Discover how the logistics industry is navigating through 2024’s challenges and innovations, as Dr. Vikash Khatri, Founder, Aviral Consulting, shares insights into sustainability, growth, and strategies for a resilient, future-ready supply chain ecosystem.
Businesses must align cost efficiency with customer-centricity for sustainable growth
Reflecting on 2024
The logistics sector in 2024 experienced moderate growth of approximately 8 percent, despite geopolitical issues and inflationary pressures. Initiatives like Production-Linked Incentives (PLI) and infrastructure development acted as key tailwinds. While manufacturing showed single-digit growth, e-way bill generation rose by 15 percent, signalling a thriving domestic transportation market. Quick commerce (Q-commerce) grew by over 75 percent, boosting intra-city logistics, and sustainability initiatives like LNG-powered trucks reflected the industry’s commitment to cleaner practices. Encouraging monsoons and reduced inflation promise brighter prospects for 2025.
Sustainability benchmarks for 2025
Achieving sustainability in logistics requires setting dual-focused goals. First, prioritise initiatives that simultaneously enhance efficiency and reduce environmental impact, such as adopting electric vehicles, optimising loads and routes, and green warehousing. Second, include socially responsible measures like eco-friendly packaging, even if their financial benefits are less direct. Balancing these objectives will help the industry create sustainable, efficient, and resilient supply chains.
Viksit Bharat 2047: The vision takes shape
India’s ‘Viksit Bharat 2047’ vision revolves around infrastructure, technology, and regulation. The PM Gati Shakti program is a cornerstone, set to boost throughput efficiency and reduce costs. Infrastructure projects aim to shift India’s transport modal mix from road-heavy to more balanced options like rail and waterways. The National Logistics Policy aligns regulations for seamless coordination, creating a unified approach to logistics and supply chain management. With these measures, the sector is on track to underpin India’s economic ambitions.
Cost and customer harmony
As 2025 approaches, businesses must align cost efficiency with customer-centricity for sustainable growth. These two elements complement each other rather than compete. Efficient resource allocation that reduces costs while maintaining service quality leads to enhanced customer satisfaction. Staying adaptable and competitive in a dynamic market is key to achieving this balance.
Collaboration: The key to future readiness
Deep collaboration between technology providers, logistics companies, and policymakers is essential for building a future-ready logistics ecosystem. Clear governance structures and shared objectives are crucial. Stakeholders must align on mutual benefits and shared goals to foster seamless cooperation, ultimately driving innovation and resilience in the sector.
By addressing these aspects, the logistics industry is poised to meet challenges head-on, setting the stage for innovation and growth. As the sector evolves, its role in shaping India’s economic future remains indispensable.
