Infrastructure needed, warehousing facilities
Manish Malik, National Sales Manager, Freight Systems
The biggest expectation of logisticians is the recognition of logistics as an industry which will help in creation of transparent policies towards overall development of this sector. Subsequently, GST rollout is expected in the upcoming budget. The provision for proper infrastructure which includes development of a better transportation system and setting up of warehouses is another important anticipation. Additional railway tracks to ensure no piling up of containers at inland ports and better infrastructure at metro cities along with development of major airports as cargo hubs will supplement India’s growing EXIM (Export-Import) trade. Increased allocation for creating the inland waterways project and also pushing forward to revive the Sagar Mala plan for coastal areas is a must.
The development of logistics parks across the country for speedy delivery will add a lot of value. Facility of a single window clearance for permission prior to the exports of products to simplify processes, reduce documentation and ambiguities on the customs regulatory front will help facilitate exporters. The removal of 25-30 per cent of custom duty levied on fuel used by Indian ships is a must as is solving other logistical hurdles to push for more usage of the sea routes for both domestic and international cargo. The refined policy of setting up AFS should be present across the country. The existing CFS should be promoted to have AFS facility and later new independent facility of AFS should be considered.
Time-based hiring of ships for imports to be exempted from payment of service tax. The service tax on freight and all related services should be exempted. The creation of a separate cell to act as information nerve centre forecasting the demands and supply of container rakes at various ports and ICDs are the major requirements that the government must take into consideration.
to the cargo sector. costs for airlines which can be a boost to the sector. on creating infrastructure, both on and off the airport to promote multi modal transportation. to promote manufacturing surely boost exports.
will thing’. We should reap the opportunity provided by this sector. Our budget should be focused on promoting this sector including start-ups in a huge manner which may include tax exemptions, more venture funding opportunities.
The government is already working on a Draft Civil Aviation policy, which if framed and implemented properly, can be a game changer. A logical budget aimed at the integrated development of the air cargo sector can be a huge impetus for the sector as well as for the economy.
contribute if required.
The government should allocate minimum 500 crore towards the modernisation of Air Navigation Services (ANS). The present Air Navigation Services training centre should be expanded to provide training to ATC officers to compete at the global level. More than 1,000 crore is required to establish National Aviation Universities (NAU) in the country to support the upgrade of Aircraft Maintenance Engineers Training Centres across India. The Union Budget should allocate funds to promote specialised certifications in fields such as ‘logistics management’ and ‘warehousing management’.
SA Mohan, Materials Movement
Warehousing and logistics will be a gate valve that will control the ebb and flow of products between the producing and consuming functions of an economic pipeline. Expectations are:
Maini growth of an industry. Many state governments are now coming up with better policies to support their labour force.
The government must also ease the regulatory norms with respect to warehousing. Given the fact that it takes massive investments and efforts on the part of a firm to develop a warehousing facility, government must play its role in creating a conducive regulatory environment, which should enable firms in developing more and more warehouses.