Blockchained customs, end to end tracking and community systems will cut logistics cost: Joint secretary-Logistics

February 7, 2020: Keshav Chandra, Joint secretary- Logistics, Department of Commerce, Ministry of Commerce and Industry, informed that India will soon have technologies like customs managed by blockchain, goods traced from factory door to export terminals and cargo community systems across seaports and airports bringing down logistics cost.

He was talking in a conference organised by Air Cargo Forum India (ACFI) in New Delhi on February 5, 2020. The agenda for the conference was titled “Air Cargo – Digitization to Digitalization” with stakeholders including government regulatory officials, exporters, Importers and industry specialists from air cargo logistics trade & industry.

Air cargo in Indian economy

India is required to achieve three to four-time growth in the movement of international trade & commerce and contribute to become India $5 trillion economy in the near future. The conference echoed that the steps toward digitization & digital transformation of the industry could play a vital role in bringing improvements with the help of digital India program of the government of India.

"Why can't a cargo get onboard like the way passenger baggage moves in? People will not be willing to pay the premium if air cargo won't take up to the challenges like the upcoming Dedicated Freight Corridor or Delhi Mumbai Express Highway," said Ajith Pai, chief operating officer (COO), Delhivery.

Ajith Pai of Delhivery

Digital disruptions

Digital Logistics is the buzz word and Digitalization has become quite a catalyst for growth in almost every industry and Air Cargo industry has been a witness to this too. The digital disruptions are coming forward with the new innovations like artificial intelligence (AI), robotics, blockchain, data cloud, drone technology is expected to transform the air cargo logistics industry.

Dr John Joseph, member, Central Board of Indirect Taxes and Customs who stressed upon data privacy and security standards to be high, said “Freight forwarding industry is the barometer for the Indian economy and it is vital to work together for the national building activity. CBIC will be soon introducing the Single Window System 2.0 that will connect all importers, exporters and all government agencies by eliminating all physical submissions by which smoothing the flow of goods.”

Dr John Joseph of CBIC

Tushar K Jani, president, ACFI, said that the growth of Blue Dart came from digitization. The industry needs to understand GST, supply chain inventory management, only then the proper utilization and adaptation of IoT (internet of things), AI (artificial intelligence) and robotics will come into the picture. We urge the ministries to simplify the procedures at different scales and simplify the cost of optimization.” He strongly focused on spending money on data science.”

“Forwarders have accumulated knowledge from their years of experience. A new tech company can't suddenly tell what they want. But at the same time these players can't stick with analog systems and still be successful” said Gurpreet Singh Gill, regional head- Supply Chain & Logistics Solutions, Samsung Data Systems India.