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APRIL | 2009

A monthly publication of
Durga Das Publications Pvt. Ltd.

contents
DEPARTMENTS
Airlines News
Cathay Pacific Delhi-Bangkok
non-stop service ..........................................................6
Cover Story Calendar of Events

16
Indian logistics Calendar of International Logistics Events ...............8
industry set to
Logistics Services Publisher : SanJeet
position itself for
long haul PSBediGroup: Platinum sponsor of Editor : Rupali Narasimhan
IELA Congress in London..........................................26
Safexpress calls for strengthening
SCM to cope with recession ....................................30 Sr. Assistant Editor : Ratan Kumar Paul
Assistant Editor : V Ramanujam
New Globe Logistik holds customer
familiarisation event.................................................36
Express Cargo Performance General Manager : Gunjan Sabikhi

10
Logistics Delhi Airport for February 2009 ..............................28 Sr. Manager Advertising : Harshal Ashar
Deccan Express Logistics Mumbai Airport for February 2009 ........................29
Manager Marketing : Rajiv Sharma
set to make its Nagpur
hub a coonecting point
Shipping and Ports Asst. Manager Marketing : Roland Dias
‘Gateway Terminals’ commissions 2 new quay
Marketing Co-ordinator : Geeta Santhanam
cranes at Nhava Sheva..............................................32
Varkha Anshani
Maersk Line’s ME3 service to call at
Pipavav Port...............................................................33
Cover Design : Rajesh Chhetri
COLUMNS Advertisement Designer : Vikas Mandotia
Infrastructure Update Page Layout : Sudhir Mudgal
Logistics ICD Loni completes 2nd year; assures safety

24
Services and security ................................................................31 Production Manager : Anil Kharbanda
Mercurio-Pallia Guest Column
Circulation Manager : Ashok Rana
Logistics to offer Logistics in India gears up to meet
automotive logistics growing demand ......................................................38

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LOGISTICS
SERVICES

Om Logistics gearing up
to tap opportunities in Mumbai region
R ATA N K R . P A U L direct routes to all metro cities, to have become preferred locations for
satisfy about more than 100 clients logistics parks for the logistics

In recent
T he Mumbai hub is now spread
over an about 2 lakh sq ft of area
and a state-of– the-art warehouse
from Mumbai with committed transit
time,” said Singh. He added that at
this warehouse all warehouse
players. These locations are ideal for
logistics parks because of their
excellent por t, rail, and road
with latest operational amenities, management solutions are being connectivity as well as significant
times Om which makes work easier. CARGOTALK provided to the customers. The investment in infrastructure. In the
Logistics spoke to Madhukar Shyam Singh, company holds regular programmes near future eight logistics parks with
regional manager (marketing)-West, an approximate investment of $200
has developed
Om Logistics. million, will be located in 600 acres
its operations in of land around Mumbai. Almost all
Located on Nasik Highway, 7 km logistics players are in the process of
Mumbai region, away from Mankoli Naka, the setting up their warehouses here,
which is one of warehouse has been constructed container freight stations, inland
keeping in mind the present scenario container depots, logistics parks,
the major hubs of of operational activities. “With a distribution centres and other
the company. working capacity of 24x7, this facilities to tap the trade
warehouse connects to other major opportunities fuelled by revolution in
OM warehouses in Pan India, via the retail, ports etc.

Indian Railways has also planned


mega multimodal logistics parks
Madhukar Shyam Singh
(MMPLs) or hubs providing state-of-

“With a working capacity of 24x7,


this warehouse connects to other
major OM warehouses in Pan India,
via direct routes to all metro cities”

to educate its staff so that they the-art integrated logistic facilities with
can understand material handling mechanised handling and intelligent
techniques to reduce the trans - inventory management at selected
shipment time. The company is locations along the dedicated freight
also planning to provide better corridors to reduce the overall
services utilising the advancement logistics cost in the supply chain for
in IT technologies. the customers to meet time-sensitive
freight transportation requirements.
According to Singh, despite the
present slowdown in the market, “These along with other
Indian logistics industry will see huge opportunities have widened the role
growth. “Among the factors of logistics in the coming time. Being
responsible for the rapid growth of a mutli-model solution provider, we
Indian logistics include the growth of are elaborating more to tap these
organised retail industry, commodity oppor tunities with a specialised
markets, growth in manufacturing workforce, a professionally trained
and development of Special team, best IT features which allow
Economic Zones (SEZs),” he said. In 24x7 online tracking and tracing of
his opinion, Mumbai along with shipments, latest operational
Kolkata, Chennai and Hyderabad, amenities,” informed Singh.

6 CARGOTALK APRIL - 2009 www.cargotalk.in


CALENDAR
OF EVENTS

Calendar of International Logistics Events


LogiPharma Europe 2009 World Trade Group Platts European Utility Supply Chain:
April 21-23, 2009 Tel: +0044 207 202 7560 Fax:+0044 207 202 7600 Developing a Sustainable and Efficient
Geneva UNITED KINGDOM Email: laurence.allen@wtgevents.com Power Infrastructure
Tel: +44 (0) 207 368 9465 Fax: +44 (0) 207 368 How to Lay Out a Warehouse or June 22-23, 2009
9401
Email: logipharma@wbr.co.uk
Distribution Center London,
June 8-10, 2009 McGraw-Hill
Materials Handling Middle East 2009 Tel: +44 (0) 207 176 6226
Chicago IL
May 31-June 2, 2009 University of Kansas Fax: +44 (0) 207 176 8512
Dubai UNITED ARAB EMIRATES Tel: +785-864-7861 Email: Stacey_knox@platts.com
Messe Frankfurt GmbH
Tel: +971 4 338 01 02 Fax: +971 4 338 52 72
Email: kgcurry@ku.edu Supply Chain's Look Ahead
Email: gazi.bilikozen@uae.messefrankfurt.com International Defence Logistics 2009 June 24-26, 2009
Henderson NV
GSA & IET International June 9-11, 2009 SMC³
Semiconductor Forum Brussels NS Tel: 770-486-5881
June 2-3, 2009 Tel: +00442073689465 Fax: +00442073689401 Email: jmcmann@smc3.com
Munich, Email: info@wbr.co.uk
Global Semiconductor Alliance (GSA) International Freight Week
Tel: +972-866-7579 Fax: +972-239-2292 Supply Chain Distinction Awards 2009
Email: nbowman@gsaglobal.org October 18-20, 2009
June 9, 2009 Abu Dhabi UNITED ARAB EMIRATES
European Supply Chain & Logistics Dusseldorf, IIR Middle East
Summit 2009 World Trade Group Tel: 00971 4 336 5161
June 8-10, 2009 Tel: +0044 207 202 7560 Fax: 0044 207 202 7600 Fax: 00971 4 335 3526
Dusseldorf, Email: laurence.allen@wtgevents.com Email: michelle.mcdonald@iirme.com

8 CARGOTALK APRIL - 2009 www.cargotalk.in


EXPRESS
LOGISTICS

Deccan Express Logistics set to


make its Nagpur hub a connecting point
V. R A M A N U J A M the cost level. Ultimately, it is the schedule of Deccan Express Logistics
customer who will benefit with which achieved its first milestone for

Captain G.R.
V ital keys to efficient express
logistics are the use of high-
quality transpor t modes for TD
delivery, cost and value addition. its state-of-the-art express cargo hub
at upcoming Multimodal International
Hub Airport in Nagpur. Lately, the
Gopinath, delivery, effective use of operational company received approval for the
system and people who perform. A structural design for its aircraft
chairman and standard quality, superior express hangar, marking the first step that
managing logistics company will devote more Deccan Express Logistics has taken
attention to capturing these aspects towards creating countrywide
director, Deccan
in its operation. Doing so may require infrastructure to become India’s new
Express significant times to gain experience distribution and delivery system.
Logistics, spoke and expenditures to create such a
system to work. Since modern The hub will spread across a
to CARGOTALK. models of logistics operation are 100-acre campus strategically
about the express also aiming to reduce cost, the located at Nagpur’s B.R. Ambedkar
suppor ting low-cost segments Airpor t. “The express cargo hub
cargo hub. would be the beginning of our
involved in overall performance will
help the service provider to maintain investments in infrastructure,” he
Capt. Gopinath
said, adding, “It will handle majority
of cargo volumes moving on Deccan
Express Logistics network, thereby
Replenishment of express controlling the distribution of
inventory management systems that shipments across the country,”
routinely require operation planners explained Capt. Gopinath.
to do away with unnecessary cost to A former army officer and an
operations is also essential as it award winner in sericulture, Capt.

“The hub will handle majority


of cargo volumes moving on
Deccan Express Logistics network”

makes a virtual “black box” supplying Gopinath made his foray into civil
information to the company’s top aviation in 1995 when domestic
management on overall performance aviation was largely monopolised. He
and cost. Such systems, periodically identified the potential of helicopter
improved by operations managers, char ter business and launched
lead to exciting new methods for Deccan Aviation, a dedicated
achieving TD delivery and quality and customer-focused helicopter
improvements that bring new company. Today, the company is
business to the company. Such India’s largest and most reputed
periodical improvements are vital private sector air char ter service
because the customer will look for provider. Capt. Gopinath found the
state-of-the-art distribution systems potential of a billion travellers
at his service provider’s including those from Kolhapur,
management. And, the customer Gwalior and Belgaum. That resulted
is always right. in the creation of Air Deccan, India’s
first low-cost carrier. Air Deccan grew
The cornerstones of these new to fly 350 flights a day to 65
service techniques are already in the destinations from the modest four

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EXPRESS
LOGISTICS

flights. In 2008, the airline was taken strategy at the planning stage itself. the country. We are making significant give a lot of importance to customer-
over by Kingfisher Airlines. He is now investments in our technology for centric processes to enhance
focusing on Deccan charters and has “We will be the first express better services. Our technology customers’ experience. We have
entered into the ever-growing cargo logistics company in India to create solutions will enable businesses to managed to narrow down ‘superior
sector and express logistics. a hub-and-spoke distribution model, achieve greater efficiency by offering service’ to a science, wherein
thereby offering unmatched complete supply chain visibility customers will be categorised and
Earlier, in a corporate message, connectivity to more than 85 per cent enabling them to track shipments serviced based on their individual
Capt. Gopinath said that Deccan of India’s GDP. Our state-of-the-art online; 24 hours a day, seven days a needs. We will offer customised
Express Logistics is aiming at express cargo hub will be centrally week, in just a matter of minutes. solutions so that customers can ship
delivering superior customer located at Nagpur and will their documents, parcels and
experience. When asked what will be interconnect the entire country. This “Our employees will be trained commercial consignments without any
the major aspects of superior hassles. All this will help us offer
customer experience, he replied, unmatched services in domestic
“Customer is at the core of our Our five pillars of strength are our
express transportation.”
business. Our five pillars of strength
are our employees, our customers,
employees, our customers, the The Captain has created a core
the community in which we operate community in which we operate, our team with a consolidated experience
our investors and our partners. Of of 100+ years in express and
these, our customers are our raison investors and our partners logistics sector. He is setting up a
d’être. Therefore, we will state-of-the-art hub while focussing
continuously strive through attention on creating a network of
innovation and service to make their will include smaller cities and towns and motivated to go that extra mile spokes in 85 per cent of India’s GDP.
experience wor thwhile. We will set like Hubli, Bhadohi and Amravati, etc. to see to it that our customers When questioned how he estimates
new standards and ensure that we experience a seamless service in the current size and growth during
are the first choice for customers in “We will deliver innovative every interaction with us. The service the coming decade, Capt. Gopinath
express transpor tation. And that’s express logistics solutions and industry is about people and without said, “With a trillion dollar GDP, the
precisely the reason why a world significantly reduce the transit times adequate investment in training and Indian air cargo market is primarily
class offering is ingrained into our between small towns and the rest of service failures are inevitable. We served as a by-product of passenger

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EXPRESS
LOGISTICS

fleet and infrastructure. To sustain cornerstone of the country’s to all markets. With this vision, I have Express Logistics will be India’s No.
the growth India has seen in GDP and economic progress. As companies put together a team of professionals 1 air and ground distribution network
high value manufacturing ver ticals and industries attempt to limit who are the best in their respective with widest delivery network in India.
like electronics, automobiles and The core of this network is the state-
pharmaceuticals to name a few, of-the-art express cargo hub we are
it is certain that we will witness a The Nagpur hub would offer modernised creating which is spread across a
growth in air cargo.” 100 acre campus, strategically
cargo handling facilities like direct located at MIHAN (Multimodal
The express industry in India has International Hub Airport at Nagpur),
been growing at a CAGR of 17.2 per docking of our aircraft into air facility; Nagpur, owing to its central position
cent with revenues of US$ 1.06 billion in India. The MOU has already been
in 2006-07. The logistics industry has computerised documentation; access given shape by officials from Deccan
been estimated at 11.8 per cent to 13 Express Logistics and MADC.
per cent of GDP and continues to be to freight forwarders and charter agents;
a critical factor for sustained growth. “We have achieved the first
Over the last decade, the industry has
efficient load build-up for widebodied milestone for the hub by receiving
progressed from being a aircraft with experienced staff approvals for the structural design of
transportation mode for documents aircraft apron. This marks our first
and small packages to a supply chain step towards creating a nationwide
oriented enabler of commerce. The logistics costs and remain domains. Each one of them comes infrastructure to become India’s new
industry has been forecast to grow at competitive, express and logistics with vast experience having worked distribution and delivery system. The
around 20 per cent per annum for the service providers will rise to the with the best and with a greater Nagpur hub will handle majority of
next five years and expected to double challenge,” he added. understanding of customers’ needs. the cargo moving on Deccan Express
in size by 2012. This team is led by Jude Fonseka, Logistics network, thereby controlling
“Deccan Express Logistics aims CEO, Deccan Express Logistics, who the distribution of shipments across
“Infrastructure and economic to achieve this positive change the country. It will also be an
challenges aside, the industry will has decades of experience in the
across the nation where big and express, air cargo and logistics arena international hub connecting the
sustain growth and continue to be the small businesses have similar access major economies of Asia Pacific,
across Asia, Africa and Australia,” he
further said. Middle East and Europe via India,”
he added.
Deccan Express Logistics has
signed a memorandum of “The Nagpur hub would offer
modernised cargo handling facilities
like direct docking of our aircraft
Deccan Express into air facility; computerised
documentation; access to freight
Logistics aims to forwarders and char ter agents;
efficient load build-up for widebodied
achieve this aircraft with experienced staff; 24-
hour acceptance and delivery; cold
positive change storage; and state-of-the-ar t
warehouse and motorised sor t
across the nation systems for containers and
where big and packages,” he informed. The hub is
expected to be ready later this year
small businesses when Deccan Express Logistics goes
live with its operations.
have similar access
to all markets Deccan Express Logistics
n It achieved first milestone for
understanding (MOU) with its express cargo hub at
Maharashtra Airpor t Development Multimodal International Hub
Company Ltd. (MADC) for setting up Airport in Nagpur
a huge express and logistics hub in n It has received approval for
Nagpur in a 100 acre area. structural design for its aircraft
hangar
Explaining what the hub will comprise,
n The hub will spread across
and what will be the salient features 100-acre campus at Nagpur’s
of structures, centres, sor ting, B.R. Ambedkar Airport
warehousing, cargo handling, cargo n The hub will handle majority
transfer, access roads, truck docks, of cargo volumes moving on its
IT, etc., he informed that Deccan network

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COVER
STORY

Indian logistics
industry set to position itself for long haul
V. R A M A N U J A M In India, logistics leaders believe report said only 38 per cent rate the
that “strong companies will come out resilience of their supply chain

While industries
I ndia has gained credibility for
moving ahead with a cautious foot
forward. This movement had always
of this downturn stronger”, meaning
that today’s economic condition is
“only going to give an opportunity to
above average while a troubling
42 per cent say the expansion of
their global logistics and supply
around the been slow but strong with wait-and- position itself stronger and grow on chains has outpaced their ability to
watch attitude. Huge investments the upturn.” This confidence is not manage risks.
world are are made after long hesitation. shor t-term but is a long-term
reeling under Although Indian government’s outlook. When it comes to long-term Businesses appear to be
economic policies are said to be business strategy, India promises increasingly vulnerable to logistics
the vagaries disruptions that can have a
“liberalised”, in practice there has inner strength.
of economic not been a rush for liberalisation. catastrophic impact on business
Even quick-return projects do Over 50 per cent companies with performance. Success in global
recession, domestic and global logistics and economy depends largely on
not move fast on priority basis.
India is The country has never been an supply chains fear major disruptions building successful risk mitigation
fortunate strategies that can turn a
resilient logistics and
for not supply chain into a
slipping into competitive advantage.
a deep crisis.
Most of the logistics
Over 50 per cent companies are more
companies vulnerable as a result of
having created tighter and
with domestic leaner logistics and supply
and global chains, which is a
logistics and requirement for
competitiveness but it also
supply chains exposes a business to an
fear major increasing number of risks.
For instance, insufficient
disruptions monitoring, risk assessment
but sadly, and contingency planning
they are not are leaving companies ill-
prepared when crisis hits.
doing much to One out of every 10
prevent any companies does not
monitor customers at all.
damage nor in their ability to source and transact
early adopter, be it a global trade Around half the remainder looks only
are they policy, economic policy or an business around the world, but at immediate customers.
readying emerging technology. sadly, they are not doing much to Furthermore, in almost half of the
prevent any damage nor are they companies, formal risk management
themselves Speaking about logistics, it is readying themselves to meet the takes place only annually.
to meet the evident that the global logistics challenging times.
challenging industry is not impervious to A significant majority of
tough economic times. But as In a new survey sponsored by a businesses are falling back on
times. CARGOTALK this industry is not ready for popular international express and increased inventory to address
tells you why challenging times and as the entire logistics and supply chain major, 47 resilience problems, which is an
global industry remains hard hit, per cent companies have confirmed expensive and ineffective approach.
it is so. prompting a host of financial that they need to pay more attention Almost half of the companies
institution analysts to downgrade the to risk management compared to 16 surveyed expect to hold additional
stock of global logistics majors have per cent who believe they pay stock and raise inventory. Low-cost
become imperative. adequate attention. The survey country sourcing, sourced by

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COVER
STORY

customers, which has grown preparation for the inevitable long- enough during downturn. The rationalise the change in business
significantly brings its own set of term volatile crude oil prices and is outsourcing of logistics processes processes when moving towards a
challenges to global logistics and detrimental to the entire logistics and was a big star for many customers warehouse-free business model. The
supply chains with more than half of supply chain pipeline. Logistics but the value margin dropped logistics industry, however, is waiting
such service users losing product service providers need to be significantly when fuel prices began for an oppor tunity of a new
quality facing challenges of on-time cognisant of these changes and be to waiver. Many business decisions economic climate which may call for
delivery. Although most of the pro-active to mitigate the ups and that were previously based on volume some revisions to the all-
customers intend to increase low- downs of the global market. In 2009, will now require adequate in-depth warehousing or no-warehousing
cost sourcing, this trend is said to the trends for logistics and analysis to determine if the ideals. Almost all 3PL logistics
be gradually reducing because of international transportation are likely decision is still valid given the providers are under extraordinary
bad experience. to revolve around pro-active current economic environment as well pressures to provide cost savings to
their stressed customers but with
The trend in low-cost sourcing decreasing product volumes and
does not seem to go away, globally. The high 2008 year-end cost levels shifting freight costs.
But customers believe that it will look
different in future. There is a key to will cause the logistics customers to Many logistics companies are
successful sourcing of a reasonable experiencing a shift in their ideals and
quality but low-cost logistics service look at rebalancing, focusing strategic plans. Versatility is clearly
provider understands the issues, one of the most optimal techniques
structuring logistics and supply on strategic network optimisation for managing volatility but just as
chain appropriately, monitoring many of the best-in-class logistics
performance and working with
and multi-echelon inventory processes have led the service
service providers to improve optimisation tools providers to a situation they are
operational efficiency. The multi- currently experiencing. Versatility is
sourcing and near-sourcing are implemented with caution and with
likely to become par t of best strategies and continued cost savings as the long-term projections long-term vision. Some of the Indian
practices in future. is still deeply stressed by the turmoil for turnarounds. logistics companies have realised
of 2008. that there is also a crucial need for
While examining the trends of While there is no denying that a quick solution to resolve current
logistics and supply chain industry in As supply chains tend to begin just-in-time and lean philosophies situation. The companies have also
2009, it is clear that the industry has replanning, some of the key elements transformed the logistics industry realised that the best plan is to have
learned a lesson in 2008. Even that will be up for strategic review are into environments that valued high a plan and not simply a reaction to
though the price of crude oil has inventory and warehousing, logistics quality and simplicity, neither of an immediate issue.
substantially decreased, many and containerisation that can these ideals has helped the industry
industry experts have found the hefty ultimately reduce the overall cost. to cope with the difficulties, including Having the ability and capability
spikes in 2008 to be a lesson for These value chain activities will volatile fuel cost. For example, JIT to pro-actively prepare for increased
both manufacturing industry and become critical points where despite allowed organisations to reduce their operational costs, including cost of
consumer sector. The new business the success of how the process was warehousing space, but it is at the transpor tation which is the major
strategies of manufacturers working before, for most of the expense of increased shipment chunk, along with decreased sales will
need to encompass companies it is not frequencies. The cost of maintaining now allow the total logistics solutions
better effective the warehouse along with the providing companies and 3PL
inventory was typically more than the companies to remain afloat while
cost of the added their ill-prepared competitors will
transpor tation in struggle with their lack of
order to preparation. The best enabler for
success will, therefore, be the plan
and speed the logistics
companies

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COVER
STORY

in India can react to whatever global


crisis may be on the horizon. Service
providers in India are getting
prepared with versatile options and
will weather the climate far better
than their counterparts else where.
And most of the successful leaders
in Indian logistics industry have
already started their plan but without
necessary speed. History tells:
India is slow.
In 2001, the US faced a mini-
recession post-9/11. Mark Kopinski,
senior vice president, American
Century Investments, had once stated,
“Inventory is a huge liability in a
slowing economy. It forces companies
to idleness at certain times and carry
extra costs.” These words are more
relevant today. During tough times,
logistics businesses face slower sales
and turnover volumes, putting them at
risk for tying up funds – funds that
otherwise could be used in more
worthwhile spheres. Every company
has to agree that inventory
management is critical for survival
during recession and the failure to do
will drive investments in optimisation, through the lens of cost/value. management will become an
so can lead to difficulties in cash flow.
modernisation and risk mitigation,” increasingly significant capability and
the article said. Companies will “right size’ their a key differentiator for modern
Indian logistics majors logistics and supply chain activities logistics and supply chain
understand this and are gearing up The journal also gave a few for profitable proximity and take a management. Stan Wright of Strategic
for smar t inventory management predictions which are more total landed-cost approach. Supply Aviation Solutions at an air cargo
ending in cost savings. An editorial in applicable to world logistics industry chain technology initiatives will have session held recently in Bangkok
a recent issue of a leading journal in but may be useful for Indian logistics to suppor t the standard business stated that having worked through
the US wrote that most of the companies. The predictions are: platform and focus modernisation previous economic recessions,
companies are using recession to companies will exploit well-performed and decision making. Customer “nothing else can compare to this.”
restructure their logistics and supply existing tangible and especially relationship management and Focussing beyond 2009, he noted,
chain operations including intangible logistics and supply chain customer-centricity effor ts will “This is a crisis of confidence.”
rationalising channel par tners, assets to ride out financial crisis and continue to grow across modern
logistics and supply chain companies Wright remarked, “The bottle of
as customers attempt to get wine is half-full, not half empty.” And
“In 2009, we expect to see a very strong the right kinds of innovation and on this foundation of confidence,
new logistics products. Indian logistics industry is all set to
cost and customer focus in logistics and position itself for long haul.
The high 2008 year-end cost
supply chain. Continuing logistics and levels will cause the logistics
supply chain complexity will drive customers to look at rebalancing, Logistics industry
focusing on strategic network
investments in optimisation, optimisation and multi-echelon n Indian logistics industry is
inventory optimisation tools. doing much better than its
modernisation and risk mitigation” Compliance-driven RFID initiatives will global counterparts
continue to wane in favour of ROI- n Cautious approach, among
others, is a plus point of Indian
driven tracking and customers industry
reducing inventory, modernising prepare for recovery. Modern increasingly look at radio frequency
n Majority of businesses are
assets and rebalancing supply- logistics and supply chain identification as ‘just another tool in falling back on increased inven-
demand in preparation for a recovery. organisations will put expenditure the tool kit.” As global economic tory to address resilience prob-
“In 2009, we expect to see a very budgets under greater scrutiny and pressure mounts, outstanding lems
strong cost and customer focus in new investments will be cost savings opportunities proliferate and global n Strong companies are
logistics and supply chain. Continuing requiring shorter payback periods; logistics and supply chain networks believed to emerge stronger
logistics and supply chain complexity and expenditures will be made become more complex and risk because of the downturn

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FAMILY
ALBUM

Delmos Cargo celebrates its first anniversary


Delmos Cargo, the general sales agent for Aeroflot Cargo and Uzbekistan Airways
(Cargo) organised two separate functions in Delhi and Mumbai recently. The events were
attended by a large number of freight forwarders and dignitaries. The company also
honoured its top agents for their support. Following are the highlights of Delhi event.

22 CARGOTALK APRIL - 2009 www.cargotalk.in


FAMILY
ALBUM

Delmos Cargo’s celebration in Mumbai

APRIL - 2009 CARGOTALK 23


LOGISTICS
SERVICES

Mercurio-Pallia Logistics
to offer automotive logistics services
R ATA N K R P A U L turnover in the first year of operation Delhi-South India routes. With an aim
along with GM SPA. “We have already to offer end-to-end link between India

A ccording to Andrea Guido Conti,


president, GM SPA and Vipul
Nanda, managing director, PTC &
established our strong presence in
car transport and logistics industry.
Car manufacturing companies
and Europe (Nor th Africa at later
stage) for the Indian automotive
industry, the company will start with
Gruppo Mercurio Mercurio-Pallia Logistics, the main
SPA (GM SPA) aim of Mercurio-Pallia Logistics is to
provide world class logistics service
Italy and Pallia
to automotive industry in India by
Transport offering state-of-the-ar t logistics
technology, including solution design
Company
and implementation.
(PTC), the
GM SPA is one of Europe’s
India based leading logistics companies. India
company on offers lot of potential for the company
because of its emergence as a strong
March 18, 2009 market despite the ongoing recession
announced the in the global market. “We are
searching for a new market, which is
formation of a emerging with its strong economy vis
50:50 joint a vis the US and Europe markets,”
(L-R): Vipul Nanda and Andrea Guido Conti
explained Conti. According to him, the
venture (JV) company has planned to invest in 250 including Maruti, Mahindras, Tata, 175 trailers, which will be further
company called additional trailer capacities over the Hyundai, Honda and General Motors extended in the first year. The
Mercurio-Pallia company has a plan to add at least
50 trailers a year in the next five
Logistics which years. Mercurio-Pallia Logistics is
will not only also considering the launch of
container train operation on its own.
strengthen
GM SPA is a Euro 130 million
its operation
company with global presence in
in India’s automotive logistics sector. PTC was
established in 1962 and initially
domestic
offered logistics services to farms
market but will and forestry.
simultaneously
explore About the JV
next five years, which will be operated
opportunities are the major clients of the company. n Mercurio-Pallia Logistics
by the JV. Mercurio-Pallia Logistics will We are confident that the new JV will is a 50:50 partnership JV
in import-export not only strengthen its operation in boost our business because of the n Its projected investment is
markets, India’s domestic market but will commendable strength of GM SPA in
to add 250 additional trailer
simultaneously explore opportunities capacities over the next 5 years
the world’s automotive logistics
especially in import-export markets, especially n The JV plans to achieve Rs. 50
sector,” highlighted Nanda. crore turnover in the first year
for Europe the European market. “The JV
from present Rs. 30 crore a year
will complement each other’s
market. CARGOTALK The new company will also n The JV aims to provide world
market and help accelerate
explore oppor tunities in other class logistics service to the
has details. automobile trade between India and automotive industry in India
sectors in auto logistics, including
Europe,” said Nanda. n The company will start with
stockyard management, pre-delivery
inspection and car transportation in 175 trailers, which will be
According to Nanda, the Rs. 30
extended in first year
crore PTC will target Rs. 50 crore rail wagons on Delhi-Mumbai and

24 CARGOTALK APRIL - 2009 www.cargotalk.in


LOGISTICS
SERVICES

PSBediGroup:
Platinum sponsor of IELA Congress in London
C T B U R E AU Star ting as consultants and opportunities for growing exponentially.
advisers on laws relating to customs Initiatives have already been set in

I ELA is an association of specialist


logistics providers who are skilled
and experienced in moving exhibition
and import/export related matters,
PSBLogistics and PSBedi & Co have
established themselves in
motion for participating in the agri,
retail and pharma verticals. ‘With our
33 years of experience and a presence
After becoming cargo around the world to trade international freight forwarding with in almost the entire gamut of logistics
a member fairs, festivals and events of all types.
of International Its members from 44 countries are
the global elite comprising dedicated
“With plans to take leadership in this
Exhibition companies and divisions that specialised field through its unmatched
Logistics form network to service the

Associates
world's greatest events. IELA is network of 16 branches, extensive infrastructure
dedicated to enhancing
(IELA) in professionalism in transpor tation and equipment, renowned international
logistics and freight handling
September segments of the exhibition industry. partners and a team of experienced
2008,
“With plans to take leadership in professionals, PSBediGroup proposes to set
PSBediGroup this specialised field through its
embarks unmatched network of 16 branches, the ‘next standards’ in the industry”
extensive infrastructure and
aggressively equipment, renowned international emphasis on project cargo, oversized industry from consultancy, customs
for stronger par tners and a team of equipment, relocation and rigging clearance, international freight
experienced professionals,
presence PSBediGroup proposes
in/out of factories and other related forwarding, warehousing, distribution &
logistics suppor t services. These 3PL to transportation, the company
in the exhibition to set the ‘next include engineering support, ground provides complete end-to-end
and events standards’ in the survey services, administrative
support, equipment support, etc.
vertical by
positioning
itself as the
'new alternative'
in India.
The company
industry,” said Kuldeep Razdan, A knowledge based organisation
is the platinum logistics solutions. Plans are afoot to
national head - exhibitions & events, with over 5,000 man-years of collective enter in the warehousing and
sponsor of PSBediGroup. team experience, the group has in the distribution space through Logistics
the IELA last 33 years serviced some of the Centres,” Bedi said. “We are looking at
The company is amongst the largest national and multinational
Congress, fastest growing in this industry overseas acquisitions in the near future
organisations in the verticals relating to and initiating negotiations to start
vertical due to its accreditation from
which is going largest exhibition organisers and
power, auto, telecom, metals, JV alliances in China and West
infrastructure, defence, projects and
to take place experience of having handled world second-hand machinery. “Our vast
Asia,” he added.
from June class events. “Our team comprises experience in handling very diverse
dynamic, very motivated, experienced range of projects has provided us the
25 to 28, 2009 and customer focussed professionals. PSBedi Group
uniqueness to offer unparalleled
in London. These are exciting times for us as we customised solutions to clients.” n Serviced some of the largest
are not only attracting the best talent said, RS Bedi, CEO, PSBediGroup. national and multinational
from the industry but are also making organisations in the verticals
extensive capex investments at According to Bedi, with India relating to power, auto,
multiple locations for achieving our telecom, metals, infrastructure,
poised to become an economic giant,
defence and projects
goal of being No. 1,” added Razdan. the group is preparing to harness the

26 CARGOTALK APRIL - 2009 www.cargotalk.in


CARGO
PERFORMANCE

Traffic Trends: Delhi International Airport


Jan. 2009 vis-a-vis Jan. 2008 Cargo Department, IGI Airport,
Total Freight Traffic: New Delhi
The total freight traffic (International and
Domestic) handled has significantly decreased by Airline-wise Import/Export Cargo Performance
8.2 per cent as compared to the freight handled
during January 2008. Most of the airports have for the month of February, 2009 ALL WT. IN MT.
registered sluggish growth during January 2009.
S. Airlines Export Import Total % of
Major increase (in per cent): No. Cargo Total
• Calicut 87.2 • Pune 8.6 Cargo
• Amritsar 176.3 • Coimbatore 35.7
1 ............Cathay Pacific ................................962.60 ........985.23 ........1948 9.68%
• Cochin(CIAL) 25.2 • Imphal 54.0 2 ............Lufthansa German Airlines ..........966.89 ........888.66 ........1856 9.22%
3 ............British Airways ..............................880.97 ........769.24 ........1650 8.20%
4 ............Singapore Airlines..........................525.76 ........691.86 ........1218 6.05%
Major declines (in per cent): 5 ............Jet Airways....................................621.69 ........520.03 ........1142 5.67%
• Kolkata 8.7 • Mumbai (MIAL) 10.2 6 ............Emirates ........................................571.97 ........454.71 ........1027 5.10%
7 ............Thai Airways..................................279.97 ........669.43 ..........949 4.72%
• Ahmedabad 12.9 • Delhi(DIAL) 10.9 8 ............Air India ........................................458.40 ........363.16 ..........822 4.08%
• Goa 41.1 • Bangalore(BIAL) 11.6 9 ............Qatar Airways ..............................400.20 ........249.50 ..........650 3.23%
10 ..........Malaysian Airlines..........................194.82 ........400.32 ..........595 2.96%
11 ..........Etihad Airways ..............................371.02 ........219.40 ..........590 2.93%
International Freight Traffic: 12 ..........Turkish Airlines ..............................482.70 ..........89.46 ..........572 2.84%
13 ..........Austrian Airlines ............................350.08 ........180.68 ..........531 2.64%
The international freight traffic has registered a 14 ..........Swiss International Airlines ..........334.56 ........180.88 ..........515 2.56%
decrease of 8.7 per cent during the month of 15 ..........Federal Express..............................312.66 ........190.61 ..........503 2.50%
January 2009 as compared to the traffic 16 ..........Virgin Atlantic................................397.84 ..........77.84 ..........476 2.36%
17 ..........Korean Air......................................114.12 ........292.27 ..........406 2.02%
handled in January 2008. 18 ..........KLM Royal Dutch ..........................266.00 ........134.80 ..........401 1.99%
19 ..........Jalways Co. Ltd. ............................97.78 ........298.11 ..........396 1.97%
20 ..........Finnair............................................261.51 ........104.23 ..........366 1.82%
Major increase (in per cent): 21 ..........Air France ......................................194.61 ........113.04 ..........308 1.53%
• Kolkata 3.0 • Amritsar 328.9 22 ..........Gulf Air ..........................................283.23 ..........10.67 ..........294 1.46%
23 ..........Eva Airways Corp. ........................123.58 ........150.87 ..........274 1.36%
• Ahmedabad 19.2 • Hyderabad(GHIAL)17.3 24 ..........Ariana Afghan Airlines ..................168.31 ..........77.16 ..........245 1.22%
• Calicut 100.0 • Cochin(CIAL) 40.1 25 ..........Indian Airlines................................161.42 ..........57.53 ..........219 1.09%
26 ..........SK ..................................................154.16 ..........33.33 ..........187 0.93%
27 ..........Saudi Arabian Airlines ..................168.31 ............8.01 ..........176 0.88%
Major declines (in per cent): 28 ..........American Airlines ..........................132.34 ..........36.88 ..........169 0.84%
• Chennai 16.5 • Mumbai (MIAL) 11.3 29 ..........China Airlines ..................................51.40 ..........96.60 ..........148 0.74%
30 ..........Continental Airlines ........................82.09 ..........46.07 ..........128 0.64%
• Trivandrum 11.4 • Delhi(DIAL) 11.6 31 ..........Kuwait Airways ..............................77.60 ..........46.86 ..........124 0.62%
32 ..........Air China ........................................59.35 ..........56.40 ..........116 0.57%
33 ..........Asiana Airlines ................................88.07 ..........25.86 ..........114 0.57%
Domestic Freight Traffic 34 ..........China Eastern Airlines ....................42.19 ..........65.27 ..........107 0.53%
The domestic freight traffic has decreased to 35 ..........Mahan Air ......................................91.26 ............0.24 ............92 0.45%
36 ..........AeroSvit Airlines ..............................55.39 ............3.78 ............59 0.29%
44.52 thousand tonnes in January 2009 from 37 ..........Bangladesh Biman ..........................33.61 ..........14.27 ............48 0.24%
48.01 thousand tonnes freight handled in 38 ..........Aeroflot............................................32.27 ..........10.68 ............43 0.21%
January 2008, which has shown a decrease of 39 ..........SriLankan Airlines ............................24.97 ............9.95 ............35 0.17%
40 ..........Blue Dart ........................................31.85 ............2.38 ............34 0.17%
7.3 per cent. Most of the airports have 41 ..........Pakistan International Airlines ........25.46 ............7.19 ............33 0.16%
registered downfall in domestic freight handling 42 ..........Air Mauritius ....................................22.27 ............6.05 ............28 0.14%
during January 2009. 43 ..........Ethiopian Airlines ............................27.05 ............0.39 ............27 0.14%
44 ..........Turkmenistan Airlines ......................21.39 ............0.66 ............22 0.11%
45 ..........Uzbekistan Airways ........................20.48 ............0.53 ............21 0.10%
Major increase (in per cent): 46 ..........Royal Jordanian Airways ................11.55 ............3.29 ............15 0.07%
• Chennai 50.9 • Port Blair 11.4 47 ..........Royal Nepal Airlines ..........................0.58 ............4.99 ..............6 0.03%
48 ..........Druk Air ............................................2.65 ............0.20 ..............3 0.01%
• Guwahati 10.7 • Pune 8.8 49 ..........Air France ..........................................0.00 ............0.00 ..............0 0.00%
50 ..........Syrian Arab Airlines ..........................0.00 ............0.00 ..............0 0.00%
51 ..........MIS ................................................315.06 ........128.68 ..........444 2.20%
Major declines (in per cent):
• Kolkata 16.1 • Delhi(DIAL) 9.5 TOTAL ..............................................11354.04 ..8778.25 ......20132
• Ahmedabad 27.4 • Bangalore(BIAL) 25.2 Cargo handled in FEB ' 2009 ..........12447.00 ....10525 ......24661
• Mumbai(MIAL) 7.7 • Hyderabad(GHIAL)9.6
% VARIATION ...................................... -8.78% ..-16.60% ....-18.36%

28 CARGOTALK APRIL - 2009 www.cargotalk.in


CARGO
PERFORMANCFE

Mumbai CSI Airport Export/Import Cargo T onnage Traffic Trends: Apr–Jan. 2008-09 vis
Handled for the month of February, 2009 (Mumbai Airport) à-vis Apr–Jan 2007-08
(including TP Cargo)

S. No. Weight in Tonnes Total Total Freight Traffic:


The total freight traffic has increased to
Airlines General Exp+Imp 1419.70 thousand tonnes from 1414.68
Export Import thousand tonnes, which has registered a
marginal increase of 0.4 per cent during April
Airlines Handled by MIAL & AI – January 2008-09 as compared to freight
1 ............Cathay Pacific ................................719.55 ..............1343.70 ..............2063.25 traffic handled in April –January 2007-08.
2 ............Jet Airways ....................................394.74 ..............1431.04 ..............1825.78
3 ............Lufthansa ........................................493.82 ..............1122.90 ..............1616.72 Major increase (in per cent):
4 ............Emirates ..........................................991.55 ................593.41 ..............1584.96 • Chennai 1.4 • Cochin (CIAL) 21.2
5 ............Air India ..........................................765.50 ................742.11 ..............1507.62 • Ahmedabad 1.8 • Pune 7.1
6 ............Singapore Airlines ..........................592.50 ................831.43 ..............1423.93
• Calicut 37.5 • Patna 16.2
7 ............British Airways ................................694.92 ................442.99 ..............1137.91
8 ............Etihad Airways ..............................404.91 ................355.13 ................760.04 • Port Blair 9.4 • Agartala 26.8
9 ............Federal Express ..............................567.71 ................160.68 ................728.39 • Amritsar 61.6 • Visakhapatnam 89.0
10 ..........Korean Air ......................................328.27 ................350.82 ................679.09 • Mumbai(MIAL) 1.4 • Bhopal 51.9
11 ..........Swiss Intl. Airlines ..........................358.07 ................284.83 ................642.90
12 ..........Air France ......................................227.00 ................218.65 ................445.65 • Hyderabad(GHIAL) 7.3 • Imphal 40.4
13 ..........Thai Airways ....................................76.57 ................330.89 ................407.46
14 ..........Malaysian Airlines ..........................170.43 ................216.14 ................386.57 International Freight Traffic:
15 ..........Delta Airways ................................221.21 ................114.36 ................335.57 The international freight traffic has increased
16 ..........Virgin Atlantic ................................159.94 ................162.98 ................322.92 by 2.0 per cent during the period under
17 ..........UPS ................................................150.50 ................171.68 ................322.18 review.
18 ..........Others ............................................93.84 ................222.74 ................316.58
19 ..........Qatar Airways ................................170.00 ................145.09 ................315.09 Major increase (in per cent):
20 ..........Finnair ............................................140.43 ................170.90 ................311.33 • Ahmedabad 68.5 • Mumbai (MIAL) 4.0
21 ..........Turkish Airlines ................................184.70 ................117.68 ................302.38 • Calicut 43.6 • Hyderabad(GHIAL)24.9
22 ..........KLM Royal Dutch ..........................108.96 ................152.61 ................261.57
................259.82
• Amritsar 39.3 • Cochin (CIAL) 28.2
23 ..........Ethiopian Airlines............................258.23 ....................1.59
24 ..........Saudi Arabian Airlines ....................214.13 ..................10.61 ................224.74
25 ..........Shanghai Airlines ..............................72.10 ................143.39 ................215.49 Domestic Freight Traffic:
26 ..........Kenya Airways ................................162.55 ..................16.16 ................178.71 The domestic freight traffic has shown
27 ..........South African Airlines ....................159.40 ..................16.69 ................176.09 marginal decrease of 2.9 per cent during the
28 ..........Gulf Air ..........................................150.01 ..................13.37 ................163.38 period under review.
29 ..........Continental Airlines ..........................48.45 ..................92.34 ................140.79
30 ..........Kingfisher Airlines..............................57.15 ..................26.28 ..................83.43 Major increase (in per cent):
31 ..........Qantas..............................................43.14 ..................27.74 ..................70.88 • Chennai 19.3 • Chandigarh 15.9
32 ..........Aeroflot ............................................46.60 ..................16.50 ..................63.10 • Port Blair 9.4 • Bhopal 51.9
33 ..........Egypt Air ..........................................59.87 ....................2.68 ..................62.55
• Pune 7.1 • Imphal 40.4
34 ..........EL-AL Airlines ....................................32.00 ..................23.92 ..................55.92
35 ..........Srilankan Air......................................49.00 ....................6.24 ..................55.24 • Lucknow 6.9 • Agartala 26.8
36 ..........Iran Air ..............................................54.18 ....................0.37 ..................54.55 • Visakhapatnam 89.0 • Patna 16.2
37 ..........Kuwait Airways ................................36.96 ....................7.15 ..................44.11
38 ..........Air Mauritius ....................................40.13 ....................3.53 ..................43.66
39 ..........Pakistan Airways ..............................37.57 ....................0.60 ..................38.17 Total Freight Traffic Trends Apr–Jan 2008-09
40 ..........Indian Airlines ....................................2.53 ..................28.46 ..................30.99 vis-à-vis Apr–Jan 2007-08
41 ..........Yemenia Airways ..............................26.97 ....................0.05 ..................27.02
42 ..........Blue Dart ..........................................17.27 ....................6.17 ..................23.44 Airport Category Apr-Jan Apr-Jan %
43 ..........Air Arabia............................................8.87 ....................0.00 ....................8.87 2008-09 2007-08 Change
44 ..........Jazeera Airways..................................6.70 ....................0.04 ....................6.74
45 ..........Austrian Airlines ..................................0.50 ....................2.44 ....................2.94 Twelve International Airports 371.33 367.99 0.9
46 ..........Oman Air............................................1.61 ....................0.65 ....................2.26 Five JV Int’l Airports 1005.40 1006.13 -0.1
47 ..........Royal Jordanian Airways ....................1.59 ....................0.36 ....................1.95 Eight Custom Airports 18.36 17.40 5.5
48 ..........Syrian Arab ........................................0.00 ....................0.00 ....................0.00
Twenty One Domestic Airports 23.59 22.03 7.1
49 ..........Eva Airways ........................................0.00 ....................0.00 ....................0.00
..............TOTAL (B1) ..................................9602.60 ............10130.09 ............19732.73 Others Domestic Airports 1.02 1.13 -9.6
Total 1419.70 1414.68 0.4
Note: No Tonnage was reported against the Airlines viz. Air Seychelles,
Bangladesh Biman, Syrian Arab Airlines, Bellview, Royal Jordanian Nepal.

APRIL - 2009 CARGOTALK 29


LOGISTICS
SERVICES

Safexpress calls for strengthening


SCM to cope with recession
C T B U R E AU critical differentiator between the At Aarohan, 2009, Kanaujia
winners and losers. announced that Safexpress would

A arohan 2009 was aimed at


bringing together the best brains
in the B-schools across the
Elaborating the scope of supply
chain, Kanaujia said, “To endure the
offer special services to transport
belongings of ‘Symbiosis’ students in
the form of special customised
Safexpress country to showcase their talent and
current economic slowdown

in collaboration knowledge on supply chain


management (SCM) and also to
with Symbiosis
come in contact with eminent Safexpress wins ‘Best Service Provider’
Institute professionals of the industry
of International who could help them refine award at Leadership Summit 2009
knowledge and skills.
Business Safexpress, the leading logistics through a proper process, which
This year the “paint industry” player in India, has won the ‘Best included submitting a comprehensive
(SIIB), Pune had been chosen as the premise for Service Provider’ award at the application. Numerous applications
recently case study. “The main attraction of Logistics Management Leadership from top brands were then put forth
the event was a case study based on Summit 2009 held at Hotel Marriott to a jury comprising India’s leading
organised the real life supply chain issues faced by logistics service users
second edition the industries,” informed Vineet and service providers.
Kanaujia, general manager –
of supply chain marketing, Safexpress. Kanaujia was In the last one
year, the company has
summit and one of the judges at Aarohan 2009.
bagged many
national level “The purpose of our prestigious awards like
par ticipation in this event was to Golden Peacock Award,
case study
provide the young generation a deep Retail Leadership
competition, insight into the working of the supply Award, Brand Loyalty
chain industry and how the industry Award and CMAI
Aarohan 2009.
caters to the dynamic needs of the Golden Scale Trophy.
The theme clients. Today, when our economy is
facing the impact of the downturn, Commenting on
of this year’s
supply chain industry has a pivotal the achievements,
event was role to play in the swift bouncing Kanaujia said, “For the
‘supply chain in back of our economy,” said Kanaujia. last many years we
have been strongly
in Mumbai recently. Vineet Kanaujia,
recessionary According to him, it is high time focussing on augmenting our
companies took a closer look at their GM – marketing, Safexpress,
times.’ fundamentals. We have been
supply chain models and ironed received the prestigious award.
relentlessly pursuing customer
out inefficiencies. At the end of the The summit was the first-ever satisfaction through our customised
day, this will prove to be the edition where top brands of supply solutions over the last decade. And
chain industry competed for the this strategy has been paying us rich
award. The winner was decided dividends.”

companies need to carefully evaluate service ‘campus2home.’ “Under this


their cost structure. As supply chain initiative we ensure that the luggage
cost constitutes a major part of this of students reaches their home
structure, the focus should be to safely, quickly and in right condition.
minimise inventory related costs to This will enable the students to enjoy
shorten the cash cycles. This would the rest of their time at the campus
help them enhance operating without any anxiety about moving
efficiency as well as help achieve the their possessions at the time of
profitability targets.” passing out,” added Kanaujia.

30 CARGOTALK APRIL - 2009 www.cargotalk.in


INFRASTRUCTURE
UPDATE

ICD Loni completes 2nd year;


assures safety and security
R ATA N K R P A U L This will ensure that ICD Loni remains This has made the depositing of
a theft-free zone,” said Rawat. customs duty more convenient. The

T he ICD, situated near Delhi border


in Ghaziabad district of Uttar
Pradesh has added many
To create care of trucker
requirements, a secured parking
ICD has replaced all its old reach
stackers with five brand new Linde
machines which are more efficient
The Central infrastructural facilities in its two-year area has also been developed where and environment friendly.
Warehouse journey. It became the first private more than 100 trailers can be
sector ICD after public sector parked at a time. “The area is fully “We at CWC and ICD management
Corporation (CWC)
undertaking (PSU) owned Container
based ICD at Loni Corporation of India (Concor) to offer
reefer container rail services. The Rajiv Kochhar with Concor as
under strategic has joined Worlds assistant manager -
plug in facility for more than 140
management of FEUs at a time and 12 reefer power Window Infrastructure operations at
packs make it one of the biggest Logistics (WWILPL) as Pragati Maidan. He
Worlds Window vice president - was promoted as
reefer infrastructures in the national
completed two capital region (NCR). ICD Loni has commercial, project general manager
also developed more than 100,000 and business operations and
years on March development. Prior to general manager
square metre of paved area for
11, 2009. Its last storing empty containers. joining WWILPL, domestic terminal at
Kochhar was with Concor TKD from
two years of According to Kapil Rawat, Adani Logistics Park 1993 to 2004. He
operation have president, Worlds Window since 2006. He was became general
Infrastructure and Logistics, the the core team Rajiv Kochhar manager -
been almost biggest achievement of ICD has been member for setting commercial &
accident-free. to provide accident-free and theft- up Adani Logistics Parks at Patli and operations, Concor (NR) and general
free environment to customers. Its Kishangarh. He was also the first manager international marketing &
The ICD has last two years of operation have terminal manager at ICD Patli. commercial at Concor corporate
strengthened been almost accident-free. Kochhar started his career in 1990 office from 2004-06.
infrastructure
and added new of Worlds Window thank all our
customers who have helped the
equipment.
facility to become one of the best in
the region. The Worlds Window Group
is committed to adding in near future
cutting edge technology and
infrastructure to ensure that
customer requirements and his
aspirations are fulfilled,” he added.

ICD Loni
n ICD Loni is the first private
sector ICD to offer reefer
container rail services
n Plug in facility for over 140
paved and offers safety, security and FEUs and 12 reefer power
“The ICD management is leaving hassle-free environment to
packs makes it one of the biggest
no stone unturned to maintain the reefer infrastructures in NCR
customers,” Rawat added.
reputation in this regard. The fresh n ICD Loni has developed over
initiative of providing 15 CCTV 100,000 square metre of
To take care of the customers’
Kapil Rawat paved area for storing empty
cameras on the gates and in the banking needs, Punjab National Bank containers
vicinity of ICD is one of the examples. has opened its branch at ICD Loni.
APRIL - 2009 CARGOTALK 31
SHIPPING &
PORTS

‘Gateway Terminals’ commissions


2 new quay cranes at Nhava Sheva, Mumbai
C T B U R E AU identification advice; and 3 days free GTI’s new crane No. 9 was
on empties.” inaugurated by Jin-Li Chung,

I n the face of the current economic


downturn, this event demonstrates
GTI’s resolve to create additional
Bhatnagar added that by
upgrading infrastructure and
managing director, Hyundai Merchant
Marine India Private Limited (HMM).
Congratulating GTI on the occasion,
Gateway capacity, thereby benefitting the equipment, GTI’s berth productivity, he remarked, “Hyundai has witnessed
Terminals trade and its customers as quickly which has improved from 57.96 GTI’s tremendous success within a
as possible. moves/hour in January 2008 to short period of three years and is
India Pvt. 80.31 moves/hour in December demonstrating again that even bigger
Ltd. (GTI), Calling it a “historic moment”, 2008, is expected to reach well successes can be achieved by GTI for
Arvind Bhatnagar, CEO, Gateway over 100 moves/hour in 2009. “This its customers in the future”.
the youngest Terminals India, said, “We are ensures that larger vessels can
terminal at delighted and proud of the enjoy unparalleled turnaround time Part of APM Terminals’ global
expansions taking place as in the por t with only 12 hours terminal network, Gateway Terminals
Nhava Sheva, India is a joint venture between APM
has commissioned Terminals and CONCOR. The facility,
India’s largest container terminal, is
two new an exemplary model of successful
quay cranes, Public/Private Par tnership and
terminal operation efficiency. GTI is
thereby strategically located at Nhava Sheva,
ramping up off Mumbai - India’s premier gateway
por t, serving the commercial and
its capacity financial hub of Mumbai.
by an additional
APM Terminals is a leading
500,000 TEUs. global container terminal owner and
CARGOTALK gives an operator providing world-class
service to over 60 shipping lines
insight into with a global terminal network
the same. of more than 50 terminals in
31 countries and in five continents.
APM Terminals is a member of
the A.P. Moller-Maersk Group of
Denmark and is headquar tered
scheduled. The team is geared to in The Hague, Netherlands.
required for volumes until 1,800
move ahead to take on the moves and only 24 hours required CONCOR, a government of India
challenges posed by the current for volumes up to 4,000+ moves under taking under the ministry of
economic scenario and conver t it given a 5+ crane split,” he said. Railways, is the largest provider of
into oppor tunities for fur ther containerised rail transport in India,
improvement and to ensure The addition of two quay cranes operating a network of more than 58
customer delight.” procured from ZPMC of China makes Inland Container Depots (ICDs).
Speaking at the ceremony GTI the youngest terminal in India to
attended by a host of GTI customers have a total of 10 cranes. This
at the container terminal, Bhatnagar milestone, in addition to increasing Some benefits
said, “Effective February 1, 2009, yard space by almost 2,000 ground
GTI announced a host of additional slots and commissioning 11 new, n 10-day free period on export
eco-friendly, 6-high RTGs, is part of laden boxes
benefits which translate the
GTI’s plan to offer customers world- n 6-day free period on import
advantages of its expansion to laden boxes
customers. The benefits include 10- class infrastructure and scale up
capacity to 1.8 million TEUs in 2009 n 3-day free period on empties
day free on export laden boxes; 6-
from 1.3 million TEUs in 2008, n Facility to open second vessel
Arvind Bhatnagar day free period on impor t laden identification advice
boxes; facility to open second vessel according to Bhatnagar.

32 CARGOTALK APRIL - 2009 www.cargotalk.in


SHIPPING &
PORTS

Maersk Line’s ME3 service to call at Pipavav Port;


enhancement follows Nhava Sheva call
C T B U R E AU provide direct service from Pipavav addition reflects on Maersk Line’s
into the Middle East and improved reliability with a fixed-day

“T he new service is aimed at


expanding Maersk Line’s
coverage from/to North and North
Mediterranean ports. It has always
been our focus to constantly upgrade
our products and services to cater to
sailing to the Middle East as well as
more reliable products.
To facilitate trade West India and further strengthen its He added, “In our constant
our customers’ needs and to
from North India presence in these developing continuously provide them with effort to provide our customers with
markets,” said Soomar. innovative and reliable products. This faster and more reliable products,
and North West we have enhanced our India-Europe
direct service from Pipavav will help
India to the The first call of fur ther our customers from North India and (ME3) service. We have added this
enhanced ME3 service at Pipavav is North West India with more efficiently new port call at Jebel Ali Dubai, thus
Middle East, the scheduled for April 6, 2009 with the providing our customers from West
realised oppor tunities that the
Mediterranean and vessel being Nedlloyd Drake, growing Middle East and India and North India a fast, direct
Voyage No. 908. The Pipavav call Mediterranean markets offer.” and fixed-day service to the Middle
Europe, Maersk East. Transit time from Nhava Sheva
Line will shortly to Jebel Ali will now be only three
days which is amongst the best in
add a Pipavav the industry.”
call on its ME3 Soomar informed that with this
service. “This added call, Maersk Line will now have
direct service coverage into Jebel Ali
enhancement
which is an important gateway into
will provide key markets of the Middle East that
is still showing positive growth in
exporters and
spite of the global economic
shippers from slowdown. “Since the service
North India and coverage is by our own mother
vessels, it means higher reliability
North West India and better space availability for
a direct service our customers. This service will also
offer faster transit time into other
from/to the follows the recent addition of the import-dependant Middle East and
The new service is a direct intra-
Middle East, Jebel Ali call on ME3 service, which Gulf product offering a connection to Persian Gulf countries like Iran, the
has made it a fast, direct and fixed- and from Jebel Ali, which is an UAE, Oman, Qatar, Bahrain and
Mediterranean day mother vessel service to the Kuwait,” he said.
important gateway into key markets
and European Middle East for Nor th Indian and of the Middle East, offering faster The Middle East is also the
North West Indian shippers. transit times into import dependant
markets,” largest destination for refrigerated
Middle East and Persian Gulf commodity ex-India.
Rizwan Soomar, Soomar said that shippers from countries like Iran, the UAE, Oman,
Delhi, Punjab, Haryana, Rajasthan Qatar, Bahrain and Kuwait.
managing director, and Gujarat will not only have a direct
Maersk India, service coverage into the To a question on port rotation,
Fact file
Mediterranean ports and Middle East Soomar said that the new rotation of
told CARGOTALK from Pipavav but will also be able to ME3 service will be Pipavav (India),
n Maersk Line is the only carrier
to provide direct service from
in an exclusive enjoy faster transit time, shor ter Nhava Sheva (India), Por t Said Pipavav into the Middle East and
inland haulage time, cheaper inland (Egypt), Algeciras (Spain), Tangier Mediterranean ports
meeting in haulage and improved service (Morocco), Tarragona (Spain), Gioia n First call of further enhanced
Mumbai. reliability that comes from a regular Tauro (Italy), Salalah (Oman) and ME3 service at Pipavav is
scheduled for April 6, 2009
weekly service. Jebel Ali Dubai (UAE).
n Pipavav call follows addition
In his special comments on the When asked to give details of of Jebel Ali call on ME3 service,
new service, Soomar observed, Jebel Ali Por t addition in ME3 which has made it a fast, direct
and fixed-day service
“Maersk Line is the only carrier to service, Soomar said that the

APRIL - 2009 CARGOTALK 33


FAMILY
ALBUM

ACCM annual ball presents an evening of fun


The members of Air Cargo Club of Madras (ACCM) and their spouses attended the Club’s
annual ball in large numbers at Hotel Royal Le Meridien in Chennai on March 14, 2009. The
members of Rwacky Academy of Dance gave a scintillating performance and fabulous gifts.

34 CARGOTALK APRIL - 2009 www.cargotalk.in


LOGISTICS
SERVICES

New Globe Logistik


holds customer familiarisation event
V. R A M A N U J A M

Veteran
“T he event offered a
rare
bringing
oppor tunity,
transparency,
New Globe adds new product
total logistics openness and complete In a separate meeting with this cost cycles in logistics is also very
understanding between New correspondent, Ashwin Didwania, impor tant. Companies are becoming
solutions Globe personnel and their director, New Globe Logistik, said that smarter and looking for new solutions to
provider New clients and vendors,” said the company has manage the crisis better.
Anand Didwania, managing introduced a new Our new product is cost-
Globe Logistik
director, New Globe Group. product for air export effective and New Globe is
India held consol. The highlight offering it without
a customer During an exclusive of the product is that compromising on quality.”
meeting with CARGOTALK at it offers flat rate of
familiarisation his Mumbai headquar ters, Explaining how it
shipments to most
event on Didwania informed that at the of the European will benefit small
consignments too,
February event, an elaborate joint destinations.
interaction with top-level Didwania said the new air
20, 2009. representatives of airlines When questioned consol product would offer
The event and shipping lines fostered about the logic, a flat rate on fixed bi-
Didwania replied, “We weekly services ex-India
brought better understanding and
at New Globe feel the to major destinations
harmony within the group.
together need for new products worldwide. “This rate is
Ashwin Didwania
exporters, “In these difficult times to join our traditional offered due to our bulk
when the world is passing freight and logistics industry to help booking of space with airlines and cost
importers, customers become more competitive in benefit of the same is passed on to
through an unprecedented
airlines and economic crisis, the need for the global market. I feel that the current customers who would otherwise pay
shipping familiarisation and openness slowdown, believed to be damaging the higher rates for lower weight slabs. The
plays an even greater role. world manufacturing sector, is also target market is the lower weight slabs,
representatives New Globe has a legacy of offering an opportunity for companies to which is currently moving at high freight
to help customers being customer-centric. Our change their strategies and processes, rates. We have taken this step with the
become more customer familiarisation event leading to launch new initiatives to help aim of improving costs and
resulted in an excellent sustain competency. Competency in TD competitiveness of shippers of small
competitive in the environment between our delivery of goods and maintaining lower consignments,” he said.
global market. group and our clients as
well as vendors paving the
way for a promising future,” battled by building relationships
said Anuj Didwania, director, and investing in the same instead
New Globe Group. of cutting back on such activities.
New Globe feels that in the long-
Numerous ideas were term, this is the way to succeed
exchanged at the joint in a business characterised
gathering for doing business by strong interpersonal
more effectively. New Globe’s relationships,” he added.
company-vendor-client get-
together was greatly Over 200 members of the
appreciated by all, he added. trade and transport industry
“We will hold similar get- participated in the New
togethers in other locations (L-R): Anuj Didwania & Mahendra Sonsurkar
Globe customer familiarisation
as well,” he informed. time,” said Mahendra Sonsurkar, programme, which turned out to be
“New Globe has taken a director - finance, New Globe. “We at a grand success, giving complete
Anand Didwania conscientious decision to invest in its New Globe believe that the current satisfaction to the host company and
clients and vendors at this critical global economic downturn should be the customers as well.

36 CARGOTALK APRIL - 2009 www.cargotalk.in


GUEST
COLUMN

Logistics in India
gears up to meet growing demand
ANIL KHANNA industry’s capital expenditure is the next 10 years. Blue Dart has
increasing progressively to almost recently inducted a Boeing 757

I ndia is estimated to spend 13 to 14


per cent of its Gross Domestic
Product (GDP) on logistics. The major
match its revenue growth - a strong
indicator of both logistics companies
desiring to become integrated
freighter to take its fleet strength to
seven freighters - four B-757s and
three B-737s.
Realising logistics functions for Indian service providers and the industry
the potential industries include transpor tation, enjoying investment-driven growth. Infrastructure congestion: Key
warehousing, freight forwarding and challenge
in the logistics Blue Dart, South Asia’s leading
management of information systems
market, logistics express air and integrated Indian logistics industry is
(MIS). Of these functions,
transportation, distribution and currently hampered due to lack of
transportation and freight forwarding
service providers logistics company and a part of DHL superior infrastructure in roads (over
have been traditionally outsourced to
are expanding group jointly invested over US$ 25 70 per cent of freight transportation
external service providers with
million in a 220,757 square feet in India is via roads), por ts and
their basket relevant expertise and infrastructure.
state-of-the-art and first-of-its-kind complex regulatory structures.
The warehousing and MIS functions
of services as Infrastructure, both air
companies and surface, continues to
remain a serious challenge.
are looking There are severe space
for more constraints in most Indian
airpor ts. The airside and
than just cityside infrastructure are often
transportation inadequate to handle the
growing logistics demands.
of its products
and raw The National Highways
form only 2 per cent of the
materials. entire road network in India but
CARGOTALK has are forced to handle over 40
per cent of the national road
more details freight traffic, putting
on the same. enormous pressure on highway
infrastructure. Also, on an
average, a commercial vehicle
in India runs at a speed of 20
miles per hour (mph)
compared to over 60 mph in
the mature logistics markets of
have been mostly managed in-house integrated facility in Bengaluru Western Europe and USA.
by the industries. International Airport (BIAL). This
combined facility that handles both Prospects for logistics service
Today, more and more domestic and international express providers in India
companies across ver ticals are operations at BIAL brings substantial
increasingly seeking end-to-end synergies in operations like reducing India’s logistics market is
solutions from logistics services throughput handling time, expected to experience a double-digit
providers to reduce logistics cost and streamlining processes and optimising growth. Today, India is emerging as
focus more on their core the utilisation of space and common an important source hub for many
competencies. Logistics players with resources. The facility augments the industries. Besides, we have a large
right capabilities are also increasing dedicated aviation network with its consumption base with the expansion
investments to become end-to-end own maintenance, ground handling of secondary markets. The Indian
integrated players. As per the and airside-cum-cityside operations market is no more restricted to metro
investment plans of leading service capabilities. Further, it is also scaled cities but spreading over to tier II and
Anil Khanna tier III cities. Indian logistics market
providers in India, the logistics to accommodate future growth over

38 CARGOTALK APRIL - 2009 www.cargotalk.in


GUEST
COLUMN

is slated to grow at a compound its product range and improve sustainable approach to transform Express Pallet: It is a convenient,
annual growth rate (CAGR) of over service quality, thereby offering business, increase customer flexible and economical way to send
16 per cent from 2007-10. This is a customers state-of-the-ar t air satisfaction and continually improve goods internationally. The units come
strong indicator of the potential of and ground express solutions across service quality for customers. in three sizes of 50 kg, 75 kg and
the logistics industry. the country. 100 kg and are designed to
Net Promoter Approach (NPA) : accommodate a variety of products.
Strong growth enablers exist in Some of these products are It is a discipline to help companies
India in the form of infrastructural Economy Select
investments, phased introduction of (ESI): It is a product
value added tax (VAT) and which travels on deferred
development of organised retail and line haul (multimodal or
agri-processing industries. In cheaper linehauls) and
addition, strong foreign direct cost savings are passed
investment (FDI) inflows in on to customers. ESI is a
automotive, capital goods, reliable door-to-door
electronics, retail and telecom will service for not-so-urgent,
lead to increased market yet time-sensitive heavy
opportunities for logistics providers shipments. It combines
in India. economical price based
acceptable deferred time
Factors fuelling growth of bound deliveries.
logistics industry in India
With the collective
Logistics assumes central activity economic benefits of
in growth areas. It is one sector growing per capita
which will be the backbone of the disposable incomes, fast
flourishing trade activity and growing manufacturing
infrastructural development and and organised retailing
receive special attention by the sectors, increasing
government and the private sector in external merchandise
the coming years. trade and infrastructure investments,
designed specifically for industries understand their customers’ specific the logistics sector is set to witness
with time definite requirements and needs and incorporate the needed considerable growth in the next five
Rural logistics is set to
there are others, which cater to changes to ensure customer delight. years. Automotive, pharmaceutical,
contribute a larger share to this with
vertical specific requirements, thus manufacturing, retail and FMCG
rising disposable incomes, changing Blue Dart, in association with
giving the much-required flexibility to sectors are increasingly opting to
lifestyle, focus of government and DHL, has launched the following
the shipper and consignee. outsource its logistics requirements
private sector on rural and products in the last few months:
agricultural related activities. Rural to specialised service providers. The
Blue Dart’s quality initiatives like
logistics has received special Duty & Taxes Paid (DTP): This is key drivers for logistics outsourcing
First Choice and Net Promoter
attention in the past two to three a value-added service that allows are the corporate trends of
Approach (NPA) are aimed at
years. Rural logistics, though an exporter from India to manage focussing on core operations,
strengthening and enhancing Blue
lucrative, has a number of competitive pressure and increasing
challenges, which makes it difficult to global trade.
tap the potential. Development Major logistics functions for Indian Logistics service providers in
of cold chain/warehousing
industries include transportation, India are gearing up to meet
infrastructure also remains at
the growth demand, incorporating
the core of the government’s
warehousing, freight forwarding and value-additions in services and
plan to enable growth of rural
customising its supply chain
areas. Likewise, providing
employment opportunities for rural management of information systems management solutions.
youths and meeting India’s Anil Khanna is the managing
growing food demand, etc. are some Dart’s premier position as the leading his shipping requirements seamlessly. director, Blue Dart Express
of the other challenges. air and ground express distribution For outbound shipments, DHL entity

Take for instance, Blue Dart, a


service provider in India. overseas clears the shipment and the
amount is recovered from the
Logistics industry
pioneer in many service aspects, is consignor or shipper. n India’s industry is hampered
First Choice: A global initiative by
well poised to take advantage of due to lack of superior infra-
Deutsche Post DHL, it will transform Prepaid University Express:
such growth parameters. The structure in roads, ports and
the way we do business and enable Blue Dar t recently announced complex regulatory structures
company is planning to roll out 25
us to consistently deliver a superior the super-saver University Express: n Logistics providers are incor-
new product and quality initiatives in
service experience to our customers Pre-paid coupons, which is a value- porating value-additions in serv-
a phased manner over one year’s
to become their first choice. First added service for university ices and customising supply
time. The new initiatives will upgrade chain management solutions
Choice is a systematic and applications worldwide.

40 CARGOTALK APRIL - 2009 www.cargotalk.in


FAMILY
ALBUM

More participants at ACCD annual ball


Air Cargo Club of Delhi organised its annual ball at Nitish Kunj, New Delhi,
on March 7, 2009. The meticulously organised event was attended by around
750 club members and their spouses, which is an increase of about
100 members compared to the annual ball of 2008.

42 CARGOTALK APRIL - 2009 www.cargotalk.in

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