1. REPORT
SanJeet
Editor
EDITORIAL
# 1 IN CIRCULATION & READERSHIP
The Indian air cargo industry is on
a high.The Government is in a fast
track mode and is finalising agencies
to initiate operations at the 22 domes-
tic air cargo terminals. At the end of
June 2015, CSC had got the contract
for Mangalore International Airport
and now Delex has bagged it for
Vishakapatnam Airport. The aim of
the Government is to uncap the
potential of tier – II cities as most of
the business takes place in these
cities. Indev Air Freight Station
has also started its operations from
August 1, 2015.
The India Warehousing Show IWS
held in Delhi brought to light the
challenges and high points in supply
chain and warehousing processes. It
was the first time that IWS focused on
the role of airports in enhancing
supply chain efficiency and invited
speakers from the air cargo fraternity
to discuss the same.
The air fraternity celebrated
‘Aviation Day’ on July 14, 2015 by dis-
cussing the issues and challenges of
aviation industry. What was missing
though—a discussion on cargo!
The eCommerce industry is also
on the rise. Many large eCommerce
players such as Snapdeal and Xiaomi
are planning to invest in logistics and
supply chain services.
In this issue, we have also dis-
cussed solutions to the infrastructure
challenges with the logistics industry
veterans. ASSOCHAM has recently
presented the idea of setting up
Freight Villages to the Centre.
And on the aviation front, the air
cargo industry seems to be fascinated
with the idea of creating more cargo
villages in the country for speedier
custom clearance services of import
and export consignment.
Industry upswing
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SanJeet
Editor
Ambica Gulati
Desk Editor
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Reporter
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National Head - Sales
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Sr. Marketing
Co-ordinator
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U22210DL2012PTC230432
Driving excellence in SCM
The Confederation of Indian Industry Institute of Logistics organised the
Auto SCM 2015 Conference on July 23, 2015. It laid focus on the trends
impacting supply chain, where GST can be a game changer, along with the
role of strategic sourcing adopted by various supply chain companies.
CT BUREAU
GST will take India far
ahead of China
If GST comes about, it will be one of
the finest things to happen in India.
The way GDP is measured was
changed a few months back, result-
ing in a jump in our GDP by a few
thousand points. A lot of research
shows that implementation of GST
can further increase the GDP growth by 1.2 to 2.9 per cent
at a weighted average of about 2 per cent of the GDP. Both
factors will make India the fastest growing country in the
world, far ahead of China.
Anshuman Singh
Managing Director & CEO, Future Supply Chain Solutions
Supply chain is auto industry's neurovascular system
India needs to badly implement what Japan did with MITI (Ministry of International
Trade and Industry), in which the Government worked closely with the industry,
leading the economy to a fundamentally strong growth path.The complexity of get-
ting GST implemented is unimaginable.Supply chain is the neurovascular system
of the automotive industry, whether it concerns the dealer (to overstock or under-
stock) or any other part, be it the movement of goods in an efficient way to the right
place at the right time.
Sudhir Rao
MD, Skoda Auto India
GST puts to rest the 1%
levy on stock transfers
GST is on its way to being imple-
mented. The concept has been
here since 2006, frequently
appearing in the Finance
Minister’s Budget speech. The
Rajya Sabha Committee, which
was asked to review the GST bill,
has recommended one per cent additional tax on orig-
ination basis, which is not creditable, to be applicable
only for sale of goods and not on stock transfers.This
puts to rest the one per cent levy on stock transfers
which was proposed earlier.This could operate similar
to the current CST levy. Of course, the c-forms are done
away with under GST regime.
MSVasan
Director – Finance, General Motors India
Aim of GST is to make
things simpler
There are internal factors which
add to the complexity of imple-
mentation of GST. The objec-
tive of GST is to make things
simpler and standardised.The
purpose is to achieve certain
efficiencies, which may lead to
increase in productivity and ultimately overall cost
reduction. With GST, instead of competing in the back
end, the Original Equipment Manufacturers can com-
pete in the market place.
DK Rai
Director – Automotive, CHEP – India
Vendor-managed
inventoriesneedtobetested
It is believed that check posts
will vanish with GST.This will be
a benefit for transporters as the
overall turnaround time will
reduce, leading to an increase
in profitability, which in turn
would lead to better quality
vehicles and drivers.The other important impact of GST
is that there will be a better match of supply to demand
because inventories at several locations will start
consolidating.Also, vendor management of inventory as
a concept has not yet been fully realised.The new GST
regime will encourage the implementation of vendor-
managed inventory.
Arif A Siddiqui
Founder Director, Coign Consulting