Good roads are important for logistics, but in India, success also relies on these 5 other factors

In a diverse country like India, building roads cannot speed up logistics. The work of a road is only to carry goods from one place to another. Now to deliver those goods to the consumer, a large skilled workforce is needed for packaging, labeling, loading and unloading of goods along with the arrangement of storing the goods. These things should be considered to make logistics effective. What are the 5 major factors that can make logistics successful in India?

(1) Technology and digitalization

The advent of technology and digitalization such as GPS tracking, ERP software, real time data analytics and e-governance has made logistics more effective. You can know the location of your product or service by using GPS tracking.

Highways in India

 By using real time data analytics, we can take better and more assured decisions. Due to e-governance, there is no delay in importing and exporting goods and services from one state to another because everything has become online. Through which all the clearance is obtained sitting at home.

(2) Warehouse and storage facilities

Fruits and vegetables are preserved in the warehouse to last for a long time. Which is also called cold storage. The number of cold stores in India is 8000. In which about 390 metric tons of fruits and vegetables can be stored. Every year in India, about 1000 tons of fruits, vegetables and grains get spoiled due to lack of cold storage. Which not only leads to loss of revenue. 

Trucks in India

But the revenue deficit of the Government of India also increases. As a result, the agriculture sector of GDP is also affected.  By storing the fruits and vegetables in the warehouse, they can be used for a long time as they are equipped with various types of refrigerators and other machinery which keep the fruits and vegetables fresh.

(3) Policy and Regulation

Government policies are also very important for the success of the logistics sector. If the government policies are very strict, then the logistics sector does not develop that much. If there is a little laxity in the policies, then logistics develops a lot, like in 2017, the BJP government implemented GST, due to which traders have to pay a type of tax. 

Due to which there is no cascading effect on them. But there are some flaws in the policies of the Government of India, such as there is still no better coordination between the states and whatever government schemes are being run for the development of infrastructure, they are not being implemented at the grass root level. Due to which the logistics sector is getting affected a lot. The government should make such rules and regulations which give a lot of intensity to the logistics sector.

Watch Video : Real Life of a Female Truck Driver in India 

(4) Workforce and Skill Development

The logistics sector also requires skilled workforce like drivers and packers and apart from this, technicians and engineers are required. Which can make the logistics sector continuously dynamic.  Without them, the logistics sector cannot be imagined because any product is made. From making that product to selling it, those who help in between like drivers, packers, all these are considered the core of the logistics sector.

(5) Public Private Partnership

Without public private partnership, it is impossible to develop infrastructure in India. Public private partnership is required for the

Government on Logistics sector

development of railways, roads, ports and industry. The Indian government does not have enough money to develop the infrastructure independently. Unless it joins hands with private companies. The advantage of public private partnership is that it increases investment and new technology comes and apart from this, the logistics network develops.

Conclusion

Good roads are essential for logistics. But it cannot be effective alone, for this, government policy and good workforce and modern warehouses are needed. This is how the logistics sector develops.