Pragmatic prospects that proof the play
Well doesn't that sound like a tongue twister? Even though more than a month away, we're almost quite jovial about the upcoming year and how it is going to shape the industry. After all, hope is what holds the world together. The year 2022 has been a roller coaster, but the industry has shown signs of strength and resilience like never before. Sure, there were plenty troughs, but looking on the bright side, the peaks exceeded, while also holding hands with sustainability. We've assembled a few pieces in this newsletter that hint towards the peaks. Read on for more!
A major contributor to the growth of India's supply chain industry has been the increase in the 3PL format. In fact, in India, third-party logistics is estimated to increase by $10.74 billion, at an 8% CAGR, between 2021 and 2025. To facilitate this growth, the 3PL industry is becoming a substantial job creator, and driven by the 3PL format, India's logistics sector is poised to employ about 8 lakh people by the end of this year.
The Gulf Cooperation Council (GCC), the concord of 6 Gulf countries - Saudi Arabia, UAE, Qatar, Kuwait, Oman and Bahrain - is a boat-load of potential trade opportunities, making it the ideal choice for India to sign a Free Trade Agreement with. It is expected that an Agreement, when signed and sealed, will give a boost to India's exports to the global as well as respective markets of each GCC member, and stimulate overall economic ties. According to sources, India is to start negotiations for the FTA with GCC next month.
India country has witnessed a considerable jump in number of EVs being used commercially, and driving this jump is the e-commerce sector. I would say, and you may agree, that India is on the right path to electrify its logistics sector. Many e-commerce companies have made it a point to shift a large part of their last mile delivery, if not the entire fleet, on electric vehicles.?Earlier this year, Tata Motors (Commercial) announced the signing of a strategic MoU with leading e-commerce companies and logistics service providers, which includes delivering 39,000 units of their commercial bestseller Ace EVs, setting up dedicated EV Support Centres, and deployment of Tata Fleet Edge.
The dedicated freight corridor has helped the modal (freight movement) shift from roads to the rail in India, said a report by credit ratings agency CareEdge. As per the report, container cargo transported through railways (rail volumes) rose by a healthy 17.63 percent year-on-year to 74.38 million metric tonnes during the previous fiscal as compared to 12.51 percent growth in overall container cargo volumes.
领英推荐
After a drop of 2.2% and 6.1% in 2019 and 2020 (compared with the previous year), the European Union’s rail freight transport is now looking up. It is on the path of recovery after it went up by 8.7% in 2021, said Eurostat, the statistical office of the EU. The fourth quarter of 2020 showed the first sign of recovery when data pointed to a 5.1% increase compared with the same quarter of the previous year. This trend gradually continued in all quarters of 2021.
CBRE Group, world’s largest commercial real estate services and investment firm, announced the findings of its latest report, ‘India Market Monitor – Q3 2022’. The report highlights the growth, trends, and dynamics across all segments of the real estate sector in India. A major finding was 40% Q-o-Q (18% Y-o-Y growth) rise in Q3 for Industrial and Logistics leasing. Q3 2022 saw steady performance owing to expansion by occupiers and release of pent-up demand, which is manifesting itself despite inflationary trends in the economy.
DB Schenker extends its portfolio of climate-friendlier logistics solutions by opening the next chapter of greener transport in air freight. With immediate effect, customers can choose Sustainable Aviation Fuel (SAF) for their air transport to anywhere in the world and independent of the type of aircraft or airline used. Via virtual allocation of the biofuel, it is possible to avoid up to 100% of CO2 emissions.
Prime Minister Narendra Modi recently inaugurated the second Terminal of Kempegowda International Airport (KIA) at Bengaluru, Karnataka. Built at a cost of around Rs. 5000 crores, the 2,55,645 sq.m. Phase 1 of T2 will initially serve as an exclusive terminal for domestic flights as T1 will continue to cater to international operations. T2 will commence full-fledged operations from the end of December as a domestic terminal catering to 25 million passengers a year.
India’s Grade-A warehousing sector is poised to become a US$ 2.8 billion industry in the near future, showing a growth of 15%by 2025, says the India Warehousing Report by CREDAI and Anarock.As per the report, the growth will be driven by increasing demand over Grade-B and Grade-C office spaces which are not big enough for emerging needs for modern and large infrastructure.?The report says, a total of 48.5 million sq.ft. of Grade-A warehouses have been leased in top 7 cities in 2021 and it’s expected to reach 55.8 million sq.ft. by end of 2023.