Nitish Rai, CEO and Co-Founder, FreightFox said, “The 2023 budget is poised to have a significant impact on the logistics sector. With a focus on modernizing infrastructure and incorporating cutting-edge technology, the budget aims to improve the efficiency and competitiveness of the industry. The allocation of resources toward the development of ports, highways, and other transportation networks will enhance connectivity and promote the seamless movement of goods. Furthermore, the government has increased spending on dedicated freight corridors and logistics infrastructure, which in turn will revolutionize the way goods are moved, tracked, and managed. Also, with decreased excise on compressed biogas (CBG) we can expect to see an increase in CBG production, making transport a lot greener. The 2023 budget, thus presents a unique opportunity for the logistics sector to grow and thrive, positioning it for long-term success.”

Mahesh Trikha,Managing Director, Aargus Global Logistics Pvt Ltd said, “The mere announcement that budget is about to be presented saw Rupee improving vs Dollar, share market reporting upward trend shows the confidence of Industry. The budget seems inclusive with special emphasis to cater to the needs of not only farmers but also poors, infrastructure, Atamanirbhar bharat, roads, and railways are very well covered. The welcome move is on Literacy, libraries, teachers teaching and on research relating to pharmaceutical products. We already are 5th largest economy and am sure this budget will take us to the path of being no. 3 very soon and accomplish goal to be 5 trillion economies as well.”

C K Govil, Vice President, ACAAI shares, “As expected to promote local product of each district and to increase the buying power, and also provide skill training so that the youth of the country can get themselves skilled according to their choice giving opportunity for more skilled labour. All around Development offering more employment and promoting tourism are the key features of this budget. The proposed initiatives to boost the development of logistics and transport infra and new airports will give a boost to the overall sector.”

M Afzal Malbarwala, President, ACAAI says, “The 2023 Budget is as expected pro growth and we welcome the initiatives rolled out to MSME’s. The salaried class and the growing count of Senior citizens are also well considered in this Budget. From a Logistics and Freight industry perspective we expected a improvement in the GST implications post the expiry of the Oct 2022 sunset clause which is missing. This remains as a key missing critical point.

Xerrxes Master, President, Association of Multimodal Transport Operators of India (AMTOI) says, “As a logistician, if we have to come down from 15% to 8% in logistics cost within 5-7 years, then the focus from the government and the quantum of investments should be much more. We have to remember that Indian logistics is fairly unstructured yet large. Sizeable budgetary allocation for logistics infrastructure development backed by incentives for timely completion of these projects is essential. Our expectations from custom departments is to automate or digitalize below identified processes for faster clearance of cargo which will ultimately help in reducing the logistics cost. a) e-KYC Verification norms b) Simplify the processing of export cargo at cargo terminals by using online agreed messages between Custodian and Custom with system integration c) Digital processing of Transshipment cargo to make the process simpler, paperless and faster d) Developing online consol amendment process

Union Budget 2023-2024 presents, path-breaking, budget of ‘Amrit Kaal,’ i.e., next 25 years. Government pushes for 50 additional airports, heliports, aerodromes in India, Rs. 75,000 crores for upgrading transportation infrastructure, Rs. 2.4 lakh crores for development of Indian Railways, a special package for MSME sector and start-ups and lot more.

Nirmala Sitharaman, Hon’ble Union Minister of Finance and Corporate Affairs presented the path-breaking, budget of ‘Amrit Kaal,’ i.e., next 25 years. Key highlights for cargo and logistics sector include- 50 additional airports, heliports, aerodromes in India, Rs. 75,000 crores for upgrading transportation infrastructure. Nearly Rs. 2.4 lakh crores were earmarked for development of Indian Railways, a special package will be allotted for MSME sector and start-ups, three new centers for Artificial Intelligence (AI), and new pharmaceutical research and storage centres. Other focus areas include multimodal infrastructural development by creating more dedicated freight corridors, improving connectivity by road, rail, and sea, and enabling technology driven solutions for improved visibility across the supply chain to accelerate and sustain GDP growth.

Shreegopal Kabra, Managing Director and Group President, RR Global also shares, “India is looking to grow into a 5-10 trillion dollar economy and is on its way to become the global powerhouse by 2024-25. The government’s commitment to WTO and signing many FTAs has allowed the country to continue to upscale the export business. We believe that the government will consider correcting the inverted duty structure across sectors impacting domestic manufacturing, as muted external demand affects India’s exports and current balance.” “With the PM Gati Shakti and National Logistics Policy into play, India is paving its way to become a global manufacturing hub as well. As the sector is on a growth trajectory, we believe that the upcoming Union Budget will prioritize on giving substantial tax benefits to the manufacturing sector and incentives for promoting ‘Make In India’ initiatives. As the government has already given tax relief to corporates, we expect that the manufacturing sector should be given at least 50% concession on income tax. The tax relief given to partnership companies, LLPs and individuals will lead to more disposal of liquidity that will in turn increase the purchasing power and aid in the growth of the economy. “Lastly, I believe that the upcoming Union Budget will help with the overall GDP and creates more demand and job opportunities in the wires and cables industry”

Minister for Ports, Shipping and Waterways Sarbananda Sonowal inaugurated the National Logistics Portal (marine) in New Delhi. It is a one-stop platform aimed at connecting all the stakeholders of the logistics community using IT. The National Logistic Portal (marine) (NLP) is a project of national importance. This will improve efficiency and transparency by reducing costs and promote the growth of the logistics sector. National Logistics Portal will be a single window for all trade processes of the logistics sector spread across the country covering all modes of transport in the waterways, roadways, and airways to provide a seamless end-to-end logistic service coverage.

Hong-Kong headquartered GSSA TAM Group has expanded business operations with the opening of three offices in southeast Asia. In response to growing demand in the region, TAM Group has embarked on joint ventures with Thailand’s GP Group and Vietnam’s TP Cargo Transport Services to launch offices in Bangkok, Thailand and Ho Chi Minh City and Hanoi in Vietnam. TAM Group said: “The move signifies a return to normality for Asia-Pacific’s aviation industry as the world looks beyond the COVID-19 pandemic and into the future. While the global economy has been hampered by multiple headwinds, the region is set to continue along the path to recovery, thanks to burgeoning global and regional free trade agreements.” In Thailand, TAM Group has partnered with GP Group, a Thailand-based strategic investment group with companies in diverse sectors, from logistics and pharmaceuticals to aviation and technology. In Thailand, one of the first partners is Swan Hellenic, a British cruise line specialising in expedition tours of historical or cultural interest aimed at the higher end of the cruise market. Meanwhile in Vietnam, TAM Group’s partner is cargo GSA/GSSA operator TP Cargo Transport Services. Additionally, TAM Group was selected by China Cargo Airlines (CK) as the representative company for the carrier, effective early 2023. CK will operate four flights each week between Hanoi and Shanghai and one weekly flight between Ho Chi Minh City and Kunming.