Indian logistics Industry Opportunities

Logistics & Warehouse Automation Technologies

Logistics Paving New Paths Towards Development

Logistics Warehouse Automation: Logistics industry has always been an underdog, and has not achieved the much deserved attention yet. The sector is full of potential, but we are still lacking optimal utilization of resources. However, we can see a rapid hike in demand and awareness of the sector this year. We can see a lot of startups entering the sector offering services like never before. With the advancements in technologies we can surely say that there’s a lot more to come. Logistics plays a vital role in strengthening the economy. It is the lifeline for every other commercial sector. The sector is evolving at a fast pace and infrastructure, and technologies are paving new paths towards growth. India has jumped 19th place in the world banks Logistics performance index, from 54th place to 35th. This was announced by the world Bank Group in the recent launch of its report. With a huge jump of 19 places, India has crossed many countries like New Zealand, Thailand, Saudi Arabia, Iceland, Latvia and Indonesia who were ahead of it in the index.


First on our list in the lineup of opportunities is 3PL. It has been in the sector from a very long time but with the advancement in e-commerce and vendors racing up to provide the fastest door to door services the scope for 3PL has widen like never before.

3P Logistics is rising as a key driver of development for e-trade players as they try to create center abilities as retailers while outsourcing their logistical necessities.

Huge players, for example, Flipkart have enhanced into logistics with Ekart and organizations with MapmyIndia and Black Buck, Snapdeal has procured GoJavas and Amazon keeps running with backing from BASIX. Getting through the alleged “Hindu rate of development” for E-commerce, as specified by Flipkart executive of ventures and land, Nagesh Rao, will require expanded interest in better warehousing and first-and last-mile network. “The greatest torment point is that base has completely softened the nation up terms of warehousing,” said Rao, talking on the sidelines of the CII-CBRE meeting on industry and logistics. The pace at which E-commerce has developed, foundation has not developed in that design.



India is mainly an agricultural country with over 70% of its people directly related to farming. To sustain agriculture the land requires adequate rainfall is of prime importance. A normal rainfall this year could prompt the government to ease cutbacks on its export policy. We can expect this because we have witnessed this in past. In the year 2010 and 2011, due to a good monsoon the Indian government has eased curb on export of rice and wheat which was good for the economic growth. The production of oil seeds and grains gets a boost when rainfall is normal. A good crop indirectly curbs inflation.

Monsoon is essential for quite a few crops in India. Kharif crop which is sown in March depends on Monsoon rains. States of Gujarat and Rajasthan sow peanuts just before the rains arrive. If rains do not arrive in time or are scanty the crop fails. This is also the season for paddy plantation in Uttar Pradesh. Paddy is dependent on rainfall for good harvesting. Monsoon influences many other crops across the country. Soya bean, Sugarcane, cotton, rice and millet are some of the crops that flourish when rainfall is good. As we can see India is having a good monsoon season this year, with above average rains. We can surely expect a hike in agricultural production and also an increase in their transportation, export etc. Players in this sector can contemplate the future and keep a keen eye on this to monetize the situation.


Rise in World Bank Logistics Performance Index

India’s position to 35th rank in the most recent half-yearly world Bank Logistics performance Index(LPI) report will open numerous hallways of chances as industry will witness quick development in universal and additionally between state cargo, an impact of union government’s dedication to make India as a favored destination for some worldwide organizations.
Detectable in the administration’s most recent first of its kind office in India, the usage of logistics information labeling of compartments to track payload at the Jawaharlal Nehru Port(JNPT), Mumbai.

“The use of imaginative labeling and following, which empowers in-travel perceivability and constant notice, has been so far effectively adjusted in numerous propelled countries, for example, America, Japan and Germany. Presentation of the same in India is obviously asserting India’s solid position in the worldwide exchange map” Said, Brijesh Lohia, Managing Director of Global Ocean Group. A rising in India’s position is an expansiveness of natural air for the regularly examined India’s logistics industry, which has be and by reestablished its position as a critical player in country’s worldwide intensity and mechanical development. The acknowledgement additionally comes as guarantee for partners, private and open division and also the legislature for general advancement in the country’s exchange.


Technological Innovation will lead growth in India’s Logistics Industry

A large part of opportunities in logistics will be powered by technology and associated innovation. A regular courier is handled around 20 times during its journey from its origin to the final destination. With technological enhancements, this number will go down significantly in the future. Automation, in terms of material handling, information exchange, and telecommunications will play a large role to serve this purpose. More and more companies are shifting towards outsourcing operations to third-party logistics(3PLs). This development is creating room for vertical focused 3PLs. Moreover, 4PL will graduate from being a mere coordinator to actual integrator. New Players will emerge in order to integrated multiple 3PL players seamlessly to offer one-stop solution for the end customer. With more frequent replenishments, traditional supply chains will move from case level to piece level replenishment. To match the efficiency and effectiveness of unconventional distribution channels, the traditional supply chain players will have to adopt technological advancements in order to remain competitive and relevant Technology will be the driving force behind the supply chain management of the country and will be well-knit with the overall infrastructure. It will also pave the way to bring more speed and efficiency to the system. With many technological interventions such as electronic toll-collection systems for faster toll crossing and reduced requirement of paperwork, strong disruptions will be observed in this sector with increased adoption of technology. Moreover, with up gradation of road infrastructure, cargo handling will also witness a significant shift from air-based to surface-based transport. Overall this will result in achieving better infrastructural utilization, boosting overall feasibility of the network, and improving the bottom line.

All these developments will result in creation of new line of products by logistics companies based on differentiated SLAs, flexibility in operations, cost of operations and visibility of operations, which will be a key driver to increase top-lines of logistics companies. Technology will also bring more efficient risk assessment and greater control over the company. The advantages of introducing technology are manifold as it helps to run differentiated and flexible operations leading to competitive advantages and increased consumer satisfaction.

It will also assist companies to attain a higher degree of personalisation in their consumer offerings. The field of logistics and supply chain management will become more lucrative as a career option. With new opportunities emerging in the field, women will play a larger role in this sector, which is currently being dominated by men. Supply chain management and logistics education and certification will gain more focus and acceptability.


Innovative and Efficient solutions for the Logistics Industry

Falcon Autotech, a leading Logistics Warehouse Automation firm based out of India, with a mission of putting India on the map of Global Automation. Over the last decade, the organization has carved out a unique niche for itself across some of the world’s most cutting edge technologies: Industrial Robotics, Sortation Systems, Conveyor Automation, Vision Systems and Industrial Internet of Things (IOT).

With In-House Capabilities spanning across:

  • Solution Designing
  • Mechanical Designing
  • Electrical and Electronics Design
  • Software Design and Development
  • Manufacturing
  • Life cycle Support

Falcon virtually stands unparalleled when it comes to owning the technology chain, extending Operational consultancy, Customizing its solutions and offering quickest ROI periods.


This article was Originally Published in Logistics Reckoner with inputs from Mr. Vineet Baid CEO, Falcon Autotech, August, 2016

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