SIAM AUTOMOTIVE LOGISTICS CONCLAVE 2023

The cost of logistics remains a major challenge. Abhishek Kumar Singh looks at the approach deliberated at the ninth edition of the SIAM Automotive Logistics Conclave

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The Society of Indian Automobile Manufacturers (SIAM) organised the ninth edition of the SIAM Automotive Logistics Conclave in Delhi. The objective was to address the supply chain inefficiencies blamed for the high logistics costs in the country at ~14 per cent of the GDP. Shovik Banerji, Partner, Kearney expressed confidence in road freight and stated that it would continue to remain dominant. He also acknowledged the freight handling by rail, terming the uptick as the industry being on a cusp of a transformation. He emphasised that multimodal, not only in terms of transportation but infrastructure like warehousing and ports, is key to address the inefficiencies in India’s automotive logistics. Leading industry voices are also committed to introducing a higher degree of sustainability while synchronising road and rail freight transportation.

ROAD AND RAIL SYNERGIES

Road and rail synergies can significantly enhance automotive logistics with the creation of a more efficient and sustainable transportation network. Leveraging the strengths of both rail and road transportation modes can result in cost savings, reduced environmental impact, and improved logistics operations as a whole. During the session ‘Synergies Between RailAnd Road Logistics’, S. P. Singh, Joint Secretary (IAHE & Logistic), Ministry of Road Transport and Highways, mentioned, “The government is focusing on the 4Is — Infrastructure, Information, IT, and Integration — to improve the effectiveness of the Indian supply chain. It is pushing digitisation and aiming to build a suitable information system to assist the industry. This will further pave the way to in determining the shortest distance, by emphasising integration.