JB Singh, Director, MOVIN Express shares his expectations from the upcoming budget, “It is imperative for the industry to adopt changes backed by robust technology to thrive in the fast-paced environment. Looking ahead, effective budgetary strategies, coupled with financial and regulatory incentives like Production-Linked Incentive (PLI) schemes, and strategic investments in infrastructure, will be instrumental in reducing domestic logistics costs. The logistics industry stands at the forefront of transformative change, and the government has undertaken various initiatives to implement forward-looking measures in advancing multimodal projects and fortifying infrastructure. The future relies on the efficiency, resilience, and resource optimization of supply chains. The government’s commitment to substantial infrastructure projects, such as PM Gati Shakti and the National Logistics Policy, positions India as a pivotal hub for manufacturing. The budget should emphasize connectivity projects in various economic zones, thereby helping to reduce logistics costs and time, improving productivity and the economy.”

Worldwide air cargo demand in January so far remains significantly up compared with this time last year, according to the latest figures from WorldACD Market Data, with tonnages from all the main global regions ahead of last year’s figures with the exception of ex-North America traffic. Freight forwarders continue to report anecdotally that certain cargo owners are switching some Asia-Europe cargo from sea to air or to sea-air because of longer ocean voyages caused by the disruptions in the Red Sea, although from a data perspective it is difficult to separate this traffic from the normal seasonal mid-January uplift following the New Year slowdown, and from the effects of Lunar New Year (LNY), with LNY in 2024 coming later (10 February) than last year (22 January). Reflecting the serious disruptions to international container shipping, ocean freight spot rates from Asia to Europe are now around three times their level prior to the Red Sea disruptions, although air cargo rates remain relatively stable globally, and ex-Asia Pacific, compared with before the Red Sea crisis – although ex-Asia Pacific air cargo rates had already risen in the final quarter of last year due to seasonal and product-related demand factors. Some forwarders say that in anticipation of ocean to air conversions, they are blocking additional air capacity on core trade lanes to help customers keep their freight moving. Others note that the window for booking air freight ahead of Lunar New Year (10 February) is closing and the next two to three weeks could be challenging, with the expectation of “bunched” container ships arriving en masse at the main European ports, potentially triggering port delays, driver shortages and cargo build-ups at warehouses, driving …

IKEA announces the launch of its ecommerce deliveries to thousands of pin codes across 62 districts in the states of Maharashtra, Karnataka, Telangana, and Andhra Pradesh. The expansion comes into play as IKEA continues to see excitement, demand and visits from thousands of customers hailing from nearby cities and towns to shop from the IKEA stores. These new customer meeting points will offer a full range of over 7,500 well-designed, affordable, good quality, functional and sustainable home furnishing products, along with practical solutions for the home. Customers will be able to search, find and buy their favorite products using the IKEA app, order online via the brand website www.ikea.in or through its “Shop by Phone” assistance service. Susanne Pulverer, CEO & CSO (Chief Sustainability Officer), IKEA India shares, “IKEA has received a lot of customer love and trust over the last five years from Maharashtra, Karnataka, Andhra Pradesh, and Telangana. Expanding our reach further in these markets means making IKEA more accessible to our customers, more convenient, and truly omnichannel. We see great potential in ecommerce helping us inspire and make our solutions available to the many Indians. We will leverage the distribution capabilities of our existing physical stores in these states to fulfil the demand from online channels. These emerging cities are key hubs for online retail growth, and we are thrilled to bring the IKEA experience to the doorsteps of our many customers in India.” Customers can easily explore IKEA’s app and website, which focuses on creating a better life at home through home-inspiration designs, product feed, ratings, and reviews. They can browse offers and explore New Lower Prices on products along with special discounts upon signing up …

A non-binding MoU was signed between Container Corporation of India (CONCOR) and Indian Oil Corporation (IOCL) at to facilitate discussions and cooperation between Indian Oil and CONCOR in various areas such as for using LNG as a fuel and addressing petrochemical and other container logistics requirements. Additionally, the agreement aims to establish competitive and stable pricing for contracts at existing and upcoming LNG Auto stations across India. Furthermore, the MOU entails potential collaborations such as creating virtual storage units in CONCOR’s warehouses to store Indian Oil’s petrochemical products at different CONCOR terminals. Indian Oil and CONCOR will also explore new business prospects like supplying LNG through ISO containers via Railways and Multi-Modal Logistics. Moreover, the agreement includes utilizing CONCOR’s Multi-Modal Logistics Park (MMLP) at Paradip for Indian Oil’s Pet-chem rail dispatches and potential logistics handling by CONCOR for a centralized Pet-Chem warehouse of Indian Oil, expected to be established in the near future.

Mahindra Logistics inaugurated a 1 lakh sq. ft. extension to its existing multi-client warehouse in Nashik and also announced the development of a new 3 lakh sq. ft. warehousing facility, thereby expanding its overall warehousing footprint to 5 lakh sq. ft. in Nashik, Maharashtra. This will be the largest warehousing space offered by any service provider in Nashik. The new facility is scheduled to become operational by the end of Q3 2024. The state-of-the-art facilities will significantly enhance Mahindra Logistics’ pan-India network of multi-client warehousing network. Mahindra Logistics manages the distribution of auto components for production plants located in Nashik, Igatpuri and Mumbai for an Auto OEM customer from its existing warehouse. The new facilities will offer inbound logistics and distribution solutions for Automotive, Engineering goods, and Consumer Durables customers, incorporating technology-enabled and automated processes with end-to-end visibility. Strategically located with an easy access to key industrial and manufacturing clusters as well as consumption markets in Nashik City, Aurangabad, Satpur, Silvasa, and others, these facilities are poised to facilitate efficient logistics operations. The facilities will be designed in accordance with Mahindra Logistics sustainability standards, encompassing the utilization of renewable energy, use of recycled construction materials, efficient liquid discharge management, and adherence to waste management requirements. With on-site solar power generation capabilities, they can fulfil all their energy needs and are equipped for solar charging for both cargo vehicles and personal mobility. The unique feature of these facilities is the introduction of green cement flooring in the warehouse, eliminating traditional cement. The company, along with its partners, plans to invest Rs. 100 crores for the establishment of these new facilities; and generating employment opportunities for more than 300 individuals in the …

CSafe has partnered with WFS in Bengaluru to provide active temperature-controlled containers locally for pharmaceutical shipments at the WFS Coolport. CSafe, the largest active and passive temperature-controlled shipping solutions provider for the biopharmaceutical industry, has opened a new station in Bangaluru to provide active temperature-controlled containers locally. This latest CSafe station in India follows the opening the company’s Hyderabad location in late 2022. With a second CSafe station operational in India, customers have more options for shipping temperature-controlled pharmaceuticals into and out of the country. CSafe partnered with WFS in Bangaluru to make active air cargo units available at their Kempegowda International Airport facility. WFS, a member of the SATS Group, operates two cargo terminals at Bengaluru including the WFS Coolport which is the exclusive gateway for all temperature-controlled cargo moving via Bengaluru Airport. The CSafe station at Bengaluru Airport is located inside the WFS Coolport premises, allowing containers to move in and out of the country much faster. CSafe RKN and RAP containers will be available for pick-up and return through the new facility.

Vikram Mansukhani, National Operations Head, Blue Dart says, “In the upcoming union budget, a sustained commitment to enhancing rail infrastructure, especially for cargo, bulk, and express shipments, is strongly encouraged. Modernizing regional railway freight corridors and establishing advanced logistics hubs with cutting-edge technologies like AI and machine learning are essential for enhancing efficiency and global competitiveness. The government’s initiatives to cultivate skilled talent through logistics skill-building councils are commendable and should continue to ensure workforce readiness. Creating an environment conducive to innovation and collaboration is crucial for unlocking the full potential of the logistics sector. In FY 2024, the focus should be on building both physical and digital infrastructure, incentivizing multimodal logistics to reduce carbon emissions in the sector. With this targeted approach, India can propel its logistics sector towards resilience and sustainability, thereby driving economic prosperity in the process.”

Ravi Jakhar, Chief Strategy Officer, Allcargo Group shares his expectations from the budget 2024-25 in the logistics sector, “We expect the budget to support persistent efforts of the logistics industry to develop last-mile connectivity to facilitate the transformative growth of the SMEs through effective local and global value chain integrations, as they are the key growth drivers of the economy. As India is emerging as a viable alternative for the global multinational companies for diversifying their manufacturing base, the accelerated development of logistics infrastructure and favorable policy formulations will play an enabling role in helping the country garner a larger share in the global manufacturing value chain. Therefore, we expect the upcoming budget to propose a continued capex push for transportation, port and digital infrastructure development to boost logistics efficiency and competitiveness in line with the vision and goals of National Logistics Policy. In addition, we expect the budget to propose incentives to drive large-scale green or renewable energy adoption so that the industry can play a pivotal role in achieving the country’s net zero target.”

In a strategic move set to reshape its operational landscape, Subham Freight Carriers opened its latest warehouse in Pondicherry, Tamil Nadu. This milestone represents more than physical expansion; a commitment to efficiency, customer satisfaction, and adaptability in a dynamic logistics landscape. Pondicherry, nestled on the southeastern coast of India, is not merely a serene coastal town but a crucial nexus for Subham’s expansion strategy. This move positions the company strategically to serve the Southern region with increased agility, reduced transit times, and a localised approach to logistics.

Aneel Gambhir, Chief Financial Officer, DTDC Express shares, “We urge the government to address the logistics sector’s unique needs by enhancing the strategic allocations toward infrastructure development, tax reforms, and other governance policies. Besides this, the importance of digitally advanced processes through cutting-edge technologies including artificial intelligence, machine learning, IoT, and big data are also required. Additionally, the inclusion of diesel under the GST ambit is a critical move that we hope the government will consider in this budget. With India aiming to reduce its logistics costs and become more competitive in the international market, this will help the logistics players to regulate costs by cutting on the tax outflow. Last but not least, facilitating a strong policy framework is essential to reduce expenditure, improve transportation, and warehouse facilities to continue the growth achieved by the industry. Further strengthening the National Logistics Policy (NLP) can bring a massive change and streamline operation for the industry in the future.”