All India Transporters Welfare Association

New Logistics Policy - A Well-....

New Logistics Policy - A Well-Thought Gift? According to recent research and articles published by Kavas, World Economic Forum, the logistics industry is plagued by challenges of risk, variability, volatility, and disruption. The reasons for these are natural disasters, violence, noncompliance with government regulations, poor accountability, delayed information sharing for logistics, poor communication among partners, limited shared logistics capability and capacity utilization opportunities among service providers, managing inventory visibility across various logistics providers, theft and pilferages, and the need for segmented and customized services as demanded by customers. Adding to this, Kralingen states that the information flow in the logistics industry is highly inefficient, error-prone, manual, non-digital, and heavily dependent on complex paper-based systems. No doubt, today, the logistics industry needs better technology, efficient route planning, and stronger integration of transportation modes. Such steps will help markets to grow. The Indian logistics industry is doing reasonably good but it has far more potential than it has achieved. In early 2020, the Indian logistics market had an estimated value of $200 billion and it was expected to increase at a compound annual growth rate of more than 10% to at least $320 billion by 2025. This was a prediction made by McKinsey Global Institute (MGI) in the year 2019.Considering the current market scenario a....