Fuelled by government and legislative initiatives and a spurt in infrastructure, India is poised to fulfill its ambition of transforming into an export oriented economy. Lionel Alva...
The 22nd convention of the Federation of Freight Forwarders’ Associations in India (FFFAI), the apex body of custom brokers and freight forwarders, was held at the Grand Hyatt, Mumbai, on the 21 – 23 May 2015. The event was sponsored by Mumbai’s GVK Chhatrapati Shivaji International Airport.
The three-day event, taking place in the city after 14 years, was inaugurated by Maharashtra Chief Minister Devendra Fadnavis. The event by the FFFAI, that controls 90 percent of India’s international logistics trade, is considered to be the most important event in the industry, with widest participation from the stakeholders in the export-import (EXIM) trade.
Focus on bilateral trade With a focus on ‘Make in India’ and the impending implementation of Goods and Services Tax (GST), India is expected to ease its manufacturing and logistics woes. As India embarks on a massive manufacturing activity and is developing dedicated freight corridors as well as giving boost to inland waterways and coastal shipping, the freight forwarders, an important stakeholder in logistics industry, are gearing up to seize the opportunity.
Amit Kamat, Honorary Secretary, FFFAI Convention, asserted, “FFFAI is working actively to provide the requisite mindset, skill, technological roadmap and develop execution ability to handle the next growth curve in economy. This will help in reduction of transaction cost and provide efficient movement for manufactured products within & outside country.”
Guruprasad Mohapatra, Joint Secretary, Ministry of Commerce highlighted that the bilateral trade between India and Commonwealth of Independent States region has increased from $8,346 million in 2010-11 to $11,054.million in 2014-15. FFFAI on behalf of Ministry of Commerce conducted a successful dry run study on International North South Transport Corridor (INSTC). The activation of the corridor will help reduce dwell time and transaction costs by connecting India to Russia within 16-21 days at competitive freight rates leading to development of trade in the INSTC.
Blueprint for change Ergo, India’s logistics sector is set for expotential growth, led by economic revival, focus on transport infrastructure, e-commerce penetration, impending GST implementation, and initiatives like ‘Make in India.’ In the past two decades, Customs brokers have continued to play an important role as key facilitator in India’s international trade. India’s international trade has grown to a value of $312 billion of exports and $480 billion of imports. Customs brokers have contributed to this growth and have benefitted from this growth. FFFAI has acted as an elaborate platform to bring together industry leaders and formulate inclusive change.