New Delhi : The triple R’s approach of robustness, resilience and reliability signify the precepts of a successful supply chain paradigm, said Mr Jyotiraditya Scindia, Hon’ble Union Minister of Civil Aviation and Steel, at a session on Future Ready Supply Chains at LEADS-2022, organised by FICCI.
“I believe that in India, today, we are creating that ecosystem for supply chains,” he said, alluding to “changes taking place across the three most important fronts related to supply chain.”
“The first is policy,” the minister said, pointing to PM GatiShakti framework, “wherein you have close to 16 line ministries working together to put infrastructure projects online.” Mr Scindia then alluded to the “robust CAPEX pipeline” and the PLI scheme “to really power India as a manufacturing base of the world,” followed by the recently launched National Logistics Policy that “puts a new impetus on the logistics front.” He noted that the logistics sector in India, which is close to about USD200 billion today, should grow at a 10 per cent CAGR, growing to almost a $320 billion industry by 2025.
“The final area is the diplomatic front,” Mr Scindia added, “we are engaging with various countries across the globe, putting in place bilateral and trilateral rules to ensure that we give a fillip to our manufacturing sector services sector in India.” In addition, Minister Scindia highlighted the need to reduce the cost of logistics, enhance our export competitiveness, to become a manufacturing powerhouse.
Answering a query by Mr Sanjiv Mehta, President, FICCI and CEO & Managing Director, Hindustan Unilever Limited (HUL), the Minister alluded to the Krishi Udaan scheme, noting that almost about 140,000 metric tons of fruits and vegetables are transported now as opposed to about 80,000 metric tons about a year ago. “That’s the kind of growth you’ve seen in one year,” he said.
In addition, the minister noted that country’s civil aviation market almost doubled in the last eight years, with around 200 million domestic and international flyers as opposed to 104 million in 2013-14. “I believe our passenger numbers should go to 400 million in another six to seven years,” he said.
In this regard, Mr Praveen Iyer, Co-Founder & Chief Commercial Officer of Akasa Air, noted three critical areas from a supply chain standpoint. The first is ‘airport and infrastructure’, followed by ‘skilled manpower, pilots, engineers’ and ‘reducing the cost’.
On occasion, Mr Aadit Palicha, Founder and CEO of Zepto, spoke about the people-centricity within the Zepto supply chain using technology. “We have used detailed network design and geo-fenced locations so that delivery partners can spend all their time in one location right where they live and deliver, all in the same area,” he said.
Mr Richard Heald OBE, Non-Executive Director, TVS Supply Chains Solutions and Executive Chair, UK India Business Council (UKIBC), also spoke during the session. He noted, “one of the key things about surviving and developing and prospering in this market is technology.”
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