Never rest­ing on lau­rels

Cargo Talk - - Industry Speak -

How was FY 2013-14 for your com­pany? Any ma­jor de­vel­op­ments?

FY 2013-14 has been a good year for CRWC. The PSU is grow­ing an­nu­ally by 15-20 per cent and has achieved a record turnover in the fi­nan­cial year 2013-14. CRWC has al­ready got an es­tab­lished ware­house ca­pac­ity of over 3 lakh met­ric tonnes of cargo and this year it ex­pect to cross han­dling of 10 mil­lion tonnes mark.

When it comes to de­vel­op­ments, CRWC has fur­ther plans for set­ting up of RWC’s at Kochi, Guwa­hati, Malda and Gand­hid­ham (Gu­jarat) which are un­der fi­nal­i­sa­tion in con­sul­ta­tion with the Rail­ways. CRWC is also get­ting into the devel­op­ment of mul­ti­cham­ber cold stor­age chain op­er­a­tion at Dankuni (Kolkata) and Ghazi­abad un­der Kisan Vi­sion Project, be­sides work­ing on de­vel­op­ing Lo­gis­tics Hubs, 3PL Ini­tia­tives and look­ing into Mech­a­ni­sa­tion of cargo-han­dling.

Be­sides this, CRWC is tak­ing up projects with IF­FCO for set­ting up Lo­gis­tics Hub at Nel­lore, Set­ting Freight Ter­mi­nal at Kochi. Also, some joint ven­tures are be­ing pro­cessed, and some agree­ments have al­ready been inked like JV Agree­ment un­der process by CRWC to set up Rail­side Ware­houses in Lo­gis­tics Parks and MoU with IWAI has been signed to set up first River Port based Lo­gis­tics Hub on Brahma­pu­tra at Jogigoppa in As­sam. At pre­sent, CRWC has got the cor­po­rate of­fice and 11 ter­mi­nals ISO 9001:2008 cer­ti­fied. Two more ter­mi­nals are also in the process of cer­ti­fi­ca­tion. CRWC has also bagged the fol­low­ing awards :

• Ex­cel­lence award for ‘Best Lo­gis­tic Com­pany in Govt. Sec­tor’ or­gan­ised by Ben­gal Cham­ber of Com­merce and In­dus­try at Kolkata in 2013.

• Spe­cial Ex­cel­lence award by In­sti­tute of Eco­nomic Stud­ies, New Delhi.

Pre­sent mar­ket trends and your ex­pec­ta­tions from FY 2014-15?

Whether it is the phys­i­cal in­fra­struc­ture of road, ports, wa­ter, power etc .or the ser­vice in­fra­struc­ture of lo­gis­tics – all are be­ing stretched to per­form be­yond their ca­pa­bil­i­ties which was not the sce­nario be­fore.

At the firm level, the lo­gis­tics fo­cus is mov­ing to­wards re­duc­ing cy­cle times in or­der to add value to their cus­tomers over­com­ing in­fra­struc­ture-re­lated con­straints and lo­gis­tics-cen­tric in­ef­fi­ciency.

Reg­u­la­tions around ra­tio­nal­i­sa­tion of tax struc­tures, pro­posed in­tro­duc­tion of GST and preven­tion of over­load­ing are creat­ing a fa­vor­able en­vi­ron­ment, in which the sec­tor can flour­ish. At the same time, em­pha­sis should be given for the in­te­gra­tion of IT en­abled tech­nol­ogy in the sec­tor. With the lat­est tech­nol­ogy, lo­gis­tics ser­vice providers should no longer be re­stricted to the ge­o­graph­i­cal

bound­aries, so that they can ex­pand their busi­ness to any lo­ca­tion. With ris­ing con­sumer de­mand and the re­sult­ing growth in global trade, the role of in­fra­struc­ture sup­port in terms of rails, roads, ports & ware­houses will def­i­nitely hold the key to the suc­cess of the econ­omy.

Ex­pec­ta­tions from the new govern­ment?

The de­mand for lo­gis­tics ser­vices in In­dia has been largely fu­elled by con­sis­tent growth of econ­omy and in­dus­tries such as au­to­mo­tive, en­gi­neer­ing, phar­ma­ceu­ti­cals, food pro­cess­ing, and re­tail. There is need to en­sure smooth flow of core com­modi­ties like ce­ment, fer­til­izer, for the coun­try’s growth.

Con­straints & Needs:

a) Need for an In­te­grated Lo­gis­tics pol­icy to stan­dard­ise and in­te­grate dif­fer­ent modes of trans­port.

b) Ra­tio­nal­i­sa­tion of tax­a­tion struc­ture to en­cour­age lo­gis­tics sec­tor. GST when im­ple­mented will en­cour­age the devel­op­ment of mega-ware­houses and sup­port smooth move­ment of goods across the coun­try.

c) Cold-chain based ware­houses need sup­port and en­cour­age­ment to re­duce wastage of fruits, veg­eta­bles and per­ish­able cargo

d) Avail­abil­ity of Trained Man­power in both the 3rd party lo­gis­tics sec­tor and the manufacturing and re­tail­ing sec­tors is weak.

We need spe­cialised train­ing in­sti­tutes and R&D in equip­ment for cargo-han­dling.

Vinod Asthana, Manag­ing Direc­tor, CRWC

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