Presentation by K Mohandas at the CII Logistics Conclave at Kochi on 1 August 2016

1. Presentation by
K Mohandas
at the CII Logistics Conclave
at Kochi on 1 August 2016

2.  HIGH COST – (c.14% ?)
 LOW EFFICIENCY
RANK IN WORLD BANK’S LOGISTICS
PERFORMANCE INDEX, 2016: 35

3. 1. INFRASTRUCTURAL DEFICIENCIES
Physical & Communication
-Inadequate Highways
-Port Congestion & Inadequate Draft
-Rail woes
-Poor IT Network
2. UNFAVOURABLE INTERMODAL MIX
-Road Transport about 60%
-Coastal Shipping just 6%
-High Rail Tariffs
(contd)

4. 3. MISSING BENEFIT OF THE ECONOMIES OF SCALE
-Small Trucks and Warehouses
-Unorganised Small Players
4. COMPLEX TAX SYSTEMS
-Commodity Taxation
-Vehicle Taxation
-Checkposts
5. PROCEDURAL COMPLEXITIES

5.  GOVERNMENT INITIATIVES
 MARKET COMPULSIONS & OPPORTUNITIES
and PRIVATE INITIATIVES

6. # INFRASTRUCTURE
1. ROADS
NHDP, SARDP-NE, NHIIP, Asian Highways
Bharat Mala
2. PORTS
New Ports
Sagarmala
Major Ports Reforms
Abolition of TAMP
(contd)

7. # INFRASTRUCTURE (contd)
3. RAIL
Dedicated Freight Corridors
Rs 8.5 lakh cr investment in 5 years
100% FDI under Automatic Route for most
PPP in several areas
4. WAREHOUSING
FTWZ
5. MULTIMODAL LOGISTICS PARKS
6. INLAND WATERWAYS

8. # POLICIES FOR GROWTH OF ECONOMY&TRADE
1. Make in India
- Focus on the Ease of Doing Business
2. FDI Policies
-100% FDI in most sectors incl Defence & Aviation
3. Trade Policies
4. Tax Policies
- GST
5. Promotion of Coastal Shipping
6. Digital India

9. 1. Demand for Integrated End to End Logistics
Solutions
2. Outsourcing Supply Chain and Warehousing
Services
3. E Commerce–specific Logistics Solutions
4. Emergence of New Consumption Centres
5. Industry Consolidation
-Mergers & Acquisitions
-Entry of Global Companies & PE Funds

10. KEY DRIVERS – MANUFACTURING, FOREIGN
TRADE AND DOMESTIC CONSUMPTION
 QUALITY INFRASTRUCTURE
 INTELLIGENT SYSTEMS
 GREEN TECHNOLOGIES
 QUALIFIED PROFESSIONALS
 EFFICIENT ADMINISTRATION
 RATIONAL RAIL, PORT TARIFFS & FUEL PRICES

11. THANK YOU