1
FFFAI
Samir J Shah-Member EX Committee.
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LOGISTIC OPPORTUNITIES
IN VALUE ADDED SERVICES
IN INDIA
3PL (Third Party Logistics)These companies invest on development and maintenance of warehouses, fleets,
and set up teams and/or systems to handle freight consolidation, route
optimization, etc.
The small and medium sized businesses lack the capital for such investments and
are always at a risk of loss due to shipment delays, under-utilized cargo space
and lack of visibility.
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While 3PLs in developed markets already provide some or all of these services,
most of the Indian players offer only plain vanilla transportation services.
In India,@
• 36% of manufacturing firms use third party logistics (3PL) service providers for making dispatches,
• 30% use 3PL service providers for procuring their material from their suppliers. In fact, a vast majority
of the vendors run their businesses with a fleet of 5 trucks or less.
•
Thus, there exists clear prospects for 3PLs to, in addition to
transportation, offer tailored solutions to the businesses based on their
size
and
needs
supply
chain
consultation,
shipment
routing/consolidation, freight audit, freight forwarding etc.
2
Logistic InfrastructureGoods are transported mainly by road and rail in India.
•Road transport is controlled by private players,
•Rail transport is largely handled by the central government.
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•With the second largest road network in the world, road contributes to 54.5% of the
freight transport.
•Road is preferred because of its cost effectiveness and flexibility.
•Rail is preferred because of containerization facility and ease in transporting shipcontainers and wooden crates.
•In order to encourage trade by small scale industries, Indian Railways has started a
“road-railer”system where container vehicles are capable of running both on
highways hauled by trucks and on rail.
•The 'roll-on, roll-off' ('RO-RO') concept between Mumbai (Kolad) and Goa (Verna)
exists. Privately owned trucks are loaded with their goods which are driven on to a
rake of flat cars and are carried (trucks and their cargo) to the destination.
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Logistic Infrastructure•Sea is another complementary mode of transport.
•95% of India’s foreign trade happens through sea.
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India has
•12 major ports, six each on the West and East coasts and
•185 minor ports.
Following table shows that the preferred mode of cargo movement in India is Road
as compare to the Rail, Air and Sea.
Because roads are almost covers all the areas in India as compare to the other
mode of transportation.
Due to underdeveloped infrastructure and other service to choose best mode of
transportation is road.
As road covers almost all the rural, urban and hilly area as compare to railway.
4
In India cargo movement by air is least among the other three modes this due
to high cost involved in this mode of transportation
% of Total cargo movement
Air
2.5%
Sea
20%
Railway
23%
Road
54.5%
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Mode of Transport
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Government is now betting big on public-private partnership projects
(PPPs) for the development of
• highways,
• port connectivity,
• dedicated freight corridors and
• establishment of free trade warehousing zones (FTWZ).
•There is need for Exim based logistics infrastructure like number of ICDs
needed would be doubled in next 5 to 10 years and critical need for Free
Trade Warehousing Zones (FTWZ)
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TOTAL ESTIMATE OF BUSINESS SPACE IN LOGISTICS
SECTOR IS AS FOLLOWS
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Warehouses-
Warehouses now look to provide additional services like
• consolidation and breaking up of cargo,
• packaging,
• labeling,
• bar coding,
• reverse logistics etc.
It has emerged as a critical growth driver, leading to large investments
by logistics companies for the development of warehouses and logistics
parks. 26% cost of logistics in India, is due to warehousing, packaging
and losses. The distribution practice of pushing goods down the channel
might be responsible for high increase in the inventory and warehousing
costs.
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The role of a warehouse has also transformed from a conventional
storehouse to an inventory management set-up with a greater emphasis
on value added services.
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% share of Logistic cost in total sale
Cement
15%
Steel
6%
Food and Beverage
5%
FMCG
4%
Durable
4%
Apparel
3%
Auto
3%
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Name of Industry
9
THE BELOW TABLE SHOWS THAT ZONAL ATTRACTIVENESS IN INDIA
SEZs
Retail
Warehouse
Develop
Capacit
ment
y
Logistics
park
South
40%
20%
20%
30%
West
55%
50%
60%
50%
North
5%
20%
15%
10%
East
0%
10%
5%
10%
Out of the four zones West zone is better develop as compare to the
other zones and the least develop zone is East zone. South and North
are shows the 2nd and 3rdposition for the development of the zone
respectively.
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Zone
10
As per Planning Commission, agro warehousing
needed is 35 mn MT in next 5 to 10 years.
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There is urgent need to create modern agro
warehouses. This would be critical for sustaining for
sustaining agriculture.
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Inland Container Depot- Standardization of containers promotes a
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mechanized form of cargo handling. Containerization has also led to
demand for services of ICDs and CFSs for stuffing/de-stuffing of
containers and also custom clearance away from the ports. ICDs will
benefit significantly from increased containerization of goods and entry
of private rail operators. The ability to control traffic flow is the key for
operating a CFS. A CFS/ICD that operates its own container terminal,
freight forwarder or shipping line is well positioned to benefit from the
surge in ocean freight. Presence of railway siding would play a key role
in freight handled and throughput of the ICDs. Another critical success
factor for ICDs would be road connectivity and proximity to industrial
belts or SEZs
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Custom Clearing and Forwarding- It is to provide timely and
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accurate confirmation of shipment status via the web, EDI (electronic
data interchange), or other communication tools as appropriate and to
providing on-time service and real-time order status. It is focused on
creating quality service tailored to meet the unique delivery
requirements of the customer
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Packaging-
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In India, consumer preference is increasing for
“clean”,
“safe”,
“hygienic”
“nutritious” and
“properly packed, labeled and presentable” food items.
Introduction of modern state art technology in processing, packaging, labeling,
preservation of perishable goods is required to improve "quality" for domestic
and export markets.
With economic liberalization and free trade under WTO, the domestic products
have to maintain "quality" to face the stiff competition from imported foreign
perishable goods.
Packaging is most important for jewelry and gems logistics. Until the jewelry
pieces are tactfully packed and are safe, the entire investment in the logistics
may be futile. Undoubtedly, all sorts of jewelry are precious and require special
care while packaging. All measures are taken by the jewelry retailers to ensure
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that the precious merchandise is well protected and cushioned to avoid damage
from jerks and accidents
Integrated Transportation Hub40% cost of logistic in India is due to transportation.
Inventory and transport planning is a key to reducing operational cost of distribution.
98% of manufacturing firms in India have a contract with trucking companies for making dispatches and
only 11% own their own fleet of trucks.
It can be seen that
about 4% of firms have less than 5 suppliers,
about 85% of firms have less than 5 plants,
about 14% of firms have less than 5 regional distributors, and
about 9% of firms have less than 5 retailers.
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So, to reduce cost we have need for integrated transportation hub.
It requires detailed information of
• major transporters,
• users,
• operators of Logistics Parks to determine need gap of
• institutional,
• legal,
• infrastructure,
• facilities desired,
• demand assessment to estimate of total number of commercial vehicle arriving and leaving the
park, and warehousing requirement, parking space, traffic circulation plan.
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Integrated Transportation HubA similar statistics is obtained for other ranges of suppliers, plants, distributors, and retailers.
The same for distributors and retailers is 22% and 54% respectively.
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What is worth noting is that
63% of firms have more than 100 suppliers,
about 39% of firms have more than 100 distributors, and
77% of firms have more than 100 retailers.
17% of firms claim to have more than 500 suppliers.
This is perhaps where difficulties in managing logistics in India due to larger the number of suppliers or
distributors.
So, higher is the cost of coordination.
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Integrated Transportation HubOf the manufacturing firms that operate more than one plant,
48% of these plants are located more than 100 kilometers away from each other,
33% of these plants are located more than 500 kilometers away from each other and
18% of these plants are located more than 1000 kilometers from each other.
Location policies of the past may have forced some firms to locate plants away from each other.
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Similarly, on an average,
only 4% of suppliers are located within 5 kilometers of the manufacturing plant,
about 13% are located within 5-25 kilometers of the plant,
16% are located within 25-100 kilometers of the plant and
about 67% of suppliers have facilities that are more than 100 kilometers away from the plants.
However, this may be coming to haunt today as the cost of coordination increases and the ability to provide
quick response to customer requirements might reduce.
This problem gets exacerbated with suppliers.
Manufacturers have to either develop suppliers separately for each location thereby, increasing the number
and affecting consistency in quality, price & delivery times, else material has to travel longer distances if
there is a common supplier to all plants
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BUSINESS OPPORTUNITY IN INTEGRATION
TRANSPORTATION HUB-
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Each location where a CONCOR DCT is located
 No. of locations –15; Total Project Cost –Approx
Rs. 1125 Cr

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Inventory Management-
For example, the low change in order processing & administrative costs in the
cement sector could possibly be due to the use of call centers by various
producers for order processing and dispatch planning.
Labeling and Order Processing10% cost of logistic in India is due to order processing and
administration.
Order processing includes receiving orders from customers, prioritizing
orders, scheduling dispatch etc
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24% cost of logistic in India is due to inventory management.
Inventory and transport planning is a key to reducing operational cost
of distribution.
Inventory management is required to minimize cost of fulfill demand
and supply.
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Cold Chain FacilityCold chains are essential for storage and distribution of
•perishable goods and
•temperature sensitive pharmaceuticals and
•biological preparations and
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forms an integral part of their supply chain.
The present cold storage capacity in the country is grossly inadequate and with a
positive future outlook for
• the agro,
• food processing,
• retail and
• pharmaceutical industry
there is an urgent need to scale up and develop integrated cold chain facilities
across the Country.
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Dairy and Milk Production
 Poultry Production
 Fisheries Production
 Horticulture Production

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A)Dairy and Milk Production•With an estimated 86.8 million tons of annual milk production from animals
managed by nearly 70 million farmers, India is the top-most milk producing
country in the world.
•The average annual growth is about 5.6%.
•With rapid industrialization, economic growth and 250 million potential
economically strong domestic consumers of milk and milk products, there is a
very strong potential for future growth of the industry.
•As a result, many plants have become uneconomical, non-functional or they
are working much below their potential capacities.
•Alternative strategies need to be developed to store raw milk in bulk coolers in
the rural area and transport it in bigger volumes at a longer interval.
•There is also a need to use alternative and cheaper energy sources
to store cool milk, and develop rural markets so that much of the milk
produced in the rural areas finds consumption avenue in the nearby
local markets
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•In absence of properly developed infrastructure for preservation of
raw milk in local areas many plants in Govt. sector collect fresh raw
milk from the far-flung rural areas (each producer having very small
quantities) twice a day , send it over a long distance to towns for
processing, incurring high cost on transportation. This erodes the
profitability.
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B)Poultry ProductionThe annual growth rate is
•8-10% in egg and
•12-15% in the broiler industry.
•According to a Kuwait based broiler Company, the demand in Gulf (West Asia) is
60000 tons of frozen chicken per month. In Kuwait ,the firm sells 1000 metric tons
per month.
•One of the challenging problems faced by the Indian exporters so far is
that the export demands are in huge quantities while the quantity
available for export per lot from India is very small due to fragmented
small sized farms with little or no facility for processing, refrigeration
and marketing with infrastructure for maintaining a cold chain during the
transportation of products.
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•With the annual production of 33 billion eggs, India is the fifth world’s largest egg
producing country.
•It also produces 530 million broilers per year.
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C)Fisheries ProductionIndia has a coast line of about 6100 km ,
export economic zone of 2.02 million sq km with a continental shelf area of 0.5
million sq km along with peninsula.
India ranks 3rd in world production with total annual fish production of about 5.65
million ton.
For that, resource specific vessels for exploitation of deep sea
resources, development of fisheries infrastructure facilities on landing
sites, harbors and establishing cold chain from production to
consumption is required
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Most of the production is in the coast line states. They have grounds for captive
rearing of prawns and fish and have many processing plants some of which are
100% export oriented units.
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D) Horticulture ProductionIndia may be among one of the world’s leading producers of horticulture products but more than
half the fruits and vegetable produce end up rotting as waste, even before it arrives in the market
for sale.
Poor post-harvest methods of warehousing, storage and unsafe transportation from point of
production to point of sale are among most prominent causes of this avoidable value drain.
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The key issues in the Agri-logistics related to the development of the cold
chain industry are of
• non-standard pricing,
• limited financial capabilities of the transporters,
• opportunistic profiteering,
• lack of scientific handling of produce and
• consequent high prices and
• limited choices for the consumers.
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D) Horticulture Production-2
As per industry estimates,
•approximately 104 million tonnes of perishable product moves in the country in a year.
•Out of that around 100 million tones goes through the non-reefer mode and
•remaining 4 million tonnes goes through reefer transport.
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Out of the 100 million tonnes of perishable load
•96 million tonnes directly enter in local and regional markets.
•Out of this volume, around 86 million tonnes is sold through the wholesale and retail outlets
based in regional and local markets without warehousing and cold storage conditions and
•10 million tones is the produce that requires cold storages even when they enter the markets.
Accordingly the requirement of cold chain across the country by the stakeholders far
outstrips the handling capacity of the available cold chain infrastructure in the
country.
Container Corporation of India (CONCOR) is moving into cold chain logistics in a big way and is
developing a cold supply chain business in the form of suitable logistics infrastructure as well as
state-of-the art storage facilities to sell fresh fruits and vegetables in the global food market.
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Reverse LogisticsMany logistics movement of goods go beyond the conventional supply
chain perspective and thereby generate additional business
transactions.
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These include
• failed components repaired to serve as spare parts,
• unsold stock being recovered,
• old products improved to meet latest standards again,
• reusable material returned and
• refilled / re-developed etc.
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Reverse Logistics-2
Reverse product flows may generate value on a product, component, or
material level.
However outsourcing the management of reverse logistics flow entails
that the third party service provider has the mechanism to respond to the
customer’s query, develop suitable system to collect the old product from
the customer and if required possibly replace it with a new product,
deliver the product to the manufacturer’s location.
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While earlier, the manufacturers tried to manage their reverse logistics
system in-house, manufacturers are now also seeking the option of
outsourcing of their entire reverse logistics network to third parties.
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Air CargoThe use of air as the mode of choice for the movement of cargo
has increased over the past few years.
At present India contributes over 1% of the world air cargo traffic.
The major commodities being air freighted out of India are
• garments,
• machinery components,
• pharmaceuticals,
• dyes,
• chemicals and
• perishables such as fruits, vegetables, flowers, fish and meat.
• Telecom items,
• gems & jewelry,
• electronics,
• IT related equipments etc.
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The five major airports (Mumbai, Delhi, Kolkata, Chennai and
Bangalore) account for around 88% of the total air cargo
handled in India.
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



Current worth is Rs. 100 bn which is expected to increase to Rs.
400 bn in next five years
International Air Freight –0.92 Mn MT
Domestic Air Freight –4.3 Mn MT
80% of international cargo is handled at Delhi & Mumbai
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THERE IS URGENT NEED FOR AIR CARGO PROCESSING SPACE, IN LIGHT OF
CARGO CAPACITY ENHANCEMENT AT AIRPORTS AND ARRIVAL OF WIDE
BODIED JETS CAPABLE OF CARRYING SUBSTANTIAL CARGO AT AN
ECONOMICAL COSTS. CURRENT CAPACITY IS 50000 SQ.M. AND THE TOTAL
PROCESSING SPACE REQUIRED IS 200000 SQ.M SIZE OF BUSINESS IN AIR
CARGO IS AS FOLLOWS-
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GOVERNMENT INITIATIVES TO RAISE BUSINESS IN AIR CARGO-




Modernization / restructuring of Delhi, Mumbai, Chennai
and Kolkatta Airports
Greenfield airports at Bangalore, Hyderabad, Goa, Pune
and Navi Mumbai
City side development of 35 Non-Metro airports
MoCA planning to allow foreign airlines to stake of upto
75% in cargo airlines
Indian has started automation of cargo operations
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
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Business Opportunity in Air Cargo
Total warehousing & processing space required-2,00,000 sq. m.

Total available space-50,000 sq.m => Infrastructure Gap of 1,50,000
sq.m.

Project size = Rs. 300 Crore (@ Rs. 20,000/ sq. m. of development)
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Prospective Areas-
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Courier and Express Services- Cost and time efficiency from smoother
roads combined with expected growth in document shipments and high-value
products such as mobile phones, network hardware, jewelry and branded
drugs will allow the express industry to continue to grow at 25%-plus rate.
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Order Consolidation and Load Optimization-Consolidation
activity is matching multiple partial shipments into volume
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shipments. Expert Transportation Coordinators uses
Transportation Management System to confirm the
match and plan the shipment according to delivery
requirements. This consolidation and optimization
capability yields cost-savings and improved on-time
delivery. multi-stop consolidation services amongst
customer orders or within a single client's orders
delivering to the same consignee or geographical
areas, providing significant transportation savings
for participating clients
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Drayage- Drayage services is to/from ports and rail yards or to a customer’s
.
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site to support intermodal and international shipments. It is services as part of a
total logistics solution, allowing customers to execute various aspects of their
supply chain with one source. It to manage vendors, freight payment, and
ensures that everything is on schedule for on-time delivery. All of these services
are conveniently invoiced, saving the customer the administrative expense of
managing and processing multiple invoices from each provider.
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Track and Trace- Track and Trace services depend on the solution that
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works best for the client. Shipment information can be made available on
the web, via auto e-mail notifications, or customers can contact the
service provider to know the location of the shipment and to provide
tracking services for shipments of all modes, including intermodal, rail
and international shipments.
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Transload Services- Transload services entail the physical transfer of goods
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from one means or mode of transportation (i.e., truck, rail, air, ocean barge, or
intermodal) to another. It is helpful in multimodal transportation, product arriving
in railcars, intermodal containers, and domestic trailers can be received, and in
turn ship product out via almost any transportation mode prescribed by the
customer
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STATE WISE OPPORTUNITY IN SCM AND LOGISTICSLogistics Opportunity in Rajasthan
1)
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New ICD for Rajasthan- Rajasthan State Industrial Development and
Investment Corporation (RIICO) and Kribhco Infrastructure Limited (KRIL) to set
up a Rs.150-crore rail-linked inland container depot with allied facilities at Beda
Banki village near Hindaun City railway station in Karauli district.The KRIL also
plans to set up a Free Trade Warehousing Zone.
2)
Air Cargo Complex- The air cargo complex at the Sanganer Airport Jaipur
provides facilities for customs inspection and shipment of non-bulk goods.
3) Rajasthan State Industrial and Investment Corporation (RIICO)- RIICO, a
State Government agency, has developed more than 300 industrial areas across
various parts of Rajasthan. These industrial areas are developed with water, power,
roads, shops and telecommunication facilities. Currently More than 26633 industries
are in production within the industrial areas developed by RIICO in Rajasthan.
Some of the Important Parks Developed by RIICO are :
 Export Promotion Industrial Parks (EPIP), Jaipur, Jodhpur and Neemrana
 Special Economic Zones (Jaipur and Jodhpur)
 Agro Food Parks (Kota, Jodhpur, Sriganganagar & Alwar)
 Information Technology Parks (Jaipur, Jodhpur, Kota and Udaipur)
 Gems & Gold Jewelry Complex (Sitapura, Jaipur)
 Textile City (Bhilwara)
 Leather Complex (Manpur Macheri, Jaipur)
 Ceramics Complex (Khara, Bikaner)
 Minor Mineral Complexes(Karauli, Sawai Madhopur, Dhoinda in Rajsamand)
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CONT..
Delhi-Mumbai Industrial Corridor Project- With the $50 bn Delhi-Mumbai Industrial
Corridor Project on the anvil, the State is bound to witness the up gradation and expansion of its
industrial clusters. Nearly 40% of the Industrial Corridor will pass through Rajasthan, throwing
open unparalleled business possibilities in the field of logistics. Strategically positioned between
the industry-laden northern states and critical trade ports of the western states, Rajasthan
presents immense opportunities for logistic solution providers to facilitate easy movement of
freight.
5)
Retail Industry in Rajasthan- With growing purchasing power, the State is showing a
tremendous opportunity. The emerging cities and overall economic boom have attracted top
retail brands and chain stores to Rajasthan. Opportunity is in Chain Stores, Malls,
Hypermarkets, Convenience Stores.
6)
Stone Industry in Rajasthan- Rajasthan is the hub of stone activity in India, accounting for
approximately 65% of India’s stone production.
Marble Stone- Rajasthan is the main depository of marble, reserves currently stand at 1144
million tonne, out of India’s total marble reserves of 2216 million tonne (90% of total marble
production of the country). This industry is spread over the districts of Nagaur, Udaipur,
Rajsamand, Banswara, Dungarpur, Jaipur etc. The main varieties in Rajasthan include Green,
Makrana Albeta White, Jhiri Onyx, Phalodi Pink, Ambaji White, Indo-Italian, Babarmal Pink,
Bhainslana Black, Forest Green, Forest Brown, Agaria White.b
Granite and Lime Stone- In Rajasthan, Granite reserves currently stand at 8479 million cubic
meters out of India’s total reserves of 42916 million cubic meters and 70% of the country’s Flaggy
limestone (Kota stone) reserves from rajasthan. Other stones include Sandstone, Slate are also
reserves here.
a)
b)
7)
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4)
Various Industry Sectors in Rajasthan- Agriculture, Cement, Energy, Gems and Jewellery,
Handicrafts, Mining Stone, Textile, Tourism.
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LOGISTICS OPPORTUNITIES IN MADHYA PRADESH
1)


Developing infrastructure for supporting the identified industrial clusters
Reviving closed down/ sick industrial units by granting special packages.

Attractive incentive schemes.

2)
MPAKVN- In a bid to build a competitive environment; industries and their ancillaries would be promoted
in clusters based on the availability of raw materials, skilled labour and market potential. Under this
Industrial Policy through Madhya Pradesh Audyogik Kendra Vikas Nigam Ltd (MPAKVNs) scheme, the
State Government, has identified industrial clusters. Many of the industrial giants have their
establishments in these areas, however 44% of developed area is still untapped and open for investment.
3)
Warehousing- The state requires an immediate addition in capacity at trategic locations to ensure quality
services to the target market. The partition of the state has affected its warehousing capacity. The
Government is taking several initiatives to promote investments in this area to rebuild its warehousing and
logistics might. The state offers a lucrative utilization rates of 80-85%, which can be as high as 90-95% at
strategic locations. The Governments also invites private developers through lucrative business value
propositions. The Government has identified 11 locations as the hubs requiring immediate attention and
have the capacity to become the major distribution centers for logistical activities and management.
Further, 23 other locations require capacity building to meet requirements.
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
Industrial Policy- The Government of MP has devised an investor friendly industrial policy, which is
aimed at achieving global competitiveness. The policy emphasizes on industrial growth in the state through
adopting cluster approach, establishing specialized infrastructure and offering favorable incentives. The
main thrust of this policy is:
Establishment of a Madhya Pradesh Trade and Investment Facilitation Corporation which would
take decisions about rationalization of taxes, facilities of mega projects and other related matters.
Enacting an Industrial Facilitation Act and to change the rules of business with a view to make single
window system decisive and result oriented.
42
CONT..
Location Advantage- Central location of MP facilitates equidistance connectivity with major
Indian cities. The strategic location is the key incentive for various industries to establish
their logistics hub in the state. MP is the connecting link between the northern & southern
states and eastern & western states of the Country. All major highways and rail routes passes
through the state. On completion, the North-South and East-West corridor passing through
the state will provide further impetus to the logistics sector due to improved connectivity with
key metro cities. Companies can save a maximum of 25% of the transportation cost by
locating their warehouse in MP via locating it in North. Similarly saving of 17%, 23% and 16%
can be made in MP via locating it in southern, eastern and western part of the country. Since
90% of the operational cost of a logistics company lies in transportation, substantial savings
can be made by locating the company in the central region. The peaceful labour environment
in the state makes MP a favorable business destination. Well developed infrastructure of
roads and airports facilitates timely and expedite movement of goods across the country.
5)
Cold Chain Facility- Cold chain facilities have the potential to cater to the needs of
pharmaceutical, biotechnology and food processing companies. A central unit will facilitate
distribution in the wider area without locking investment in creating such expensive facilities
in multiple places.
6)
Integrated Transport Terminal- Madhya Pradesh State Industrial Development
Corporation (MPSIDC) is planning to construct a state-of-the-art Integrated Transport
Terminal, which will provide one stop-shop solution for all the logistics requirements of a
company. The State Government is willing to partner with private players, foreign investors
and other domestic and international companies in its endeavor.
7)
Central Warehousing- A central warehousing facility would facilitate uninterrupted supply
of raw materials and speedy distribution of finished goods across the country. Decrease in lead
time will further result in substantial cost saving for the company. So, Madhya Pradesh offers
multiple opportunities in the logistics sector specially for companies engaged in
manufacturing and distribution activities.
FEDERATION OF FREIGHT
FORWARDERS ASSOCIATIONS IN INDIA
4)
43
LOGISTICS OPPORTUNITIES IN KERALA
Tourism- Picturesque locales, breathtaking scenic delights, treasure trove of
architecture, Kashmir of the South - tourists flock to Kerala to savor wondrous
creations. The burgeoning tourist industry is a huge money spinner for the country.
2)
Sea Food- Sumptuous sea fare dished out by restaurants of Kerala, scores brownie
points with tourists visiting the backwaters. It comes as no surprise then that
seafood industry is one of the top revenue earners for Kerala. It is famed for
supplying about 2,50,000 tons of squid, tuna, shrimps, lobster, cuttlefish and
sardines, accounting for about half of the country’s total output.
3)
Vegetation and Horticulture- A variety of spices are also the mainstay of the
booming Kerala industrial sphere. Ginger, chillies, cardamom, turmeric, pepper
estates dot this magnificent state. Ninety six percent of India’s pepper is credited to
this glorious state. Pepper plantation occupies an astounding one hundred and fifty
eight thousand hectares. An assortment of spices boasts of medicinal properties and
are also used as herbal healing products, besides enhancing the taste of lip smacking
delectable fares. India is one of the biggest exporter of spices in the world.
4)
Electronics sector- The electronics sector is an up and coming industry,
registering itself as a top revenue earner. The Electronics Technology Park of
Trivandrum registers high footfalls.
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1)
44
CONT..
Natural Minerals- Kerala is also a rich repository of several minerals and fine grained
soil. Sillimanite, Ilmenite, Monazite abounds in this state. Fire clay, Silica, Ball clay and
China clay, granite and graphite also occurs in large quantities in different parts of
Kerala, paving the path for a flourishing industry.
6)
Petroleum and Natural Gas- Petroleum and natural gas products is also an important
industry of Kerala. The Cochin Refineries Limited, producing seven million tonnes of
petroleum and natural gas, is a jewel in the crown of Kerala.
7)
Rubber Industries- The rubber industry occupies about 3.84 lakh hectares and boasts of
a turnover of 3.70 lakh tonnes that amounts to about ninety percent of the country’s total
rubber production.
8)
Infrastructure- The infrastructure of a state determines its prosperity index. A sound
infrastructure depends on the smooth functioning of health sector, education, transport,
power supply, banking facilities, telecom sector. Kerala’s infrastructure reflects untiring
efforts on the part of the Government to showcase the state as a lucrative business hub.
9)
IT sector- The information and technology sector, fuelled by the technology hub and the
Software Training and Development Centre situated in Trivandrum, is all geared up to
become a successful revenue generator.
10)
FEDERATION OF FREIGHT
FORWARDERS ASSOCIATIONS IN INDIA
5)
Various Industry Sectors in Kerala- Handloom, Handicrafts, ProcessedFood and Spices,
Ayurvedic\Herbal\Pharmaceuticals, Rubber and Moulded Plastics, Wood-based products,
Electrical and Electronics, Chemicals, Machinery
45
The Members of FFFAI have the ability and
willingness to partner with each and every
of you on all or any of the various Value
Added Logistic Services.
FEDERATION OF FREIGHT
FORWARDERS ASSOCIATIONS IN INDIA
Welcome to India !!!!!!!
47
FEDERATION OF FREIGHT FORWARDERS
ASSOCIATIONS IN INDIA
THANK YOU