Trends reflecting the changing dynamics of shipping and logistics, according to a Splash news source.
Future of freight transportation and logistics
Successfully adapting to multiple layers of change will determine the competitiveness and growth of companies in the future of freight transportation and logistics, Pushpank Kaushik, CEO of India’s Jassper Shipping.
Freight transportation is undergoing significant changes in the shipping and logistics sectors with trends such as digitalisation, automation, data analytics, sustainability, last-mile delivery innovations, supply chain visibility, and collaboration.
The logistics and shipping industry can be highly profitable, benefiting from the growth of global trade and increasing demand for services, Kaushik says, but he notes that it is also subject to significant fluctuations and challenges of technology implementation, data privacy, sustainability costs, regulatory compliance, and adapting to changing trade environments.
“Effectively managing costs such as fuel, labor, maintenance, and infrastructure is crucial for profitability, which, among other things, is also influenced by market dynamics and supply-demand imbalances, which impact freight rates. The industry is also highly competitive, which can affect profit margins, especially in oversaturated markets,” he asserts.
Kaushik inherited his family’s logistics
For Kaushik, embracing technology, such as automation and data analytics, can improve efficiency and reduce costs. Compliance with maritime regulations and environmental standards can add costs but also create innovation opportunities.
At the helm of Jassper for the past 12 years, Kaushik inherited his family’s logistics business, which dates back to 1993. Based in Hyderabad, India Jassper has grown to become a leader in shipbroking, NVOCC, licensed vessel agency, and fuels. The company serves Southeast Asia, Africa, AG, Red Sea, and Far East regions with an extensive network of over 500 owners and operators, and Kaushik is committed to creating a top player in the global shipping industry by 2025.
He has been growing the company’s presence in various countries, including India, Singapore, and Dubai and is now embarking on a new venture to expand operations in the Netherlands and Mombasa, as well as to cover major ports in India, with claims to be the most well-connected NVOCC and liner agency handling over 5000 teu in various locations across the country.
The logistics sector in India is considered crucial to boosting international commerce, with almost 95% of the nation’s commerce by volume and 70% by value transported by sea. India is a potential location for shipping and transshipment in the future due to its 7500 km of coastline, 12 main ports, and 187 minor ports.
Kaushik sees several trends shaping shipping and logistics in India, such as “Make in India,” “Digital India,” and “Sagarmala” aimed at boosting manufacturing, digitisation, and port-led development.
Goods and Services Tax
The implementation of the Goods and Services Tax in India has streamlined logistics operations by removing interstate tax barriers and facilitating smoother movement of goods across the country, he notes, adding that the country is also investing in port expansions, dedicated freight corridors, and logistics parks, to improve connectivity and reduce transportation costs. E-commerce is another sector Kaushik observes experiencing rapid growth, leading to increased demand for efficient logistics and last-mile delivery solutions, where companies increasingly adopt digital technologies such as IoT, AI, and blockchain to enhance efficiency, visibility, and customer service.
“These trends reflect the evolving nature of the shipping and logistics industry both globally and in India, driven by factors such as digitalisation, sustainability, e-commerce growth, and government initiatives to enhance trade facilitation and infrastructure development,” Kaushik concludes.
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Source: Splash 247
