The inaugural session of the CargoNXT conference, titled “Building the Future: Government’s Initiatives in Supply Chain and Logistics Infrastructure,” highlighted essential government efforts in logistics, skill development, sustainability, and compliance, featuring valuable insights from industry leaders and policymakers.
The inaugural session of the CargoNXT conference, held on September 6th at The Park Hotel, New Delhi, opened with dynamic discussions on the theme “Building the Future: Government’s Initiatives in Supply Chain & Logistics Infrastructure.” The session was moderated by S. Ramakrishna, Managing Director of Balaji Mariline. Esteemed speakers, including Sanjay Swarup, CMD of CONCOR; Prof. (Dr.) Manoj Choudhary, Vice Chancellor of Gati Shakti Vishwavidyalaya; Dushyant Mulani, Chairman of FFFAI; Shobhit Bhatnagar, Director at DFCCIL; and Santosh Sinha, MD, Central Warehousing Corporation, and Former Executive Director, CONCOR, shared valuable insights on government initiatives, sustainability, regulatory reforms, and infrastructure development shaping India’s logistics landscape.
The session set a dynamic tone for the conference, emphasising the significant role of LNG technology, skill development, and collaborative efforts to address key industry challenges such as compliance and infrastructure. The discussions provided a forward-looking view of the sector’s rapid growth and the opportunities for innovation and sustainability in logistics.
Driving sustainability
While electric cargo vehicles are still in trial phases in India, CONCOR is keen to adopt them for short distances once they become viable
“CONCOR moved 52 million tons of containerised cargo, with 95% of it by rail last year, to shift cargo from road to rail. The environmental benefits of rail transport and the efficiency of the Dedicated Freight Corridor (DFC), highlight the success of double-stack timetable trains covering long distances in significantly less time compared to road transport. Rail is greener, faster, and now more cost-effective due to tariff rationalisation, leading to an 11-12% shift from road to rail, with further gains expected once the DFC reaches Navasheva.
CONCOR procured 100 LNG trucks deployed in Baroda, Chennai, and upcoming in North India once the first LNG pump is established to boost first- and last-mile connectivity.
This is aimed at reducing pollution, particularly in the NCR region. CONCOR has also signed an MoU with NTPC for solar panels at terminals, with plans to expand these installations nationwide.
While electric cargo vehicles are still in trial phases in India, CONCOR is keen to adopt them for short distances once they become viable. The LNG trucks have a load capacity of up to 55 tons, making them suitable for container movement.”
~ Sanjay Swarup, CMD, CONCOR Group
A focus on skill development
“Gati Shakti Vishwavidyalaya plays a critical role in advancing skill development for the logistics sector. Even though we’re located in Gujarat, our reach extends nationwide. We support the Indian government’s vision for Viksit Bharat, with substantial investments of ₹11.1 lakh crore for infrastructure and ₹1.5 lakh crore for skill development.
We are India’s only central university dedicated specifically to the transportation and logistics sectors. We offer a range of programs, from B.Tech to Ph.D., and we incorporate advanced technologies like AI, IoT, blockchain, and data analytics into our curriculum. This ensures that our graduates are well-equipped for industry innovation. The growing importance of technology in logistics is undeniable. We’re witnessing advances such as optimised route planning, predictive maintenance, and smart automation. Our university also focuses on specialised areas like metro rail management, port and shipping logistics, and aviation engineering.
Additionally, Gati Shakti Vishwavidyalaya provides training for both new entrants and existing professionals. We partner with organisations like the Indian Army and Bharat Petroleum to offer advanced training programs. As logistics continues to become more technology-driven, our graduates are prepared to implement innovations like IoT-enabled tracking, blockchain verification, and data-driven decision-making.”
~ Prof. (Dr.) Manoj Choudhary, Vice Chancellor, Gati Shakti Vishwavidyalaya
Compliance and regulatory reforms
Developing a white paper to be submitted to government authorities, aimed at streamlining compliance for importers, exporters, and customs brokers should be considered.
“We’ve seen a significant rise in compliance demands over the past five years. This increase largely stems from India’s alignment with international standards and treaties, with the CBIC playing a pivotal role. While major corporations have the mechanisms to handle compliance, smaller businesses, particularly MSMEs, are struggling to navigate these requirements. We definitely need reforms to simplify these processes. Developing a white paper to be submitted to government authorities, aimed at streamlining compliance for importers, exporters, and customs brokers should be considered. We are currently collaborating with the GST department to address the increasing number of compliance notices issued to businesses. We need to advocate for a trust-based working environment. There’s a significant disconnect between discussions on regulatory reform and the practical ease of compliance for the industry. We need actionable changes that enhance transparency and make compliance more manageable.”
~ Dushyant Mulani, Chairman, FFFAI
Infrastructure development and DFCs
“We have only 104 kilometres left to complete on the Western Dedicated Freight Corridor (DFC) between New Safale and JNPT, with a target completion date set for December next year. The Eastern DFC from Dankuni to Ludhiana is making significant progress, especially the section from Sonnagar to Andal. The East-West Corridor focuses on iron, steel, and coal traffic, greatly improving coal supply to thermal powerhouses, while the Western DFC has seen a 56% year-on-year growth in container handling. Additionally, we’ve successfully connected Dadri to the Western DFC, enabling efficient double-stacked container train operations.
Under the Gati Shakti Cargo Terminal Policy, we plan to develop 20 new terminals this year. However, we face challenges with inadequate road infrastructure at DFC stations, especially village roads that can’t accommodate heavy trucks. I commend the Rajasthan government for allocating funds for road improvements and mention that we’re in discussions with the governments of UP and Gujarat for similar initiatives. I urge the inclusion of MSMEs in terminal operations at reduced rates, as the new low-cost terminals costing between ₹9 to ₹15 crores will create significant opportunities for smaller businesses. Finally, I appreciate the IRTS team for their excellent efforts in supporting these initiatives across various governmental bodies.”
~ Shobhit Bhatnagar, Director – Operation & Business Development, Dedicated Freight Corridor Corporation of India
Multimodal logistics and CWC’s role
“Central Warehousing Corporation (CWC) has a significant potential and its impressive history, especially in establishing warehouses when they were in short supply and enhancing its role in multimodal logistics. CWC holds a CTO (Container Train Operator) license, and I believe we must expand our footprint in domestic transportation while effectively utilizing our ICDs and warehouses.
Drawing from my engineering background and experience at CONCOR, I envision integrating advanced IT solutions into CWC’s operations. We need to leverage big tech, including artificial intelligence, to optimize logistics processes and lower the country’s logistics costs in alignment with national objectives. At CONCOR, we implemented innovations, particularly in first-mile and last-mile operations, where real-time reverse auction systems provided customers with the best transportation deals. I emphasize the importance of adopting similar innovations at CWC to boost efficiency and competitiveness.”
Reflections and suggestions
“I want to emphasize the significant investments we are making in logistics infrastructure across railways, roadways, and waterways. It’s crucial that we achieve synergy between these modes to further reduce logistics costs. I suggest we develop multi-story warehouses in high-cost urban areas like Delhi and Mumbai to optimize space and lower expenses. We could house outdoor-storable cargo in these facilities to make the most of our resources.”
~ S. Ramakrishna, MD, Balaji Mariline
Conclusion
The discussions at CargoNXT showcased a robust dialogue on the challenges and opportunities within the logistics sector. From regulatory reforms and infrastructure development to skill enhancement and collaborative efforts, the insights shared by the panellists reflect a unified vision to advance the logistics industry in India. The session underscored the importance of continued collaboration among industry stakeholders, government bodies, and educational institutions to drive innovation and efficiency in the sector.