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Cargo talk SOUTH ASIA’S LEADING CARGO MONTHLY No.1 in Circulation & Readership MARCH 2014 Postal Reg. No.: DL (ND)-11/6002/2013-14-15. WPP No.: U (C)-272/2013-15, for posting on 25th-26th of advance month at New Delhi P.S.O. RNI No.: DELENG/2003/10642 Date of Publication: 22/2/2014 Vol XIV No.4 Pages 52 Rupees 50 cargotalk.in By DDP Publications How to streamline it CARGO HANDLING PROCEDURES

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Page 1: Cargotalk March 14

CargotalkSouth ASiA’S LeAding CArgo MonthLy

No.1 in Circulation & ReadershipMArCh 2014

Postal Reg. No.: DL (ND)-11/6002/2013-14-15. WPP No.: U (C)-272/2013-15,for posting on 25th-26th of advance month at New Delhi P.S.O.

RNI No.: DELENG/2003/10642 Date of Publication: 22/2/2014

Vol XIV No.4Pages 52

Rupees 50cargotalk.in

By DDP Publications

How to streamline it

Cargo Handling proCedures

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editorial

SanJeetEditor

DDP Publications Private LimitedNEW DELhI: 72 todarmal Road, New Delhi – 110001, India.Tel.: +91 11 41669575, 41669576 Fax: +91 11 41669577E-mail: [email protected], Website: www.cargotalk.in

Branch OfficesmUmbaI: 504, marine Chambers, New marine Lines, Opp SNDt College, mumbai – 400020, India Tel.: +91 22 22070129, 22070130 Fax: +91 11 22070131, E-mail: [email protected] EaSt: Z1-02, P.O. box 9348, Saif Zone, Sharjah, UaE Tel.: +971 6 5528954, Fax: +971 6 5528956Email: [email protected]

CARGOTALK is a publication of DDP Publications Private Limited. All information in CARGOTALK is derived from sources, which we consider reliable and a sincere ef-fort is made to report accurate information. It is passed on to our readers without any responsibility on our part. The publisher regrets that he cannot accept liability for er-rors and omissions contained in this publication, however caused. Similarly, opinions/views expressed by third parties in abstract and/or in interviews are not necessarily shared by CARGOTALK. However, we wish to advice our readers that one or more recognized authorities may hold different views than those reported. Material used in this publication is intended for information purpose only. Readers are advised to seek specific advice before acting on information contained in this publication which is provided for general use and may not be appropriate for the readers’ particular cir-cumstances. Contents of this publication are copyright. No part of CARGOTALK or any part of the contents thereof may be reproduced, stored in retrieval system or transmitted in any form without the permission of the publication in writing. The same rule applies when there is a copyright or the article is taken from another publication. An exemption is hereby granted for the extracts used for the purpose of fair review, provided two copies of the same publication are sent to us for our records. Publications reproducing material either in part or in whole, without permission could face legal action. The publisher assumes no responsibility for returning any material solicited or unsolicited nor is he responsible for material lost or damaged. This publication is not meant to be an endorsement of any specific product or services offered. The publisher reserves the right to refuse, withdraw, amend or otherwise deal with all advertisements without explanation. All advertisements must comply with the Indian and International Advertisements Code. The publisher will not be liable for any damage or loss caused by delayed publication, error or failure of an advertisement to appear. CARGOTALK is printed & published by SanJeet on behalf of DDP Publications Private Limited. and is printed at Cirrus Graphics Pvt. Ltd., B-62/14, Phase-2, Naraina Industrial Area, New Delhi – 110028 and is published from 72 Todarmal Road, New Delhi – 110001.

T he air cargo industry in India is poised to leap forward. The projections and initiatives suggest that the country

has immense potential to position itself as one of the attractive hubs, in respect of manufacturing and distributions. However, the country has to take some drastic steps to make the entire air cargo supply chain, smooth and hassle-free. Regulations have to be simplified with a trade-friendly mindset. There should be a collective and collaborative responsibility for everyone to do away with the procedural hassles.

At the operational level, the industry stakeholders may adopt some pragmatic steps for mutual benefit. Industry experts say, there are a number of procedures which are the best and are implemented in some international airports. However, it is not easy to implement them on another international airport within India. Under these circumstances, the Ministry of Civil Aviation and Custom Board should have an open session with the trade members and implement the same by way of notification. For instance, the generation of shipping bill by customs which is later handed over to carriers is not required and there should be a minimum number of physical sets of documents for customs. Moreover, very less handling agents are required at certain international airports in India.

It is also suggested that there should be Document and Supervision Services to

manage all the documentation on behalf of airlines, including management of counters and back office support. For import cargo, delivery should be within four hours from the arrival of an aircraft. For export cargo, acceptance and loading should be within four hours from ETD for RFC AWBs.

Dwell time is the cumulative result of various factors and Customs clearance plays a crucial part in this regard. In India, Customs introduced the EDI in 1997. However, we are still dealing with manual interventions as our mindset is more on policing rather than on trust based acceptance. Industry stakeholders firmly believe that the country should create a proper interlinked EDI platform capable of handling cargo without any human involvement. Efforts should also be made to move to a complete and comprehensive mode of safe, secure data transfer that can be shared by the different players of the air logistic chain. In addition, a comprehensive skill development programme has to be initiated jointly by the industry and the government to adopt modern methods of cargo handling procedures.

Doing away with procedural hassles

EditorSanJeet

Sr. Assistant EditorRatan KumaR Paul

Sub EditorSHuBHI tanDOn

Asst. Vice PresidentGunJan SaBIKHI

Deputy General ManagerHaRSHal aSHaR

Regional Head: North & WestSHIv KumaR

Assistant Manager: WestROlanD DIaS

Sr. Marketing Co-ordinatorGaGanPReet KauR

DesignRucHI SInHa

Photo JournalistSImRan KauR

Advertisement DesignervIKaS manDOtIa, nItIn KumaR

aaRuSHI aGRawalProduction ManageranIl KHaRBanDa

Circulation ManageraSHOK Rana

Cargotalk

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SECTORS

naTional news8 I Arvind Nayak takes over as President, DACAAI

DHL Supply Chain to open new facilities at Tier-I cities

indusTry evenTs10 I Pharma Shippers’ Forum pushes for information sharing

Strenghtening aviation security for air cargo

12 I Safexpress unveils ‘Horn Please’ book on trucking in India

inTernaTional news14 I e-Award for cargo handlers by Lufthansa

IATA welcomes e-AWB initiatives from forwarders

Emirates wins Top Cargo Handling Airline Award in Cochin for 2013

suCCess & aCHievemenTs16 I ACAAI President felicitated by Finance Minister

Shirish Gariba, CIO DIESL voted among Top 50 CIOs

inTernaTional airlines17 I Etihad Airways to start Abu Dhabi-Jaipur services from April 2014

logisTiCs serviCes18 I Harpreet Singh Malhotra- MD, Tiger Logistics

aCademiC insTiTuTions20 I Infosys and USC partner for Center on supply chain management

40 I IIMM Chandigarh celebrates 29th Annual Day

Family album41 I ACCB Annual Ball sees an increase in attendees

42 I Celebi Cargo Terminal celebrates 4 years of operation

44 I Aviation Conference on Security

sHipping & porTs46 I DP World Chennai launches Chennai Colombo Gulf service

Adani Petronet Dahej Port handles longest project cargo

Shashi Kiran Shetty conferred with ‘Business Leader of the Year’ award

inTernaTional airporT48 I IGI Airport completes 8 years of EDI operations

COLUMNS

lead sTory30 I Shortage of Skilled Manpower: The industry initiatives

guesT Column50 I Indian Aviation Academy: Lack of skilled manpower

ContentsMarch 2014

24 I Cover sTory

Cargo Handling Procedures

How to streamline itThe cargo handling procedures in India, is an area of serious concern in the context of the end-to-end logistics management. During the last couple of years, apart from the initiatives taken by the government at the policy level, ground handling and terminal operator companies, have taken some remarkable initiatives to streamline the system. However, there is still a long way to go for improving them in India. In this issue Cargotalk highlights some key developments, challenges and recommendations for air cargo handling procedures.

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Arvind Nayak takes over as President, DACAAI

T he recently held Annual General meeting of the Domestic Air Cargo Agents Association of India (DACAAI) has elected its new managing committee for 2014-15. Arvind Nayak has been elected as President for the second time. He was the

founder President of the association. Other office bearers are Suraj Aggarwal - Vice President, Amit Bajaj - General Secretary, Sanjay Aggarwal - Joint Secretary and Ravijeet Sherawat-Treasurer. The Executive Body members include Gaurav Ghuwalewala (Immediate Past President), Hari Nair, Raj Kumar Gosh, Inderjeet Sherawat, Dinesh Digga, Amit Singh, Ismail Khan, Sanjay Khanna and Sajjan Kumar. The AGM also discussed the Road Map for 2014-15 that focussed on training and world standard work procedure for the domestic air cargo agents in India.

The AGM also decided that the DACAAI Convention will be held in Delhi in August, 2014. In this year, the association will organise more training programs in association with airlines on DGR awareness and IATA-certified DGR programmes. In addition, efforts will be made in developing Domestic Cargo Operations Training Programme.

Inter-member Cricket Matches called ‘DACAAI Cricket League’ and ‘Member International Study Tour’ will also be organised this year, for greater exposure to DACAAI members.

DHL Supply Chain to open new facilities in Tier-I cities

dHL Supply Chain has announced additional new investment in its important business in India. Since its recent announcement to invest `685 crores (USD 110.5 million) to strengthen logistics infrastructure in India, the company has moved swiftly to execute

these investments by adding one million sq ft of warehousing space with three multi-user sites in Mumbai, Pune and Gurgaon. Plans are also on track to open additional facilities in Tier 1 cities this year. “According to recent research, the 3PL market in India is growing at a faster pace than its GDP due to increased outsourcing. It will account for 13 per cent of the total logistics market in 2015, up from 6 per cent in 2008,” said Vikas Anand, Managing Director, DHL Supply Chain India.

DIPP launches integrated payment gateway

T he Department of Industrial Policy and Promotion (DIPP) under the Ministry of Commerce and Industry, recently announced the launch of the second phase of eBiz platform along with two DIPP services and an integrated payment gateway. The eBiz

project is one of the integrated mission mode projects under the National eGovernance Plan of the Government of India. The project aims at transforming the business environment in the country by providing efficient, convenient, transparent and integrated electronic services to investors, industries and businesses with of information on forms & procedures, licenses, permits, registrations, approvals, clearances, permissions, reporting, filing, payments and compliances throughout the life-cycle of an industry or business entity. The first phase of the eBiz portal, comprising information on forms and procedures, was earlier launched by the Anand Sharma, Union Minister of Commerce & Industry, at the CII Partnership Summit in Agra on January 28, 2013.

National NewsNews in Brief

Arvind NayakPresident, DACAAI

Vikas AnandManaging Director

DHL Supply Chain India

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The forum unveiled many of the problems and concerns facing India’s multi-billion dollar pharma industry

as it steps up its export drive. Speaking at the forum, Ryan Viegas, VP Supply Chain & Procurement, Watson Pharma, pharmaceutical is India’s third biggest industry, employing 350,000 people in 10,000 companies. He added that India has the largest number of FDA-approved sites outside the USA, and that the sector is growing at 20 per cent per annum. The event that followed the popular ‘Schiphol Format’ and was moderated by Enno Osinga, Sr VP, Schiphol Cargo.

The Pharma Shippers’ Forum discussed many challenges including danger of temperature excursions rendering medicines ineffective; the need to secure supply chains from counterfeit products; the lack of transparent pricing from forwarders; and the

often extreme difference between climates at origin and destination.

At this event, one airline representative spoke of the challenges faced by the airlines themselves, in selecting handling partners with the resources and correct procedures to handle temperature-controlled shipments. “There is no one standard. All the forwarders, shippers, airlines and handlers are busy designing their own, and they can be conflicting. The only way out of this impasse is for everyone to cooperate and seek a single solution that is uniform throughout the supply chain.”

According to pharma handlers, the industry needs a running document from the origin up to the destination to control the process. It is important because if something goes wrong, the handlers can see where it went wrong.

w ith the complexity of the aviation security issue, various institutions like German University of Applied

Sciences Frankfurt (FH FFM) and Centre for Aviation Studies of University of Petroleum and Energy Studies (UPES) are taking special initiatives in India for creating awareness about their programmes among the trade practitioners. Recently, they organised the second Aviation Conference at the Leela Palace Hotel, Mumbai on ‘Aviation Security: Current Threats and Challenges’. The Conference was attended by a large number of industry stakeholders, students of the MBA Aviation Management Programme.

“The main objective of our programme is to strengthen the booming aviation sector

by educating highly qualified employees. One educational measure sponsored by the European Union is our MBA Aviation Management programme that we have launched in Delhi, Mumbai and Bengaluru with over 50 Indian students.”, said Dr. Yvonne Ziegler, Programme Director of EU-India Aviation project and Professor at FH FFM.

The conference was addressed by Sanjay Karve, Director - Civil Aviation, Government of Maharashtra, Dr. João Cravinho, Ambassador of the European Union to India and Prof. K C Gandhi, Head of Centre for Aviation Studies – UPES, Peter Andres, Vice President Corporate Security, Deutsche Lufthansa, Kapil Kaul, CEO, India

& ME, CAPA, Manoj Singh, Vice President Cargo, MIAL and David Mann, Aviation Security Manager Asia-Pacific & Middle East of Lufthansa Cargo.

Dorothy Reimold, Assistant Director of IATA joined the event on video from Washington DC. “IATA, in conjunction with stakeholders around the world, are working on to enhance passenger and cargo security, optimise efficiency and improve the passenger experience,” she underlined. Cyrus J. Guzder, Chairman, Dachser India, moderated the panel discussion on “What will be the impact of the new security requirements for air cargo and mail destined for the EU (ACC3) on Indian Airports and Airlines?”

Industry EventsAir Cargo

Pharma Shippers’ Forum pushes for information sharingThe Pharma Shippers’ Forum, which was recently organised by Amsterdam Airport Schiphol in Mumbai witnessed 40 leading pharma shippers, together with representatives of logistics service providers, cargo handlers, airports, airlines and regulators.

Strenghtening aviation security for air cargo

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The coffee table book was unveiled by its authors Pawan Jain, CMD, Safexpress and Divya Jain, CEO, Safeducate (a firm which specialises in

supply chain & logistics training), on February 15, at the Delhi World Book Fair 2014. Commenting on the innovative steps, Pawan said, “The story is simple to bring to light the beauty, the excitement and the soul of trucking, and how it plays a very vital part in our everyday lives, whether we realise it or not. I have spent my entire professional life working amidst and loving an industry most would find not-so-fascinating. The truck drivers and trucks themselves are easily associated with accidents, drunk driving, traffic jams, pollution and even AIDS. However, people seldom give thought to the larger-than-life role trucking plays in India.”

Speaking to Cargotalk, Divya informed that the book captured every aspect of the trucking sector meticulously and the lives of drivers on road, from every nook and corner of the country. There were tremendous

efforts from the authors to highlight the ground reality. “It took about four years to complete the task. The book also sends socio-economic messages from drivers’ conscience,” she said. “We are trying to send the message to our society that truck drivers are not less than any celebrity. They deserve full respect as we do for soldiers or pilots. At the same time we are taking special initiatives to enhance their education and skill,” she added.

Divya informed that the book discussed the daily difficulties encountered by the truck drivers who bear the brunt of administrative and police officers, besides the general public. “We have featured their small indulgences in terms of their favourite food at their local dhabas, their little recreational activities like playing cards or smoking an occasional beedi, their struggle against AIDS, hygiene and sanitation issues, and much more,” Divya maintained.

“Indian truck is a very essential part of our lives. The Indian truck is a very integral part of celebrations and sorrows alike, playing its role in the Ganesh Visarjan in Mumbai and Durga Puja in Kolkata, as well as doubling up as a hearse for the death of leaders of the nation (Mahatma Gandhi, for example),” underlined Pawan. The same has been commendably presented in the book.

Working with a team of designers, internationally famed photo-editors and photo-enthusiasts, the authors have together created this remarkable coffee table book and, in fact, created a new history of Indian trucking and logistics industry.

“This book is a homage to the Indian Truck driver - that unknown face who traverses the complex geographies of India, day in and day out, negotiating the troubled conditions of India, bringing us food, basic amenities, luxury goods and all we consume, right to our doorsteps, yet remaining anonymous that we don’t even know him nor do we understand him. Hopefully this book will help us all appreciate and understand the community of lakhs of truck drivers who form the foundation of the entire Indian economy,” concluded Pawan.

National NewsLogistics Services

Safexpress unveils ‘Horn Please’ book on trucking in IndiaSafexpress has taken a pioneering initiative by publishing a coffee table book titled ‘Horn Please-Trucking in India’ to highlight the hardship faced by the Indian trucking industry and the drivers— the backbone of this sector. It is expected that this book with its fascinating appeal through fabulous pictorials will be successful to sensitise the entire industry and the common people at large to change their perception of the beleaguered industry.

The book captured every aspect of the trucking sector meticulously and the lives of drivers on road, from every nook and corner of the country. There were tremendous efforts from the authors to highlight the ground reality

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e-Award for cargo handlers by Lufthansaa t its recently held two-day conference titled ‘Lufthansa Cargo

in Dialogue’, more than 200 logistics industry representatives were present to discuss the digitisation of air freight. At the

event, the airline presented awards to Ipsen Logistics, Kuehne + Nagel, MT Logistik, SDV Geis and Quick Cargo Service.

Speaking on the occasion, Dr. Andreas Otto, Board Member Products and Sales, Lufthansa Cargo said that systematic digitisation of the air freight business and further quality improvements are right at the top of Lufthansa Cargo’s 2014 agenda. “We are collaborating with our customers to ensure that goods find their way through the complex supply chain even faster, even more efficiently and with even greater reliability,” added Otto. In addition to significant investment in a brand new aircraft and

state-of-the-art logistics infrastructure, the major expansion of electronic processes is a key element in the ‘Lufthansa Cargo 2020’ future programme.

The Lufthansa subsidiary invited its customers to take part in an ‘e-Award’ for the first time last year. It is aimed at further supporting the rapid expansion of digital processes between forwarders and airlines.

International NewsSuccess & Achievements

e mirates has recently been declared the ‘Top Cargo Handling Airline of Cochin 2013’. V. M Dinesh, Cargo Manager

in Kerala, Emirates accepted the award from the Chief Guest P.K. Hormis Tharakan, IPS (Retd.), former DGP (Kerala) and DG (RAW) at the event held in Kerala. Commenting on the achievement, Nabil Sultan, DSVP, Cargo, Emirates said that the award is a testimony of the unflagging efforts by the team to make Emirates SkyCargo a successful cargo airline in the India market. “We are delighted to win this year and I would like to congratulate the entire India team for the

constant effort they have put in to make this possible,” he said.

The airline carries over 1,400 tonnes of weekly cargo combined from Chennai, Hyderabad, Bengaluru, Kochi, Thiruvananthapuram and Kozhikode. Additionally, it operates two weekly freighters with a capacity of over 200 tonnes payload on the Dubai-Mumbai-Dubai route as well as the Dubai-Chennai-Hong Kong-Dubai route. Overall, Emirates SkyCargo carried over 2 million tonnes of cargo inclusive of imports and exports in the calendar year 2013.

Emirates wins Top Cargo Handling Airline Award in Cochin for 2013

IATA welcomes e-AWB initiatives from forwarders

o msan Logistics, a leading Turkish independent freight forwarder, has become one of the first three logistics providers in Turkey to complete full e-AWB shipments in

association with Worldwide Information Network (WIN) connectivity platform. Both IATA and Turkish Airlines have commended this important achievement as a significant step forward for SME forwarders.

As an pioneering initiative, Omsan used a single platform (WIN) for the entire process, from joining the IATA Multilateral e-AWB Agreement, to approval and then electronically transmitting all relevant data and documents.

Commenting on this initiative, Des Vertannes, Global Head of Cargo, IATA said, “The experience of Omsan demonstrates that for SME forwarders the efficiencies and process benefits of joining the Multilateral e-AWB Agreement and adopting the e-AWB are real and tangible.” According to John DeBenedette, Managing Director, WIN, Omsan’s early success can be replicated across the independent freight forwarding sector.

p J. Florian Pfaff, Vice President Area Management Germany, Lufthansa Cargo (right) compliments Dieter Haltmayer, CEO, Quick Cargo Service

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Success & AchievementsRecognition

At the recently held ‘India Best 50 CIOs – 2013’ in Mumbai, Shirish Gariba, Chief Information Officer, Drive India Enterprise Solutions (DIESL) was voted among the Top 50 CIOs. India Best 50 CIOs – 2013, is a first of its kind initiative by CIO Association of India and Dell. The top 50 CIOs were selected for the honour of India’s Best CIOs – 2013 on the basis of an innovative selection criteria. Each CIO was asked

to vote for three of his / her peers in order of ranking one to three. The CIOs voted for their peers whom they admire the most, having benefitted from them, in their respective careers and personal learning along with the criteria that CIOs were allowed to only nominate CIOs who were not members of their enterprise, its subsidiaries or associated business entities. Heads of IT and equivalents were allowed

to participate in the nomination process. Self-nominations were not permitted.

ACAAI President felicitated by Finance MinisterP. Chidambaram, Minister for Finance, Government of India awarded SL Sharma, as the President of the Air Cargo Agents Association of India (ACAAI) with ‘WCO Certificate of Merit’ at the International Customs Day 2014 function held on January 27, 2014 at FICCI Auditorium, New Delhi.

Shirish Gariba, CIO DIESL voted among Top 50 CIOs

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“looking ahead in 2014, we’ll see double digit cargo capacity growth continue, as we take delivery of one

Airbus A330-200 freighter, in addition to offering new bellyhold cargo capacity on the recently announced routes from Abu Dhabi to Los Angeles, Zurich, Dallas, Rome, Perth, Yerevan, Jaipur and Medina,” said Kerr.

Commenting on the overall cargo market trends, Kerr maintained that Etihad’s view is broadly in line with that of IATA, which predicts sustained cargo growth till 2017, with the UAE being one of the largest international freight markets. “Our own cargo business continues to perform well, and we see that the future in this region and internationally is extremely positive,” Kerr added. According to Kerr, Etihad Cargo achieved a number of record milestones in 2013 and is now approaching a US$1 billion

business, representing approximately 20 per cent of Etihad Airways’ transport revenues. In 2013, the airline launched a new freighter route to Guangzhou in China; consolidated its bellyhold and maindeck cargo operations at Frankfurt International; took delivery of three new wide-body freighters; started a round-the-world Boeing 747-8 freighter service with its partner Atlas Air; launched its CargoConnect customer loyalty programme; and signed a contract with Jettainer for 250 ultra lightweight Unit Load Devices (ULDs).

Kerr explained that Etihad Cargo signed partnerships with Singapore Airlines Cargo, Swissport and WFS, and became the first airline in the Gulf region to implement Cargo XML. The airline had a number of record breaking months in terms of tonnage carried. “India remains one of our most important markets and that’s reflected in the significant bellyhold and maindeck capability

we continue to deploy. We look forward to working with our partner Jet Airways to find opportunities to create value for both our companies,” he shared.

According to Kerr, the trade between India and the rest of the world is expanding rapidly. He added,“Indian air cargo business, which is one of our top five markets. We will continue to see strong demand throughout 2014.”

The airline operates more than 70 passenger flights a week to nine Indian cities – Mumbai, New Delhi, Chennai, Kozhikode, Kochi, Trivandrum, Ahmedabad, Bangalore and Hyderabad – providing its cargo customers with significant bellyhold cargo capability to and from its Abu Dhabi hub. Jaipur will be added to that list from April 2014, connecting via Abu Dhabi to all corners of the globe. “Our commitment to Indian trade is also served by virtue of the fact that we continue to operate maindeck freighter capability to four Indian cities – Bangalore, Chennai, Mumbai and New Delhi, providing our customers with enhanced options for shipping large goods and larger quantities of goods, all over the world with us,” Kerr added.

International AirlinesNew Initiatives

Focus 2014Etihad Cargo’s focus for 2014 is to build on the record tonnage success it had in 2013, offer cargo services to an even greater number of world destinations, increase frequencies on key cargo routes, and ultimately, continue to offer its customers choice and flexibility.

Etihad Airways to start abu Dhabi-Jaipur services from april 2014The 2013 performance figures of Etihad Cargo show that the airline carried a record 486,753 tonnes of freight and mail last year, up a staggering 32 per cent compared to 2012. In an interview with Cargotalk, David Kerr, Vice Presi-dent, Cargo, Etihad Airways, talks about the airline’s strategy for 2014.

India air cargo business is one of our top five markets and that’s reflected in the significant bellyhold

and maindeck capability we continue to deploy.

We will see a strong demand

throughout 2014” David Kerr

Vice President, Cargo, Etihad Airways

RAtAn KR PAuL

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Commenting on the new development, Malhotra maintained that raising finance from the market and increasing credibility is a major

issue. “With this listing, it will help us to increase the credibility of the company in the market and give a message to the banks, to take the company more seriously. Along with this, there are various organisations that are 30-40 years old in the logistics industry, but still not listed. So, it will give us more advantage if we are going for a

competitive bidding,” he explained. Malhotra also elaborated that getting the right kind of human resource was a big challenge for the company so far, but the listing of the company has removed this hindrance as well and increased credibility. “Now people from multinational companies are joining us as they know that this is a well-organised and credible company,” he explained.

Meanwhile, after the dilution of 25 per cent of total stake of Tiger Logistics, it raised around `7.5 crore of capital. The funds are being utilised as per the company’s plan for the working capital.

“We have entered in all the products and are expanding project business with a bigger team of professionals. The most interesting thing is that Tiger Logistics has successfully opened its new offices in some of the remote areas as well. We are now majorly focussing

on Southern domestic markets also,” Malhotra shared.

Moreover, Tiger Logistics is also planning to open offices in South America in Brazil and Mexico. This will give advantage to its existing and potential customers to avail all logistics solutions under one roof. “In the coming days, we are sure that Tiger Logistics would be a pan India player with its presence in all segments ranging from normal containers to reefers, flexi tanks, road transports, break bulk and project cargos,” Malhotra added.

on market scenarioIn spite of the economic decline in the previous year, the logistics industry has been one of the industries gearing up to surge ahead. It has the huge potential to attract new players in the days to come. “There is a paucity of organised players in some of the emerging markets in India and overseas as well. There are still no players who can provide all logistics solutions under one roof and this is an attractive opportunity for the logistics organised companies, including Tiger Logistics, to expand its operation,” Malhotra said.

In his opinion, automotive, retail, healthcare and manufacturing sectors, are some areas which majorly demand 3PL services to source and distribute their products. He also believes that the market is ready to provide new opportunities and the good thing about the logistics industry is that the 3PL market has given support to it.

With the advent of FDI in retail sector and the government fostering the infrastructure sector, the 3PL service industry has seen major improvements and fresh demand. “However, there are larger parts of India still waiting for the government investment in the infrastructure sector which can further give the new heights to the logistics industry. In this journey of success, Tiger is ready to prove its sharp and spectacular presence on pan India basis,” Malhotra concluded.

Logistics ServicesNew Initiatives

Tiger Logistics enters public equity market

Tiger Logistics has recently been enlisted with Bombay Stock Exchange (BSE) which paves the way for listing on the Bombay Stock Exchange, BSE SME platform. Speaking to Cargotalk, Harpreet Singh Malhotra, MD, Tiger Logistics informed that it is the first and the youngest logistics company to be listed on the BSE SME exchange. It is also the 10th logistics company in India to go public.

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The Institute will focus on advancing global supply chain management through three core activities - establishing a robust industry

network, offering a variety of education programmes and performing advanced research.

According to him, Supply Chain Management is a growing field and accounts for $10 trillion or roughly 14 per cent of the Gross World Product. The United States alone will need over 1,000,000 qualified professionals in this field by 2016. USC Marshall’s CGSCM will offer the first globally integrated Master’s programme on supply chain management aligned to its mission of NEAR (Networking, Education and Advanced Research).

“The global supply chain space is seeing strong growth, with the United States alone spending nearly 10 per cent of its GDP on supply chain activities every year. Capitalising upon the Center’s global network and industry experience, along with

Skill DevelopmentAcademic Institutions

The Institute will focus on advancing supply chain management by establishing a robust industry network, offering a variety of education programmes and performing advanced research

The global supply chain space is

seeing strong growth, with the

United States alone spending nearly 10

per cent of its GDP on supply chain activities

every year“Nick Vyas

Director, CGSCM

Infosys and USC partner for center on supply chain managementInfosys recently announced a partnership with the University of Southern California (USC), one of the world’s leading private research universities, to work closely with the Center of Global Supply Chain Management (CGSCM) at the University’s Marshall School of Business. Speaking to Cargotalk, Nick Vyas, Director, CGSCM said that India is a huge market for logistics and supply chain management and technology companies.

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the university’s renowned faculty, we hope to cultivate top talent and become the principal thought leader in the realm of global supply chain management,” said Vyas. The USC Marshall CGSCM will work closely with Infosys and other companies across the globe to bridge the existing gap between supply and demand for skilled executives, who can meet the growing and complex demands of the supply chain industry.

According to Rakhi Makad, Industry Principal, Infosys and Programme Director from Infosys for USC Marshall CGSCM, the major challenges that the logistics and supply chain industry is facing are risk management, visibility, speed to explore new markets and accuracy in forecasting. By working closely with manufacturing companies around the world, Infosys has developed a unique insight into today’s highly complex supply chain system. “We also have our sights set on how companies will best manage and optimise their supply chains in the future,” she said. According to her, technology and skill development will play the greater role. “Mobile space and social network will also play a greater role,” she said. She also emphasised on the importance of setting up

of a robust supply chain management system up to the rural area in India. The industry will have to understand the customers’ mindset.

Vyas endorsed, “Challenge in India is infrastructure—both physical and soft version. The process and execution of policies need to be very fast. There should not be several tax structures,” he felt. CGSCM will offer students an opportunity to learn from the professors and business leaders and solve real business problems. “Our partnership with the USC Marshall School of Business will allow us to bring together some of the brightest minds spanning academia and the industry, to help shape the future of the industry,” she added.

The marshall school of business Ranked among the nation’s premier schools, USC Marshall is internationally recognised for its emphasis on entrepreneurship and innovation, social responsibility and path-breaking research. Located in the heart of Los Angeles, one of the world’s leading business centers and the U.S. gateway to the Pacific Rim, Marshall offers its 5,700-plus undergraduate and graduate students a unique world view and impressive global experiential opportunities.

about the CenterUSC Marshall Center for Global Supply Chain Management exists to connect the world through Global Supply Chain Management with Network, Education, and Advanced Research (NEAR). Capitalising upon its global network, industry experience and renowned faculty, USC Marshall is poised to become one of the top thought leaders in the realm of global supply chain management. As an industry leader in cultivating top business talent, the Center for Global Supply Chain Management aims to lead the effort to streamline efficiency and supply chain in global economy.

CGSCM will work closely with Infosys and other companies across the globe to bridge the existing gap between supply and demand for skilled executives

We have our sights set on how companies will best manage and optimise their supply chains in the future”

Rakhi Makad Industry Principal, Infosys and Programme

Director, USC Marshall CGSCM

Core Activities of CGSCM n As a founding member, Infosys

in partnership with USC Marshall, will play a key role on the CGSCM board to design the Center’s charter of activities and its future growth

n Infosys will contribute topics for advanced research and thought leadership papers

n It will also coordinate with other CGSCM members including industry experts, organisations, trade bodies and local authorities, to conduct the Center’s activities

n CGSCM’s multi-faceted programme comprises of a Master’s degree, specialised training courses and Six Sigma Certification classes for working executives

n The Master’s programme, offered online and on campus, will include two experiential learning trips to key supply chain hubs

n The Center will also host roundtable conferences, industry forums and panels, networking events and speaker series

n Additionally, it will conduct research on challenges faced by companies operating in and contributing to the supply chain space

n CGSCM’s other partners include leading multinational corporations from various industries

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Cover StoryCargo Operations

CArGO HANDLING PrOCEDurESHow to streamline it

The cargo handling procedures in India, is an area of serious concern in the context of the end-to-end logistics management. During the last couple of years, apart from the initiatives taken by the government at the policy level, new private companies, viz, ground handling and terminal operator companies, have taken some remarkable initiatives to streamline the system. However, there is still a long way to go for improving them in India. In this issue, Cargotalk highlights some key developments, challenges and recommendations for air cargo handling procedures.

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it is often said that the air cargo handling procedure in India is not up to world standards. However, there is a serious debate on the definition of ‘world standard’. “How do you define ‘world standard’? Would a swanky

building with an automated system be called world standard or a system which delivers to the customer’s expectation be called world standard? Can getting an ISO certification be termed as world standard? Or is it something that meets or exceeds some standards established by global expert groups? So there are different interpretations to the term world standard?”, said Radharamanan Panicker, CEO, CSC India. He firmly believes that there is no defined standard globally

against which the cargo handling methods or a facility can be measured yet. The IATA ground handling working group is now working on defining global standards for cargo handling.

Panicker points out that India has its own set of problems that play the critical role against meeting global requirements. “We have difficulties in some airports in terms of inadequacy of infrastructure, lack of process and lack of trained human resources. When some of the elements are missing, it leads to customer dissatisfaction. Accordingly, even if ultimate service standard is of the highest order, the overall impact is unsatisfactory”, Panicker opined.

We have difficulties in airports in terms of

inadequacy of infrastructure, lack of process and

trained human resources” Radharamanan Panicker

CEO, CSC India

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According to Rajesh Goel, CEO, Celebi Delhi Cargo Terminal, the current cargo handling procedures in India have been streamlined a lot as compared to the older days. However, the processing time for major export handling activities and import cargo clearance are far below the international standards. Earlier, restricted working hours for cargo clearance congested the cargo terminals. This led to piling up of cargo which put tremendous pressure on the capacity and cargo operations. However, the recently implemented 24x7 customs clearance, along with simultaneous working by all the trade partners has significantly reduced the dwell times.

innovative solutionsPanicker was of the view that every organisation, every region, every country will have different business models depending on their local environment. But it is important to know and understand whether the three elements –infrastructure, process and people, are integrated and aligned to meet the expectations and requirements of the customer. “We work to ensure that there is a high degree of alignment between our infrastructure, process and people. We work on the airline SLA and aim to achieve all the goals despite difficulties. These are monitored by our quality teams. Furthermore,

we try to keep things very simple and not make it complicated. Aided by IT, we are slowly moving towards paperless freight in our terminal,” said Panicker. CSC has started hand-held terminals for data entry and messaging. Presently, the company is working on barcoding all the import cargo.

Goel informed that at the Celebi Terminal at the Delhi International Airport the dwell times have been visibly reduced and this can be attributed to simplification and streamlining of procedures and cooperation by related stakeholders. “There has been more automation in the terminals and increased adherence to e-freight initiatives.

Cover StoryCargo Operations

The 24x7 customs clearance policy, along with simultaneous working by all the trade partners, has reduced the dwell times”

Rajesh GoelCEO, Celebi Delhi Cargo terminal

On paper, the cargo handling procedures are up to global standards.

However, in ground reality, we are not there yet”

Vipan JainHead Bar India Cargo (nR) and Regional Manager,

South Asia and Middle East, Lufthansa Cargo

Overlapping roles of intermediaries and

warehouse operators creates serious problems

for the industry”Shankar Iyer

Director-Cargo, South East Asia & Middle East, Swiss World Cargo

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Recently, we have also been recognised by IATA as a 100 per cent e-freight terminal. However, there is still a lot to achieve to reach the levels of the international cargo hubs, where the dwell times are significantly lower,” he admitted. Recently Celebi introduced many value-added services that include Document & Supervision Services, Import Priority, Export Priority, Pharma Logistics, Transit Mail Sorting, Direct Flight Segregation/ Delivery and many others.

user’s perspectiveThe innovative ideas from service providers are commendable. But the question remains— that can the deliverables yield the desired results. “On paper, the cargo handling procedures are similar to the global standards. However, when it comes to ground realities we are not there yet. We (India) have ratified MC99 and entered it into force in 2009 as MC99 allows the use of electronic means in lieu of a paper air waybill for preserving the record of carriage. We are still lacking in replacing the paper with electronic means and EDI just works as back-up to paper,” said Vipan Jain, Head Bar India Cargo (NR) and Regional Manager, South Asia and Middle East, Lufthansa Cargo.

Jain raised various issues pertaining to export and import shipment clearance. He pointed out that the Government of India took major trade initiative and introduced 24x7 clearance at main airports from customs side. However, the airlines still face a problem of underload of flights, whenever there are two or more consecutive holidays, including second Saturday. “I feel all the players do not have sufficient resources and so they would like to propose seven days working during the day to begin with followed by 24x7 working, once we are all prepared,” stated Jain.

On the import front, amendments in the manifest or the arrival of shipments and part shipments due to last minute off-loading at the last point of entry is still a major bottleneck in the process, even though it is only two-three per cent. “A lot of time is spent by carriers and consolidators for amendments with customs and handling agents. We are in EDI mode for more than 18 years now. However, everything is still on paper, when it comes to permission from authorities,” Jain underlined.

Keeping EDI apart, the physical infrastructure is not conducive either. “Major challenges include unrealistic infrastructure and sometimes even lack of vision. Overlapping roles of intermediaries and warehouse operators creates serious problems for the entire air cargo industry in the country,” maintained Shankar Iyer, Director-Cargo, South East Asia & Middle East, Swiss World Cargo.

Bharat Thakkar, Immediate Past Presient, ACAAI, maintained that the Public Private Partnership (PPP) model was a turning point in the Indian history of economic growth especially to the ports and airports. As a result, at Green Field such as Bengaluru or Brown Field such as Delhi and Mumbai, significant changes have been brought in by PPP models. Unfortunately, there has been no remarkable progress in cargo handling methods. “We do agree that passengers should be given adequate facilities and priorities at the airports. But it should not be done grossly at the cost of and at the neglect of the cargo facilities,” he said.

“The cargo handling procedures in India are far from world standard. The export dwell time at the metro ports is over 24 hours, whereas the world standard is less than 12 hours. We still have long waiting hours for the trucks before the cargo is off loaded. This is followed by a long process of cargo sitting in the examination area before it is moved to the bonded area even though only a small fraction of shipments are to be examined (Delhi being an exception in this respect). We still have many paper documents required to transact business between the forwarder, the custodian and the airline, which is increasing the transaction cost,” pointed out Cyrus Katgara, Partner, Jeena & Co.

However, Umesh Tiwari, Chairman, Perfect Cargo Movers maintains that there are a lot of developments at the airport level thanks to the entry of private terminal operators. Though, there are some airports (e.g. Mumbai) still facing space constraints. In his opinion, the 24x7 working policy of Customs is also playing a very positive role for smooth handling of cargo and currently about 90 per cent export shipments are going on time.

Interestingly, there are some significant developments in domestic air cargo handling.

We agree that passengers should be given priorities at the airports, but it should not be done at the cost of

the cargo facilities”Bharat Thakkar

Immediate Past Presient, ACAAI

Paper documents are still required to transact business between the

forwarder, custodian and airline, which increases the

transaction cost”Cyrus Katgara

Partner, Jeena & Co

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“There has been a drastic change in the handling of domestic air cargo. The handling has moved from small individual airlines warehouses to Common User Terminals. The IT infrastructure has improved immensely. The implementation of e-AWB by the airlines has eased the information and handling flows,” highlighted Amit Bajaj, General Secretary, DACAAI and Director, Mituj Marketing.

“We are heavily dependent on manpower for handling of cargo. Simple mechanisations like large base trolleys, movable conveyors, weigh bridges, large pallets X-ray machines, etc. are missing. CCTV monitoring is also lacking at most airports. The terminal operators and the airlines need to invest in mechanisation to justify the handling charges they are charging,” he added.

recommendationsAccording to Panicker, cargo has to become important in the minds of policy makers, the government and airport operators. It plays a large role in the economy of the region and city in which the airport is located. “If we have to move cargo to air mode of transport, we will have to make the entire air cargo supply chain cost-competitive versus sea mode of transport. It is a collaborative responsibility of everyone in the supply chain,” he observed. Panicker maintained that regulations have to be simplified and interpreted correctly and should be followed in same manner every where in the country.

“There should be a clear-cut policy to enhance the efficiency of all the agencies working at the airports. Apart from Customs, several other agencies are also responsible for clearance of goods at airports and everybody should improve their processes for easy and fast clearance,” Goel added. He feels that the policies should be to improve efficiency through automated material handling system and IT system, for making paperless environment and e-freight with a collaborative approach.

“We clearly need guidelines from the Ministry that wherever we have electronic transmissions, no physical paper is required. And, my first recommendation is to adopt the best practices of each airport in India and introduce them at other airports as well,” said Jain. He pointed out that the industry has seen number of procedures which are

the best, and of international standards. However, it is not easy to implement them on another international airport within India. “We would request the Ministry / Custom Board to have an open session with the trade members and implement the same by way of notification,” he appealed.

Commenting on some recommendations on regular operational methods, Jain said that the responsibility of the export side counting of packages should lie with the handling agent and not the carrier or customs. Similarly, after customs clearance LEO, it should be the handling agent’s responsiblity to release goods to the carriers and not customs or CISF. However, random checks can always be made by regulatory authorities, instead of routine ones. He also advocated for early adoption of e-freight.

“There should be a seamless movement from truck dock acceptance to aircraft and vice-versa. It should be facilitated with reasonable timelines, reduced documentation and procedural rigmaroles. Servicing should be by skilled, customer-oriented and eye to compliance personnel,” emphasised Iyer.

“Reduce dwell time, improve efficiency, enhance facilities, provide better procedures and move over to a system-driven process,” endorsed Thakkar. He pointed out that the dwell time is the cumulative result of various factors, some are even before arrival of the aircraft. Primarily the triggering point for the dwell time is the filing of IGM or Import General Manifest with Customs. ACAAI has been advocating that this can be from the point of wheel-up of the aircraft at the origin airport (like followed in US and most of the EU/Japan/Korea). Thakkar also pointed out that timely handling of cargo from touchdown of the aircraft by the custodians plays a significant role in reducing dwell time.According to Thakkar, processing time of documents by Customs has come down in the past decade. But this is not sufficient to drastically bring down dwell time. “We need a new look at the entire Customs process which should be driven by systems. Non-traceability and damage to cargo increases dwell time and both are controllable, if proper system is in place and is monitored,” he said. He further pointed out one more challenge, which is the restricted / congested approach both inside and outside the airport terminals for vehicular movements. It slows

Cover StoryCargo Operations

There are a lot of developments at the

airport level thanks to the entry of private terminal operators”

Umesh Tiwari Chairman, Perfect Cargo Movers

The implementation of e-AWB by the

airlines has eased the information and handling flows”

Amit BajajGeneral Secretary, DACAAI and Director, Mituj

Marketing

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down clearance process and increases dwell time. Katgara urged for standardisation of the process of seamless, paperless movement of cargo from forwarder to the bonded area at all airports. Only the shipments required for examinations should be recalled from the bonded area similar to what is being done in Delhi. “The transactions at the airport should be paperless and the dwell time at all airports should come down to 12 hours,” he said. Tiwari appealed that terminal operators have to be more careful about mishandling and missing of cargo. Cargo should not be loaded or sent without a manifest.

According to Bajaj, more common user terminals need to come up, for ease of handling of cargo. Infrastructure in B-class cities lacks this, even though the domestic cargo is growing. “To sustain this growth, we need to look at the infrastructure at the smaller cities urgently,” he recommended.In his opinion, to increase efficiency in handling cargo and to minimise breakages, the operators need to invest in handling equipment. There is a lack of basic

equipment like large base trolleys, weigh bridges, conveyors, etc. “On the IT side, the transparency is lacking. No stakeholder is willing to hold data transparently and define a SLA. There is a desperate need for transparency in the working of the stakeholders. We need to define SLAs for each agency which can be viewed transparently and reviewed on a regular basis,” he stressed.

According to Suman Dhaulta, Managing Director, KVM Aircargo, there should be more job responsibilities from the private terminal operators. It is because of private investments and initiatives that the infrastructure has improved significantly. But there should be a skill enhancement to utilise the infrastructure optimally. There should be more facilities for handling temperature sensitive cargo and more truck docks for smoothening operations. “We should bring in some serious mechanisms for interactions between shippers and terminal operators for the greater interest of the industry and the country’s economy,” she concluded.

We should bring in mechanisms for interactions

between shippers and terminal operators for the greater interest

of the industry” Suman Dhaulta

Managing Director, KVM Aircargo

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The study reveals that the logistics market is the largest in the world and accounts for one-third of the world logistics market. The global logistics

industry has registered a significant growth in the last decade, wherein the big driver has been the emergence of Third Party Logistics (3PL) and Fourth Party Logistics (4PL) players in the industry who are expected to play a much more important role in the years to come.

The global logistics industry is characterised by high costs of operations, low margins, shortage of talent, infrastructural bottlenecks, alongside increasing demand from clients for providing one-stop solutions to all their needs and for investing in progressive technology. All these factors will further decrease the margins involved in this industry and fasten the process of consolidation in the industry through acquisitions, mergers and alliances.

The indian scenarioMalcolm Monteiro, SVP & Area Director, South Asia, DHL Express, believes that the Indian logistics sector is on a growth trajectory, driven by an increase in domestic consumption and increasing global trade. India is fast becoming a global manufacturing and sourcing hub for many industries. Other global practices such as e-commerce are also driving demand, compelling businesses to outsource distribution and logistics requirements to specialised service providers. This is contributing to an increase in the need of integrated solution providers.

However, manpower training for the sector has not kept pace with the changes, resulting in severe skills shortage. Logistics providers today are expected to provide complete end-to-end logistical support throughout the supply chain cycle of a business, cutting down costs and lead time. “Thus the skills and expertise required within

Lead StoryViewpoint

Shortage of Skilled Manpower the industry initiatives

The current level of skills of the people in the sector does not meet the growing demands of the industry”

Malcolm MonteiroSVP & Area Director, South Asia, DHL Express

According to a recent study by the National Skill Development Corporation, the global annual logistics spend is valued at about USD 3.5 trillion. The annual logistics cost internationally varies between 9 per cent and 20 per cent of the GDP. In India, it is about 13-14 per cent of the GDP. However, with skillful handling and man-agement it may significantly reduce. Unfortunately, the industry is still plagued by a huge shortage of skilled manpower. Cargotalk presents the industry’s perspective and the initiatives taken to address it.

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the industry have grown with the advent of sophisticated supply chain management. The current level of expertise and management skills of the professionals in the sector does not meet the growing demands of the industry,” said Monteiro.

Unni Nair, Chairman, LCL Logistix (India) explained that the logistics industry in India is facing a talent crunch along with the paucity of skilled manpower. Perhaps because of this, the industry has not received an industry status yet, although it is of a massive size. Also lack of customised courses and training programmes introduced at the institutes and varsities aggravated the problem. “There are very few designated institutes (most of them are private) offering customised industry specific logistics and supply chain management programs/courses,” he pointed out. Today, the crowd of premier institution heads towards taking a consulting job or joining a leading consulting firm handling logistics and supply chain as assignments, but does not jump into the mainstream logistic and supply chain industry. “Also, the graduates would happily join diversified conglomerates, holding an in-house logistics and supply chain arm, rather than them starting a venture in the typical logistic and supply chain industry,” he added. In his opinion, there is a lack/absence of recognised industrial training institutes specifically for imparting training towards operating and handling modern, heavy and ultra-heavy machines/equipment’s used in the logistics and transport industry.

a less attractive industryAccording to Vineet Kanaujia, Vice President-Marketing, Safexpress, the logistics sector in India is huge and contributes 10 per cent to the country’s GDP. However, it is still an unrecognised industry and hence, an underrated sector, though its role is massive in strengthening the backbone of

the country’s economy. Accordingly, this segment is not attractive enough to woo new talents resulting in acute shortage of skilled manpower.

He observed that, despite multiple challenges and economic slowdown prevailing in the market, the industry has been witnessing six to seven per cent year-on-year growth. Paradoxically, this sunrise industry remains unsuccessful to attract qualified people. There is a serious problem at the bottom level too. Because of the fact that the logistics industry in India is completely unorganised and has a negative image, drivers and warehouse workers are also reluctant to join the logistics industry. For them, the financial benefits from this sector are not viable vis-à-vis other industry sectors.

Questioned on his inclination and long association with this segment, the young and highly qualified Kanaujia said, “I saw enough potential in this industry and fortunately got an opportunity to work with a company, which is the leader in this space.” He maintained that though the industry is not glamorous yet, the things are changing for sure. According to him, there are indications many young and well-qualified executives are joining the industry.

Srikanth Rapaka, Head – Human Resource & Administration, DIESL, finds two main reasons behind the shortage of skilled manpower. “Logistics industry is the least attractive industry for new graduates. Moreover, considering that this is still an emerging industry, there is a serious lack of technical courses available, similar to the ITI, which are more focussed towards the manufacturing sector, resulting in non-availability of skilled or trained manpower for the logistics sector. Absence of vocational courses also adds to the challenges the industry is facing currently,” he said.

In Rapaka’s opinion, the approach has to be to ‘develop skilled manpower within the industry’. “Jobs are tough at a warehouse and are not so attractive opportunities. However, the deliverables are not rocket science. Companies need to adopt certain methods similar to that of direct sales companies. Select young undergraduates or graduates and conduct an in-house training/induction program to equip them with the

There is a lack of recognised industrial training institutes for imparting training towards handling modern equipments used in the logistics industry

There are very few designated institutes

offering industry specific logistics and supply chain management programs”

Unni Nair Chairman, LCL Logistix (India)

Logistics is still an unrecognised industry even though it plays a massive role in strengthening the

country’s economy”Vineet Kanaujia

Vice President-Marketing, Safexpress

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required skills,” he stressed. While there are already certain 3PL companies who have tied up with external training & placement firms established as a partner of National Skill Development Corporation, however, the supply has to match the requirement. “Under the current circumstances, this is the best available source of skilled/trained manpower for the 3PL industry. On a longer term basis, companies should create a vocational training atmosphere within the organisation, similar to the manufacturing sector,” he added.

need to be recognised firstRam Tiwari, Director Marketing, Shine Logistics highlighted that everywhere in the world and in all the developed countries, domestic and international logistics sector has been recognised as an essential tools, part of the country’s economy growth. Without proper and timely logistics/supply chain services, none of the industries can grow - whether its domestic or international markets to produce and deliver new products in market. “Unfortunately, in India, the logistics sector (mainly international logistics/supply chain) has not yet been given industrial status to promote and support the logistics industries. Most of the young, educated people are not aware of or do not acknowledge the cargo/logistics trade as an important part of the economy’s growth as there is no such government institution to educate the peoples about logistics industries,” he said.

Tiwari emphatically said that the first task of the industry should be to pursue the central government to recognise cargo and logistics as one of the important industries. “We should urge the government to highlight the opportunities of logistics industry to the upcoming young generations by establishing an institute and offering them job opportunities in the cargo industry. It will help to get educated and trained personnel for our industries,” said Tiwari.

industry initiatives“At DHL, motivating our people is fundamental and we invest in them as our most valuable assets. We invest in our people to strengthen organisational capability and develop a talented global workforce that gets results the first time so that we have the right people with the right skills at the right place at the right time. In 2010, DHL introduced

the Certified International Specialist (CIS) initiative for all employees and in 2012, the Certified International Manager (CIM) program was introduced for managers across all countries,” highlighted Monteiro.

CIS is focussed on developing knowledge of the DHL network, the soft skills needed to deliver best in class customer service and the power of employees working together ‘as one’. The CIS program has been externally recognised for its huge success in global implementation leading to a positive cultural change in the company. All the 100,000 DHL express employees, including all DHL Express India employees, are CIS certified. CIM program is designed to transform our leadership thinking for the 21st century.

“Our company has taken several initiatives to change the image of the industry through its products and services and campaigns. Some of them are: launching of ‘Safeducate’, ‘Campus to Home’ and a landmark coffee table book titled ‘Horn Please’ to demonstrate the hardship of truck drivers with an objective to sensitise the industry people. The process will continue, for the interest of the entire industry,” Kanaujia emphasised. He urged for an effective collaboration between the government and industry people to set up academic and training institutes across the country to create talents for the logistics industry.

Rapaka candidly informed that DIESL has just made a beginning. “At DIESL, we have recently introduced a programme to approach local industrial training institutes, graduate and under-graduate colleges, at 16 cities of Tier III cities across India. We would be approaching students who are primarily looking for jobs, immediately after completing their courses and those students

Absence of vocational courses adds to the

challenges the industry is facing currently”

Srikanth RapakaHead – Human Resource & Administration, DIESL

Most of the young, educated people are not

aware of the logistics trade as an important part of the

economy’s growth”Ram Tiwari

Director Marketing, Shine Logistics

The first task of the industry should be to pursue the Central Government to recognise cargo and logistics as one of the important industries

Lead StoryViewpoint

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who would not be going for further studies after graduation. These students would also be from the nearby locations, closer to our warehouses to ensure that we don’t get into issues such as accommodation,” he informed. Selected students would undergo a combination of classroom and on-the-job training at our warehouses for a period of 10 days. Faculty would also be in-house.

The way forward There is a need for promotion of and creating awareness of logistics as a viable career option vis-à-vis other conventional careers. Leading institutes should not only introduce but also encourage bright minds towards adopting this career. There is no dearth of growth in the logistics and supply chain industry. Rather it is at par in comparison to the other sectors. “Corporates should tie up with institutes, training centres and offer crash courses and weekend courses to its employees/staff. There should be a larger focus towards training and skill development via arranging customised tailor-made induction trainings to the employees. Corporates should also ensure that the training modules are regularly updated along with the skill-sets kept on, in a revision mode,” Nair concluded.

Key Findings on the Logistics Industry n Shortage of talent with right competencies

n Need to invest resources in training the new employees

n Lack of industry standards to align competencies and curriculum

n Lack of industry-driven accreditation, certification

n Competition for acquiring talent within the industry

n Competition for acquiring talent with other industry segments

n Lack of research on labour market and best practices

n Lack of trainers

n Non-alignment with training organisations which conduct 95 per cent of skill training

n Passive involvement of the industry in the shaping of policies to boost productivity, thereby, improving company competitiveness and individual employability

n Training people about the ever-changing environment, technology, customer service and business needs

(Source: NCCD)

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DELHI IntERnAtIOnAL AIRPORt CARGO DEPARtMEnt, IGI AIRPORt, nEW DELHI

(AIRLInE-WISE IMPORt/ExPORt CARGO PERFORMAnCE FOR tHE MOntH OF JAnuARY 2014)

Total 14773 2737 17511 14504 32015 100.00%Cargo handled in January ‘13’ 13128 2590 15718 13307 29025 % VARIATION 12.53% 5.68% 11.40% 8.99% 10.30%

1 CathayPacific 722 74 796 2191 2987 9.33%2 Jet Airways 1029 176 1205 1585 2790 8.72%3 Emirates 828 1251 2079 583 2662 8.32%4 Air India 1000 202 1202 911 2113 6.60%5 British Airways 890 50 940 719 1659 5.18%6 Singapore 493 24 517 1113 1630 5.09%7 Fedex Express Corpation 622 2 625 810 1435 4.48%8 Kalitta Air 526 0 526 680 1206 3.77%9 Etihad Airways 532 129 661 542 1203 3.76%10 Thai Airways 299 34 334 817 1151 3.59%11 Lufthansa Cargo Airline 478 75 553 423 976 3.05%12 Air France 659 16 676 272 947 2.96%13 Qatar Airways 452 161 612 330 942 2.94%14 Malaysian Airline System 335 27 362 384 746 2.33%15 Swiss Intl Airline Ltd 403 28 431 275 706 2.21%16 Uzbekistan 407 44 452 160 611 1.91%17 Turkish Airlines 461 5 466 116 582 1.82%18 Virgin Atlantic 332 3 335 225 560 1.75%19 M/S All Nippon Airways 407 6 413 127 540 1.69%20 KLM 340 34 374 161 535 1.67%21 Japan Airlines 151 7 158 334 492 1.54%22 Hercules Aviation 442 10 452 0 452 1.41%23 China Eastern Airlines 215 0 215 186 401 1.25%24 Saudia 156 181 337 27 363 1.14%25 United Airlines 257 16 273 78 351 1.10%26 AeroflotCargoAirlines 255 39 294 19 313 0.98%27 Finnair 212 3 214 95 310 0.97%28 Lufthansa Cargo Ag 146 20 166 129 294 0.92%29 Air China 107 0 107 158 264 0.83%30 China Air 163 0 163 94 257 0.80%31 Spice Jet 115 0 115 129 244 0.76%32 Indigo Cargo 177 0 177 40 217 0.68%33 Martin Airline 94 1 95 121 216 0.67%34 China Southern Airlines 96 0 96 74 171 0.53%35 Dhl Express 0 0 0 133 133 0.41%36 Air Arabia 130 0 130 1 131 0.41%37 Ariana Afghan Airlines 62 0 62 68 130 0.41%38 Oman Air 89 30 119 1 121 0.38%39 Blue Dart 101 0 101 17 118 0.37%40 Ethopean Airlines 57 2 60 53 113 0.35%41 Mahan Air 91 4 95 15 111 0.35%42 Kalitta Air 0 0 0 103 103 0.32%43 Air Shagoon Pvt. Ltd. 78 0 78 18 96 0.30%44 Gulf Air 67 22 89 3 91 0.29%45 Sri Lankan Airlines Ltd 56 0 56 17 72 0.23%46 Air Mauritius 61 6 67 2 69 0.21%47 Kuwait Airlines 20 39 59 8 67 0.21%48 Asiana Airlines 55 0 55 10 66 0.21%49 Kam Air 5 0 5 53 58 0.18%50 Flywell Aviation 0 0 0 55 55 0.17%51 Kenya 29 0 29 2 31 0.10%52 Biman Bangladesh 24 0 24 6 30 0.09%53 Air Astana 19 3 21 0 21 0.07%54 UPS 0 0 0 19 19 0.06%55 Royal Jordanian Airlines 15 0 15 0 15 0.05%56 Pakistan International 5 0 5 7 12 0.04%57 Turkmenisthan Airlines 4 8 12 0 12 0.04%58 Jetlite 0 0 0 8 8 0.02%59 Tajik Air 4 2 6 0 6 0.02%60 Druk Air 1 0 1 0 1 0.00%61 Iraqi Airways 1 0 1 0 1 0.00%

S. No. Airlines Export With- Export Export with Import Total Cargo % Out Peri- Perishable Perishable (MTs) (MTs) of Total shable (MTs) Cargo (MTs) (UPL) (MTs)

Airlines whose figures are not available have not been mentioned

Cargo Performance Export/Import

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ExPORt & IMPORt CARGO tOnnAGE HAnDLED At CSIA FOR tHE MOntH OF JAnuARY 2014

(FREIGHt In MEtRIC tOnnE)

1 Jet Airways 2449 2584 50332 Emirates 3357 1329 46853 Air India 2316 728 30444 Lufthansa Airlines 1184 1381 25665 Etihad Airways 1226 1107 23326 Singapore Airlines 1145 1114 22597 CathayPacific 1167 998 21668 Qatar Airways 1176 673 18499 British Airways 1003 618 162110 Federal Express 739 286 102511 Turkish Airlines 603 332 93512 Saudi Arabian Airlines 789 133 92213 Swiss Intl. Airlines 458 420 87814 Ethopian Airlines 789 16 80515 Thai Airways 329 475 80416 Air France 547 177 72417 Delta/KLM/Martin Air 244 438 68218 Malaysia Airlines 411 223 63419 UPS 144 388 53220 Kuwait Airways 348 182 53021 Virgin Atlantic 194 262 45622 Kenya Airways 409 9 418

S. N. Airlines Export Import Total S. N Airlines Export Import Total23 South African Airlines 285 15 30024 Aerologic 0 286 28625 Gulf Air 217 48 26526 Indigo Air 197 32 22927 Oman Air 160 62 22228 Air Arabia 162 58 22029 Blue Dart 48 137 18530 Air Mauritius 170 2 17231 EL-AL Airlines 108 61 16932 Srilankan Air 81 62 14333 Korean Air 92 48 14034 United/Continental Airlines 72 67 13835 Spice Jet 67 12 7936 Bangkok Airways 77 0 7737 Iran Air 51 0 5138 Yemenia Airways 41 1 4239 Pakistan intl Airlines 27 1 2840 Air China 9 5 1441 Egypt Air 10 2 1242 Royal Jordanian 9 0 943 Others 25 17 42

Total 22934 14789 37723

AIRLInE-WISE tRAFFIC StAtIStICS DuRInG JuLY - SEPtEMBER 2013 - IntERnAtIOnAL AIRLInES In InDIAn AIRPORtS

1 Emirates 46018 12.892 Jet Airways 32023 8.973 CathayPacificAirways 25169 7.054 Air India 23560 6.605 Singapore Airlines 22494 6.306 Lufthansa 21339 5.987 Qatar Airways 20057 5.628 Ethiad Airways 16583 4.649 British Airways 16158 4.5210 Thai Int’l Airways 12939 3.6211 Saudi Arabian Airlines 8516 2.3812 Malaysian Airlines 7087 1.9813 Federal Express 6533 1.8314 Air France 5651 1.5815 Martin Air 5623 1.5716 Srilankan Airlines 5592 1.5717 Swiss Airways 5144 1.4418 Aerologic Freighter 4913 1.3819 Turkish Airlines 4820 1.3520 Air Arabia 3782 1.0621 Virgin Atlantic 3618 1.0122 Kuwait Airways 3487 0.9823 Ethopian Airlines 3276 0.9224 Gulf Air 3029 0.8525 Indigo Airlines 2891 0.8126 Oman Air 2566 0.72

27 Kallita Airlines 2348 0.6628 KLM Royal Dutch 2131 0.6029 Uzbekistan Airways 2113 0.5930 Dragon Air 2050 0.5731 United Parcel Services 1839 0.5132 All Nippon Airways 1670 0.4733 Air Asia 1636 0.4634 Kenya Airways 1440 0.4035 Finn Air 1434 0.4036 Nordic Global Airlines 1307 0.3737 Aeroflot 1279 0.3638 Japan Airlines 1279 0.3639 China Eastern Airlines 1239 0.3540 Spicejet 1238 0.3541 South African Airways 1118 0.3142 China Southern 1097 0.3143 United Airlines 1083 0.3044 Air Mauritius 1022 0.2945 Delta Airlines 933 0.2646 Austrian Airlines 898 0.2547 Tiger Airways 848 0.2448 Air China 741 0.2149 Silk Air 720 0.2050 China Airlines 594 0.1751 El-Al-Isreal Airlines 408 0.1152 Korean Airlines 384 0.11

53 Mahan Air 359 0.1054 Biman Bangladesh 336 0.0955 Asiana Airlines 322 0.0956 Bankok Airways 202 0.0657 Maldivian Airlines 197 0.0658 Thai Air Asia 195 0.0559 Fly Dubai 172 0.0560 Iran Air 158 0.0461 RAK Airways 152 0.0462 Yemen Airways 126 0.0463 Air Astana 119 0.0364 Royal Jordanian 118 0.0365 Turkmenistan Airlines 111 0.0366 Ariana Afghan 110 0.0367 Pakistan Int’l Airlines 90 0.0368 FITS Air 56 0.0269 Egypt Air 54 0.0270 Kam Air 39 0.0171 Mihin Lanka 31 0.0172 Eva Air Cargo 26 0.0173 Tajik Air 15 0.0074 Air Austral 10 0.0075 Druk Air 9 0.0076 Iraqi Airways 9 0.0077 SafiAirways 3 0.00 Other Non-Schd Operators 8369 2.34

TOTAL 357105 100.00

S.N Airlines Freight % (in tonnes) Share

S.N Airlines Freight % (in tonnes) Share

S.N Airlines Freight % (in tonnes) Share

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(E) Other Airports 160 149 7.4 1045 1135 -7.9 Grand Total 68389 64806 5.5 549044 528302 3.9 (A+B+C+D+E)

tRAFFIC StAtIStICS D O M E S t I C F R E I G H t

(A) 16 International Airports

(B) 6 JV International Airports

(C) 7 Custom Airports

(D) 17 Domestic Airports

17 Delhi (DIAL) 18472 15345 20.4 138240 127102 8.8 18 Mumbai (MIAL) 14410 14743 -2.3 121226 122499 -1.0 19 Bangalore (BIAL) 7184 6570 9.3 60636 55502 9.3 20 Hyderabad (GHIAL) 3064 2913 5.2 24241 22277 8.8 21 Cochin (CIAL) 791 673 17.5 6226 5906 5.4 22 Nagpur (MIPL) 370 422 -12.3 3386 3230 4.8 Total 44291 40666 8.9 353955 336516 5.2

23 Pune 1836 1587 15.7 13565 13406 1.224 Visakhapatnam 109 75 45.3 1144 925 23.725 Patna 335 225 48.9 2983 1352 120.626 Chandigarh 253 241 5.0 2309 1852 24.727 Bagdogra 254 60 323.3 1299 895 45.128 Madurai 100 132 -24.2 811 612 32.5 Total 2887 2320 24.4 22111 19042 16.1

30 Bhubaneswar 320 265 20.8 2527 2100 20.331 Indore 243 437 -44.4 2881 2991 -3.732 Jammu 133 137 -2.9 1123 963 16.633 Raipur 215 181 18.8 2101 1668 26.034 Agartala 547 463 18.1 4636 3987 16.335 Vadodara 197 146 34.9 1325 1381 -4.136 Imphal 335 341 -1.8 2739 2841 -3.637 Bhopal 61 78 -21.8 569 670 -15.138 Ranchi 207 157 31.8 1590 1071 48.539 Aurangabad 116 66 75.8 531 530 0.240 Leh 107 82 30.5 728 805 -9.641 Tirupati 0 1 -100.0 0 16 -100.042 Rajkot 13 40 -67.5 118 175 -32.643 Jodhpur 1 4 -75.0 14 15 -6.744 Dibrugarh 16 33 -51.5 193 210 -8.1 Total 2511 2431 3.3 21075 19423 8.5

Freight (in Tonnes) For the Month For the period April to NovemberS. No. Airport November 2013 November 2012 % Change 2013-14 2012-13 % Change

1 Chennai 5991 6532 -8.3 47823 52778 -9.42 Kolkata 6858 7130 -3.8 56089 54194 3.53 Ahmedabad 2684 2823 -4.9 23637 23775 -0.64 Goa 272 301 -9.6 1608 1932 -16.85 Trivandrum 119 108 10.2 1322 974 35.76 Calicut 12 30 -60.0 116 193 -39.97 Guwahati 614 628 -2.2 4560 4183 9.08 Lucknow 255 175 45.7 1955 1340 45.99 Srinagar 268 220 21.8 2637 2226 18.510 Jaipur 655 561 16.8 4736 4572 3.611 Coimbatore 520 479 8.6 4160 4261 -2.412 Mangalore 16 27 -40.7 204 194 5.213 Amritsar 4 10 -60.0 76 68 11.814 Varanasi 33 10 230.0 295 235 25.515 Portblair 239 206 16.0 1640 1261 30.1 Total 18540 19240 -3.6 150858 152186 -0.9

Cargo Performance Airports in India

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tRAFFIC StAtIStICS I n t E R n At I O n A L F R E I G H t

17 Delhi (DIAL) 32079 27985 14.6 259017 236109 9.7 18 Mumbai (MIAL) 38077 34890 9.1 305915 307414 -0.5 19 Bangalore (BIAL) 11676 11341 3.0 100041 94740 5.6 20 Hyderabad (GHIAL) 4105 3914 4.9 32455 30009 8.2 21 Cochin (CIAL) 3014 2805 7.5 27762 25539 8.7 22 Nagpur (MIPL) ( ) 40 36 11.1 254 264 -3.8 Total 88991 80971 9.9 725444 694075 4.5

23 Pune 0 0 - 10 0 - Total 0 0 - 10 0 -

(B) 6 JV International Airports

(C) 7 CUSTOM AIRPORTS

(A) 16 International Airports

Freight (in Tonnes) For the Month For the period April to NovemberS. No. Airport November 2013 November 2012 % Change 2013-14 2012-13 % Change

(C) 17 Domestic Airports 0 131 - 0 202 - Grand Total (A+B+C) 116468 110710 5.2 957167 950013 0.8

1 Chennai 17904 18941 -5.5 149860 164433 -8.9 2 Kolkata 3862 3694 4.5 30405 29110 4.4 3 Ahmedabad 1342 1047 28.2 10910 8339 30.8 4 Goa 116 413 -71.9 1174 1309 -10.3 5 Trivandrum 2043 2656 -23.1 17986 29842 -39.7 6 Calicut 1636 2460 -33.5 15446 18647 -17.2 7 Guwahati 1 7 -85.7 10 7 42.9 8 Lucknow 90 103 -12.6 733 887 -17.4 10 Jaipur 13 8 62.5 143 121 18.2 11 Coimbatore 87 38 128.9 641 366 75.1 12 Mangalore 21 0 - 32 0 - 13 Amritsar 23 76 -69.7 1281 1015 26.2 14 Trichy 339 163 108.0 3092 1654 86.9 15 Varanasi 0 2 -100.0 0 6 -100.0 Total 27477 29608 -7.2 231713 255736 -9.4

T he Apparel Export Promotion Council (AEPC) organised the 4th Edition of Source Zone from

January 22-24, 2014 at Apparel House, Gurgaon, Haryana. The event was inaugurated by Sudhir Sekhri Chairman (Export Promotion), AEPC and Puneet Kumar, SG, AEPC. Speaking on the occasion, Chairman

EP, stated that,“Source Zone offers apparel exporters a great opportunity to source their requirements for fabrics, laces, trims, embellishments and accessories under one roof.” Leading domestic suppliers from

across India and international suppliers were there to exhibit at the show. Several well known suppliers like Grasim, Donear, Winsome, KRF Limited, K G Denim, Pallava Group, Pratibha Syntex, Optitex,

Talco-Talreja, Nuvozymes, Ecotech Software, Kandoi Impex, Krish Fashion have also displayed latest trends in suit shirtings (cotton, linens), value-added yarns and fabrics, woven labels, printed labels, denim fabrics, yarns, spun, dyed and viscose linen, 2D & 3D solutions, cotton interlinings and enzymes for the textile industry just to name a few.

News in Brief

aepC organises source Zone at apparel House

Cargo Performance Airports in India

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Academic InstitutesNews in Brief

indian Institute of Materials Management (IIMM), Chandigarh Branch recently celebrated its 29th Annual Day at Punjab

University Campus. IIMM is a professional body of materials management professionals which strives for enhancing professional efficiency of its members. The institute has 45 branches and 15 chapters in India and is a chartered member of International Federation of Purchasing and Supply Management. The Institute has over 10,000 members in India.

The institute offers a variety of educational programmes through its Head office in Mumbai and branch offices in different cities in the country.

During its annual day celebration the Chandigarh branch organised ‘Spark-2’ wherein a number of speakers deliberated on issues pertaining to supply chain management. On this occasion, DBS Longia, Chairman, Chandigarh branch

welcomed the members, professionals from the industry and the invited dignitaries. Piyush Kumar Singh – Founder & Executive Director of INDUS B2B Solutions, a leading logistics company was one of the panel speaker of the Technical Session. He addressed aspiring management students of Logistics & Supply Chain Management. He stressed upon the need of supply chain excellence which is indeed essential for customer delight.

indian Aviation Academy has been selected to receive the ‘International Arch of Europe’ (IAE) award. According to the Academy sources, a Global Consulting Firm has selected the Indian Aviation Academy to receive the prestigious award for exceptional

achievements. The Award will be presented in Frankfurt, Germany at the annual International Arch of Europe Convention on April 13 and 14, 2014.

IIMM Chandigarh celebrates 29th Annual Day

Indian Aviation Academy to receive IAE Award

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aCCb annual ball sees an increase in attendeesThe Annual Ball was hosted by the Air Cargo Club of Bombay for its members on February 8, 2014 in Powai, Mumbai. Majorly supported by CSC India and MIAL, the event was full of entertainment coupled with dance & music.

air Cargo Club

Family AlbumClub Function

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Family AlbumCargo Terminal

CelebiTerminal

Celebi Cargo Terminal celebrates 4 years of operationCelebi Delhi Cargo Terminal hosted a cocktail

dinner for its customers on January 30,

2014 in New Delhi, on the occasion of the

completion of its four years of operation at

the IGI Airport. Rajesh Goel, CEO, Celebi

Delhi Cargo Terminal Management India

and several other officials of the terminal

management were present at the event to

welcome the guests.

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Family AlbumAwards Function

Mahindra Transport Excellence Awardsan effort to recognise ground workersThe third edition of the Mahindra Transport Excellence Awards for 2013, held recently in New Delhi, was a serious effort to drive a positive change, in the mindset of the end users of trucking and logistics services. The event brought together the who’s who of the industry from across the country apart from Oscar Fernandes, Union Road Transport and Highways Minister. At the event, a truck driver won a truck, a lady truck driver was given special honour and several logistics companies were felicitated.

mahindra awards

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Family AlbumIndustry Event

aviation Conference on security The German University of Applied Sciences, Frankfurt (FH FFM) together with its Indian partner, Centre for Aviation Studies of University of Petroleum and Energy Studies (UPES), organised the Aviation Conference at the Leela Palace Hotel, Mumbai on ‘Aviation Security: Current Threats and Challenges’. The meet was well attended by the leading aviation and logistics trade practitioners and was organised create awareness about the Universities’ programmes among them.

Conference

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Shipping & PortsNews in Brief

Adani Petronet Dahej Port handles longest project cargoAdani Petronet Dahej Port, the solid bulk cargo handling port on the west coast of India, announced that it has achieved the benchmark of dispatching the longest cargo measuring 101.6 meter, in a single piece. The heavy equipment project cargo handled for Isgec Hitachi Zosen was a Quench Tower, weighing 383 tonnes and measuring 101.6 meter in length, making it the longest cargo handled at the port. The cargo was transported on a single ply of 42 SPMT axles from port’s storage yard to the South berth of Adani Dahej Port. The previous record was 91.15 meter long, 880 tonnes heavy C2 Splitter shipped on dumb barge using Ro-Ro Facility of the port to IOCL, Paradip during May 2013.

The 20 MMTPA port infrastructure is capable of handling bulk (dry), break bulk and project cargo, with a total berth length of 490 meter and equipped with state-of-the-art equipment and world-class technology.

DP World Chennai hosted the launch of Simatech Shipping L.L.C’s Chennai Colombo Gulf Service (CCG Service) which will link South and East India to Arabian Gulf and East Africa transshipping, at Jebel Ali recently.

The service with MV Sima Perfect made its maiden call. Simatech owns and operates three vessels namely Sima Perfect, Sima Prestige and Sima Sapphire which offers a fixed weekly sailing from Chennai. The weekly service will be calling on Chennai every Friday and sailing out on Saturday. Sima Perfect carried no import containers for discharge at Chennai since it was commencing the service afresh from

Chennai, whereas the ship carried export boxes to Colombo and Jebel Ali. The major commodities carried by this service comprises of garments, granite, foodstuffs, seafood & general cargo.

The new service will have a direct, dedicated and fast coverage from Chennai to Arabian Gulf. The CCG service will deploy 3x1200 TEU capacity vessels and operate with the following port rotation: Chennai - Colombo - Cochin - Jebel Ali - Cochin - Colombo - Chennai. This service also offers an efficient and fast feeder link via Jebel Ali into the entire Arabian Gulf region and China, Bangladesh & Pakistan via Colombo.

DP World Chennai launches Chennai Colombo Gulf service

Shashi Kiran Shetty conferred with ‘Business Leader of the Year’ awardShashi Kiran Shetty, Founder and Executive Chairman, Allcargo Logistics has been felicitated by one of India’s oldest foundations ‘CHEMTECH’ in their ‘Annual Leadership & Excellence Awards 2014’ recently held in Mumbai. He has been conferred with the prestigious ‘Business Leader of the Year’ award in the logistics category. The Leadership & Excellence Awards ceremony was part of the foundation’s ‘Annual Shipping, Marine & Port (SMP) World Expo 2014’. The International Exhibition & Conference was organised to provide insights, discuss challenges and opportunities for Indian Marine, Shipping, Ports and logistics service providers and manufacturers, to become globally competitive by showcasing latest innovation and bridging the gap between technology providers and users.

Shashi Kiran ShettyFounder and Executive

Chairman, Allcargo Logistics

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Sanjiv EdwardCargo Head, DIAL

“Congratulations to the entire team, who initiated EDI at IGIA under KS Kunwar’s visionary leadership. This has been possible due to contribution of Late Gurmeet ji and MD Kala. The legacy has continued with now Delhi being recognised by IATA as the first ‘e-freight compliant’ station in India.”

Tushar JaniChairman, CSC India

“Congratulations to the team. I know and have experienced personally, the energy injected by PS Nair right from beginning to establish the modern cargo terminal then, which is serving till now, added with KS Kunwar’s hard work.”

International AirportTerminal News

Kunwar appears to be satisfied with the success the EDI initiatives have

brought in for the shippers. “There was a lot of resistance from the user’s side about the credibility of our system. But we succeeded due to the relentless efforts made by the whole cargo team - the committed workforce down the line with unbelievable team coordination by HODs and hardwork and excellent professionalism shown by the IGIA Cargo IT team, headed by Late Gurmeet Singh and MD Kala,” said Kunwar. “On this occasion. we would like to pay our humble tribute to Late Gurmeet Ji for his dedication, sincerity

and honest approach towards this task who gave his life to this passion,” he further added.

Kunwar also commended the AAI management, the CHA and Freight Forwarding community, local Customs IT department/NIC, the then Secretary Commerce and DDG for their support to make the venture a reality.

“IGIA implemented EDI in imports during 2009 and accordingly implemented web-based EDI in both export and import cargo operation and documentation in its true spirit,” Kunwar pointed out.

Edmund Evans Jones Regional Director – North IndiaGlobal Air Transport Services

“Congratulations to KS Kunwar and the stalwarts in the team that made it happen. Of course, we cannot ever forget Gurmeetji. May his soul rest in peace!”

Mahesh TrikhaChairman-NRACAAI

“The freight community always looked at KS Kunwar for the best of options and implementation by him and his team. I still remember the brief discussion I had with him on EDI and other custom and infrastructure related issues, which our fraternity along with exporters and importer had been witnessing on daily basis, which always proved to be bottleneck for growth.”

IGI Airport completes 8 years of EDI operationsOn February 13, 2014, IGI Airport Cargo Terminal, Delhi, has completed eight years of implementing web-based EDI operations in export. Cargotalk speaks to KS Kunwar, Director General, Air Cargo Forum India and a former AAI official and one of the architects of the project about his experience.

Congratulations from the Industry

KS Kunwar Director General, Air Cargo

Forum India

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Guest ColumnEnhancement of Efficiency

it is heartening that many of our industry operators have adopted well with the modern systems with collaborations from the import partner and exporting

counterparts in other countries. The operators in other Asian countries, Europe and Americas are much more advanced with modern infrastructure, technology, state-of-art facilities and highly skilled manpower.

There is a need for formal training in different processes of air cargo management and logistics industry in India, if it has to keep pace with the fast-paced developments elsewhere in the world. Today, logistics is not merely movement of goods. It has been replaced by supply-chain management. It is logistics, end to end.

Technology has become an important enabler. It interfaces at each stage of the movement of goods. It could, at the same time, be a hindrance, if the organisations involved in supply chain management are not adept or prepared. Today, every market operation is online. The air cargo operators are connected with the production and distribution centres. They have to act in real-time to meet the timelines, being an important link in the distribution process encompassing all modes of transport.

what should the industry do Airports Council International (ACI) has predicted doubling of air cargo movement i.e. approximately 260 million metric tonnes by

2031. India has seen just over 22 million metric tonnes in all its 127 airports and combined for domestic and international air cargo. India is predicted to become the third major economy after USA and China by mid-century. It has already overtaken Japan in purchase power parity. But just imagine the difference in the total value of GDP 1.8 trillion compared to over 6 trillion dollars of China. All this means that there is a lot of potential for growth of air cargo and logistics and that sky is the limit.

So if we have to reach the required volumes of the GDP, we have to think seriously. We ought to think of getting together with the Universities, Education and Training organisations to secure industry specific courses for their employees so that they can match the highest standards of knowledge and skills needed to perform efficiently in the system.

indian aviation academy I had the privilege of heading the Indian Aviation Academy as a Founder Director and develop the industry specific training courses in diverse aviation management fields. The courses included air-cargo management, DGR (basic and refresher) and AV-SEC air cargo.

The Academy is the first autonomous organisation of its kind in the country, recognised by ICAO and IATA, dedicated to capacity building in civil aviation sector. It is jointly promoted by Airports Authority of India, Director General of Civil Aviation

and the Bureau of Civil Aviation Security. The academy is fully established with approximately hundred training programmes from 3 days to 10 weeks in airport operations, air cargo management, DGR, airport engineering, commercial aspects and general management functions such as finance and human resources. ICAO international fellowships are also held at the academy along with BCAS courses including Aviation Security, Aviation Security Auditors trainings. Meanwhile, IAA has been recognised internationally. It has been handpicked and awarded ‘International Arch of Europe’ for its exceptional achievements in quality education and training in aviation.

recommendations After being a part of air cargo and aviation industry for over 36 years, I think a lot is yet to be done in the area of preparing human resources to meet the challenges. There is no short cut to achieving efficiency. One has to take a holistic view of the human resource requirements and its development to shoulder the responsibilities in different areas of operation with appropriate specialised training. ACAAI and FFFAI have devoted considerable effort in this direction and I am sure they are aware of its importance in meeting the challenges and growing their business.

(The author is the former Director, Indian Aviation Academy and former Executive Director -Cargo and Airport Director, Chennai Intl. Airport, Airports Authority of India)

Indian Aviation Academy fulfilslack of skilled manpowerThe air cargo industry has a shortage of skilled manpower. Traditionally, the Indian logistics and air cargo industry relied on training the employees on-the-job. The situation is changing now but the pace is yet to pick up.

DInESH KuMAR

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