we will have cities, industrial parks, warehous- pending ‘infrastructure status’ this year. a nodal entity who will string all of es, logistics parks and transport This will not only develop an integrated us together and hopefully we will corridors. There is an immediate see all the changes that we have been asking for. India has been need for remedial measures to prevent further decline of exports.. logistics framework in the country but at the forefront of the trade facilitation agreement. Between CII, also enable the industry to access FFFAI, Customs, ASSOCHAM and FIEO we have done more than Khalid Khan 30 contact programmes across India to educate people about this. Regional Chairman, cheaper finances. Federation of Indian Export Organisations Samir Shah (Western Region) & Director As the year comes to an end, there is DDP Game Changer 2017 & Conclave Geco Trading Corporation a wave of hope in the industry for better Chairman & Partner, JBS Group yields and more innovations.