Reshaping air cargo through lens of digitisation
Amrit Kaal initiative to boost ease of doing business and improve productive efficiency of capital and human resources is commendable. Highlight of Union Budget 2022-23 was on sustainability initiatives, says Vineet Malhotra, Co-founder and Director, Kale
Budget 2022 has been historic for the cargo and logistics industry. Could you please elaborate on this?
Stakeholders of the country’s logistics sectors have welcomed various pro-sector announcements in the Union Budget this year, and it is indeed historic for cargo and logistics. The Union Finance Minister, Nirmala Sitharaman, spelt out plans to take the Gati Shakti initiative forward to spur the logistics infrastructure. The plan has received its first outlay of `20,000 crore for 2022-23. The overall emphasis on facilitating the swift movement of goods is a welcome measure as it is now more focussed on eliminating tedious documentation procedures. Enabling data exchange among stakeholders through a unified logistics interface platform is a boost to the rate of technology adoption. And, eventually, it will improve work efficiency in the logistics sector by providing real-time information to all stakeholders and improve international competitiveness. Also, expanding the National Highways network in 202223 is a welcome move too, as road infrastructure is a potent means of socio-economic integration and vital for India’s economic development. The plan to develop 100 cargo terminals and roll out contracts for the implementation of multimodal logistics parks at four locations through PPP mode are all commendable measures. The highlight of the budget was the sustainability initiatives. Hence, even developing nations are now keen on achieving sustainable development goals and reducing carbon emissions. The Amrit Kaal initiative to boost ease of doing business and improve the productive efficiency of capital and human resources is commendable. It could be a game-changer if the government walks the talk.
Please tell us about your latest implementations and future plans in India and globally.
We are in an exciting phase of growth and expansion, with offices worldwide in the US, the Netherlands, UAE, Kenya, and India. We are also growing our head count to 600 people by year-end. We are in talks with some of the large airports in India to implement our Airport Cargo Community System (ACS). We shall soon make the announcement to this end. We are proud that Kale’s system now transports 90 per cent of India’s air cargo. On the global front too, we are on the verge of signing up some large airports in North America and the Middle East.
On the maritime front, in Indonesia, Kale has developed its first PCS at the Port of Rembang in Central Java. In the short span after going live, CODEX-PCS has enabled the reduction of average truck dwell time by 70 per cent and waiting time at the gate has been slashed by 80 per cent.
In Thailand, Kale’s electronic-delivery order services enable freight forwarders, shipping lines, customs brokers, importers, and terminal operators to exchange and receive delivery order documents digitally instead of in paper form. The CODEX e-DO platform allows multiple stakeholders to perform their business activities via a digital interface, enabling stakeholders to place an e-DO request to the shipping line. Kale also provides this service to the MSC shipping line. It has been live since February 1, 2022.
Amrit Kaal initiative to boost ease of doing business rank to improve productive efficiency of capital and human resources is commendable. It could be game-changer if the government walks the talk