India is the world’s fifth-largest economy, and soon the government plans to join the club of developed countries. The online market is one of the largest industries in India and has a huge role in uplifting India’s economy. And it has become due to the logistics technology that is being used in India. Recently, the Indian Government launched the New Logistics Policy India, which is considered a revolutionary step for the country.
We have discussed the new NLP and also discussed how this policy will help to take small and big businesses into the International market. Additionally, how can you use our platform to benefit from this new policy and increase your business worldwide?
What Is New Logistics Policy?
Prime Minister Narendra Modi launched the new National Logistics Policy India on September 17, 2022, in Vigyan Bhawan, New Delhi. According to this policy, India is targeting to reduce the cost and set the global benchmark by 2030. And by the same year, India also wants to be among the top 25 countries in the Logistics Performance Index (LPI) ranking.
This is not the new policy that the Indian Government wants to launch, as the development has been started eight years back. This new policy aims to lower the logistics cost by up to 13 – 14% and increase the competitiveness of Indian products in the home and international markets. It is estimated that it will end transport-related issues, save manufacturers time and money, prevent the wastage of agricultural products, and provide quick last-mile delivery.
It can become the game changer policy for the Indian market, so let’s understand how this can benefit small businesses in detail.
Significant Steps To Be Taken For New National Logistics Policy India
Logistics policy India is the backbone of the economy, contributing up to 14% of the Gross Domestic Product (GDP). It greatly impacts all types of industries, especially agriculture, manufacturing, and service sectors. And to provide more flexibility, India is taking some significant steps for the new National Logistics Policy India that are discussed below.
Integration of Digital System (IDS)
The Government is trying to integrate digital systems for various types of departments like road transport, railway, aviation, foreign trade, and commerce ministry. This will help to minimize the paperwork and make the procedure faster.
Unified Logistics Interface Platforms (ULIP)
The government is also taking various initiatives to reduce the cost of the country’s logistics by making it more efficient and broad. So, they propose to rope the private sector into its Unified Logistic Interface Platforms (ULIP). About 24 Digital Systems and 6 ministries have been integrated through ULIP and looking to create National Single Window Logistics to reduce the logistic cost.
This will bring all the digital services, including the transportation sector, under one portal. This will make the exporters free from the host of long processes, and they can run their business without any burden.
Ease of Logistics (ELOG)
National logistics policy India is also working on the Ease of Logistics, and in that regard, the capacity of Indian Ports has been increased, and time efficiency have been brought down from 44 hours to 26 hours. To achieve this, the time government has constructed 40 air cargo terminals, and 30 airports have been facilitated with cold storage facilities. Additionally, 35 multimodal hubs are coming up in the country that will make the waterways eco-friendly and cost-effective.
System Improvement Group
To deal with all these problems, the GoI has also integrated the System Improvement Group to monitor the system. They also help the trader to manage the logistics technology and suggest improvements if any issues are caught in the system.
How New NLP Is Going To Help In Different Types Of Logistics Management
The new logistic policy of India has come with so many features that can help all four types of the supply chain, which are discussed below.
Inbound logistics is the primary type of logistics that includes transportation, storage, and receiving of raw materials. This type of logistics sector requires manufacturing a product on your own and delivering the final items to the customers. The new logistics policy India can make the transportation process through the ELOG and ULIP.
SKUBIQ gives you storage support for the raw materials and contains a small manufacturing hub that is very beneficial for small businesses. It also provides lean inventory practices and lowers caring costs, high availability, and traceability.
Outbound logistics is the process of delivering the final product to the customer at a given period. Customer satisfaction is the logistician’s main objective, and they must ensure that the product reaches over safely. And ELOG will help t improve the delivery process efficiently and faster.
If you are running any business that deals with the International market or you want to make an International brand, you can contact us. We provide all the logistic technology that is inbound to deal with the cross-border market. Our company makes all paperwork easy and accessible digitally according to the new logistics policy India.
This usually happens with many entrepreneurs whose products have come back to them as customers were not satisfied. This process of returning the items after selling is called reverse logistics, and this is a common issue in online marketing.
But this is not an easy task as you need to manage your inventory again and look for the issues due to which this problem has occurred. SKUBIQ can be the solution to handle all these inventories, as we have an expert team that looks after reverse logistics and provides the best replacement for the customers.
Third-Party Logistics (3PL)
Third-party Logistics aims to transportation of products from the manufacturer to the customers. Drop shipping is the best example of Third-Part Logistics, where a logistician acts as a mediator and is responsible for promoting other’s products.
Many people prefer the 3PL strategy for starting their online business as you don’t need to manufacture your product. If you are one of those people, then you can join for the Third-Party logistics to start your business journey.
What Are The Logistics Issues Faced In The Indian Market
Though implementing a new national logistics policy India has been started, there are some issues that government needs to counter to speed up trade through domestic as well as International borders.
Transportation is considered the backbone of any logistics technology, and a successful delivery system is dependent on safe transport. But several problems come with the transportation of goods from one place to another.
Tax Structure and Warehouse problems
Many difficulties are faced by businesses due to the convoluted tax system of the country. There are several state and federal fees charged to the companies that slow the road travel time. Thanks to the new NLP where this paperwork has been included in the same portal, and Fastag technology makes traveling faster.
And another issue is the bad condition of the storage as there is no surplus number of warehouses in India. Due to this, the low-margin items storage facility is highly dispersed, and because of this problem, the price of the product increases. To deal with this problem, you can join us for the best storage facility. We provide a cloud-based warehouse that is tracked online through your phone and laptop.
Adopting New Technologies
Logistics companies have started adopting new and innovative technologies to improve their supply chain, and SMBs in India are still running their businesses in a traditional method. It’s not that they are not willing to update themselves, as the problem is they are unaware of the new technologies.
So to deal with this problem, SKEBIQ provides online services with integrated apps with easy-to-handle interfaces. With our logistics technology, one can easily learn the usage of online marketing and monitor their products and inventories.
Everything You Need To Know About SKUBIQ
SKUBIQ is a SaaS company that provides a cloud-based warehouse for entrepreneurs to store and maintain their products. It is an expert in providing a single-point operating platform for warehouse management. SKUBIQ focuses on SMBs and eCommerce businesses to provide the scales and delivery channel applications.
Using this platform, you can lower the logistic cost with high visibility of operational data for reactive and proactive decision-making. You can also improve your customer experience with high inventory management, faster fulfillment time, and the right product delivery at the right time.
SKUBIQ also follows different types of logistics strategies following the new logistics policy India. And this makes it a more reliable company to provide SaaS services.
Why Choose SKUBIQ To Opt For Logistics Technology?
SKUBIQ provides lots of key features that are designed according to the new logistics policy India. We provide the master data management that makes the supply chain easy to handle. You also benefited from the inbound and outbound logistics that are fully digital and can be tracked by your phone. Easy to manage inventory and housekeeping facilities to monitor the stocks and other issues like lost and found reconciliations.
Apart from storage and supply, SKUBIQ also provides smart billing called 3PL billing, auto data capture, and location management. The company also provides third-party API integration that makes it easy to grab information. The company comes with the feature of eCommerce integration and last-mile delivery integration with reporting and a dashboard.
The new logistics policy India has come with lots of opportunities for small and medium businesses that are flourishing in India. It is also going to help many startups that emerge and make the ease of doing business. And as India is going to digitalize, all the paper works in various technologies will play a very important role in business. So, there is a big job opportunity for people who are experts in the IT field.