2024 marks a pivotal year for India’s logistics sector with significant advancements and challenges. Nikhil Agarwal, President, CJ Darcl Logistics, shares his insights on how technological integration, sustainability, and collaboration are driving the industry’s progress towards 2025 and beyond.
By 2025, the sector will adopt advanced technology for integrated logistics
Advancing Infrastructure
India’s logistics sector saw substantial progress in 2024, propelled by government initiatives aimed at improving infrastructure. Projects like multimodal logistics parks, transshipment hubs, and new freight corridors have enhanced the industry’s efficiency. Nikhil Agarwal highlights the increased adoption of AI, IoT, and blockchain as key enablers in transforming the logistics landscape. However, challenges such as insufficient rural infrastructure and a skilled labour shortage remain, which the government is addressing. Looking ahead to 2025, these issues are expected to be mitigated, creating a more connected and efficient logistics network across the country.
Sustainable practices
As e-commerce continues to grow, logistics must evolve to meet customer demands for faster and more efficient deliveries. Agarwal emphasises the importance of green logistics, particularly the adoption of electric vehicles and alternative fuels to reduce emissions. He advocates for smarter warehouses and the integration of technologies like demand forecasting and predictive analytics powered by AI and blockchain to enhance supply chain efficiency. By 2025, the logistics industry is expected to see widespread adoption of these green and tech-driven practices, leading to a more sustainable and efficient supply chain.
Vision for 2047
India’s ‘Viksit Bharat’ Vision for 2047 outlines a roadmap for inclusive growth and sustainable development. Agarwal underscores the role of logistics in achieving this vision, with policies like PM Gati Shakti and Bharatmala supporting sector growth. Logistics companies need to invest in technologies like autonomous vehicles, AI for demand forecasting, and fleet safety to stay competitive. By 2025, the industry is expected to integrate more automation and digital solutions, positioning India as a global leader in logistics. By collaborating with the government on infrastructure projects, the logistics industry will play a pivotal role in building a resilient and future-ready ecosystem, laying the groundwork for the nation’s sustainable growth.
Balancing priorities
As the logistics industry grows with e-commerce, the need to balance cost-efficiency and customer-centricity is crucial. Agarwal believes that leveraging innovative solutions like real-time tracking, hyperlocal fulfilment centres, and efficient last-mile delivery networks will help meet customer demands while reducing costs. By 2025, the logistics sector will be expected to further streamline operations using digital tools to reduce waste and ensure faster, more reliable deliveries.
Collaborative efforts
For India’s logistics sector to reach its full potential, collaboration among technology providers, logistics companies, and policymakers is essential. Agarwal stresses the importance of creating flexible, future-ready regulations that encourage the adoption of AI, IoT, and autonomous vehicles. By 2025, the sector is expected to embrace even more advanced technology, leading to a fully integrated digital logistics ecosystem. Collaboration among stakeholders will foster a tech-driven logistics environment, supporting long-term, sustainable growth and enhancing India’s global competitiveness in logistics. The collaboration will be key to realising a future-ready logistics environment.
