Logistics: Crucial for ‘Make in India’
Huned Gandhi, Managing Director India – Air & Sea Logistics, Dachser India, talks about the sector’s contribution.
The ‘Make in India’ campaign will have an optimistic impact on the sector but lots needs to be done in terms of infrastructure, be it road, rail, airports
‘Make in India’ get disrupted without logistics?
Logistics is crucial for business to thrive in any country. India is already moving in the right direction to enhance its infrastructure for airports, seaports, roads and container freight stations. This will help in significantly reducing the lay time for the movement of goods and improve the overall cost effectiveness to help MNCs manufacturing in India compete in local and global markets. Poor infrastructure could prove to be an obstacle to MNCs wanting to set up shop in India which may also hamper the ‘ Make in India’ programme. ‘Make in India’ is an important initiative which needs to be backed up by development of a robust infrastructure at par with the developed world. Also the importance given to the current ‘Ease of doing business in India’ initiative is likely to attract more companies to ‘Make in India’. QHow
this campaign is going to affect the logistics industry?
This campaign will have an optimistic impact as logistics plays a key role for all manufacturing industries and the increased activity achieved through the ‘Make in India’ programme will create a strong growth in demand for logistics services in the country. India provides an excellent environment for manufacturers in terms of a stable economy, manpower supply, knowledge, natural resources and competitive costs. QThis
campaign will bring in investment in India. But will it help the logistics sector in terms of technology? Will it have an impact on the competitive scenario?
It will certainly bring in efficiency and with GST scheduled to be introduced, the country is well positioned for takeoff. There is still a lot of work to do when it comes to development of roads and there is a need to improve connectivity with the rail yards, seaports and airports to the major industrial areas. India can also enhance its inland waterways for transportation. Water is the cheapest mode of transport and will also help to reduce congestion on the roads.