1 ELEMENTS OF LOGISTICS SYSTEM

2.2 INDIAN LOGISTICS INDUSTRY

2.3 SIZE OF THE LOGISTICS MARKET IN INDIA

Indian Supply Chain and Logistics Industry is more than USD 100 Billion in size and is the

backbone of Indian Economy. Our industry is growing at a rate of 8-10% annually and has been

a crucial contributor in the growth and development of the Indian economy. In the near future,

Traditional Logistics services like Transportation and warehousing would continue to

growth at a good rate. However, the big ticket growth would come from the Value Added

Logistics services in the near future.

At present, Outsourced Logistics accounts for only one-third of the total Logistics market in

India, which is a significantly lower proportion vis-à-vis the developed markets. Growth in this

industry is currently being driven in India by over USD 300 billion worth of infrastructure

investments, the phased introduction of VAT, the development of organized Retail and Agro-

processing industries, along with a strong manufacturing growth. In addition, we expect strong

Foreign Direct Investment inflows in the Indian markets, which would lead to increased market

opportunities for providers of Third-Party Logistics in India.

Therefore, India possesses substantial opportunities for growth in the Supply Chain &Logistics

industry in the coming years, notwithstanding the temporary jolt due to the economic slowdown.
2.4 FUTURE OF LOGISTICS - THE INDIAN SCENARIO:

According to a report by Cushman and Wakefield, real estate consultants, Indian logistics

industry is expected to grow annually at the rate of 15 to 20%, reaching revenues of

approximately $385 billion by 2015. Market share of organized logistics players is also expected

to double to approximately 12% during the same period. The report said about 110 logistics

parks spread over approximately 3,500 acres at an estimated cost of $1 billion are expected to be

operational and an estimated 45 mn sq ft of warehousing space with an investment of $500 mn is

expected to be developed by various logistics companies by 2012.

Demand for warehouses and logistics services are expected to accelerate further due to increase

in foreign trade and the upcoming Maha Mumbai Special Economic Zone. Warehouse rentals in

Panvel are expected to increase by 15 to 20% over the next two years. Proximity to textile and

auto-component industry clusters and other manufacturing units has made Kolkata a major

economic centre.

There are plans for 4 logistics parks spread across approximately 400 acres. Five logistics parks

are being set up in Hyderabad, spread across 220 acres and approximately 10 mn sq ft of

warehouse space coming up by 2012. It scores high as a logistics destination as 10 it provides

excellent connectivity to large markets in southern and western India and has established clusters

of textile and engineering firms, as well as an important centre for the pharmaceutical industry.
Revenue generated from 3PL:

Year Revenue (million USD)

2005 890
2008 1622
2012 E 3556

Interpretation: The above graph shows that 3pl share in the logistics industry increased with

the increased in revenue of the 3PL in the logistics industry in India.

2.5 OUTSOURCING LOGISTIC SERVICES –
A GROWING TREND

Outsourcing logistics services results in improved delivery schedules and reduced operating cost.

It also expands geographic reach and improves the operational flexibility. The study also showed

that less than 55% of Indian companies subscribes to the 3PL services, compared to more than

75% globally, which implies potentially brisk market growth.

Present trends indicate that the cement sector has gained the maximum advantage by outsourcing

logistics requirement to 3PLs, especially as logistics constitute between 10% and 15% of their

operating cost. For the automobile and engineering sectors, logistics account for 5% to 10% of

their operating cost and 3% 7% for the FMCG sector.

2.6

TYPE OF CONTAINER USED IN

SHIPMENT
HIGHCUBE REEFERS
BULKERS
FLAT RACKS DRY CONTAINER

TANKS ROOLTRALERS OPEN TOPS

2.7 Export-Import Flow Chart
2.8 STEPS INVOLVED IN EXPORT TRANSACTION

In freight forwarding, following procedure is basically followed: i.e.

 Firstly, the shipper/exporter authorizes an agent or say a freight forwarder in order to

export his goods to the consignee/importer.

 The shipper sends documents, Export invoice, packing list, IEC code and the banker’s

details to the forwarder.

 The shipper instructs the CHA about the various schemes or benefits that he wants to

avail.

 Forwarder will file online on EDI for shipping bill.

 Then shipping bill is generated and sent to the shipper for approval.

 In the mean time rates are negotiated with the Airlines and shipper’s approval is taken.

 Then, the booking is made with the Airlines.

 Then, the shipper sends the goods to the Forwarder’s warehouse. The weight and

dimensions are checked and proper marking and labeling is done.

 Then at office, online booking is made by Airlines and the terminal charges are paid

online.

 After the TC is issued, goods are sent from warehouse to Airport and then the process of

Custom Clearance basically starts.

 The airport authorities re-check the weight and dimensions and markings, etc.

 The documents are put up to the customs officers. After verifying the documents, the

physical examination of the goods is conducted.

 So, once the custom officer is satisfied, ‘Let Export’ order is passed.
  Then the custom cleared goods are shifted to the bounded area from where the appointed

airline uplifts the cargo to the dimension.

2.9 ELEMENT OF EXPORT INVOICE

 Exporter

 Consignee

 Invoice No. and Date

 Exporter Ref.

 Buyer order no and date

 Other reference

 Buyer (other than consignee)

 Country of origin of goods

 Country of final destination

 Terms of delivery and Payment

 Pre-carriage by

 Place of receipt by pre-carrier

 Vessel/ Flight no.

 Port of loading

 Port of discharge

 Final Destination

 Marks and Nos. / No & Kind of pkgs.

 Item code

 Description of goods

 Net weight

 Gross weight

 Quantity

 Rate CIF EURO

 Amount CIF EURO

 Amount in words

 Declaration:

 Authorised signature
2.10 EXPORT PROCEDURE AND DOCUMENTATION
2.11 LIST OF TOP LOGISTICS COMPANIES IN INDIA

Shine Travels and Cargo Pvt. Ltd

SHINE TRAVELS & CARGO PVT. LTD. Offers a single-source solution to manage the

transportation and freight, giving you the capacity to extend your business horizon beyond the

Indian skyline. Their expert and dedicated staff can design the most effective solution for their

company using a vast network of air, ocean, rail or road transportation modes. Shine is a

dynamic new freight forwarder with corporate headquarters located in the national capital Delhi.

Shine was founded in 1985 and has been progressing at a rapid but controlled rate ever since.

Shine has added operations and sales personnel all over India in the past year. At Shine its main

business objective is to provide world class transportation services of all modes for their

customers while, at the same time, providing a professional and friendly work atmosphere for

their customers and employees.

TNT Express

This company is a key leader in the international market in the sector of global express services.

The company ensures safe and on time delivery of your documents, freight and parcels. The

company offers time and day definite delivery in about 200 nations across the world. It operates

47 jet freighter aircraft and 26,000 road vehicles and has a network of 2,300 companies.
DHL

This company is one among the major logistics companies in India. It is a market leader globally

in overland transport, air freight and international express. The company ranks No.1 in the world

in contract logistics and ocean freight. The biggest logistics and express network in the world has

a network in about 220 territories and countries,72,000 vehicles,350 Aircrafts,36 hubs and 4,700

bases.

Blue Dart

This logistics company is South Asia's top integrated express package Distribution and Courier

Company. The domestic network of the company covers about 21,340 locations and provides

service to 220 countries by the company's sales alliance with DHL. It provides the best service

like Free Pick up from Your location, Regulatory Clearances, real Time Tracking, Free

Computerized Proof of Delivery etc.

Gati

The company is a key leader in then arena of express cargo delivery and a significant one in the

supply chain management solutions and distribution in India since the year 1989.The company

provides services like the Ware Housing, Express Cargo etc. Logistics Solutions of the company
are Warehousing, Supply chain Management. The Distribution Solutions of the company are

Gati Surface Express, Gati coast to coast and Gati Air Express etc.

Cargo Planners Limited

This Company is an freight forwarding & custom clearing agent. It deals with overseas having

coordination with sea, air projects & break bulk projects.

The company is poised to grow in leaps and bounds under the able guidance of Mr. S.C.Jain, the

Managing Director of the company. He has a vision that enables the company to touch new

heights and provide personalized attention to each of its clients. His vision and an unmatched

understanding of various aspects of the business make them an organization with difference.
 CHAPTER- 3

COMPANY PROFILE

Three Aces Global Logistics Pvt. Ltd. is the flagship company of a multifaceted corporate house,
established in 1989 and today, has become a conglomerate of individual business entities with a
strong presence in multi-modal international logistics. With its impeccable financial dealings and
standing in the trade, we have carved for ourselves a niche place in Indian market.

Three Aces Global Logistics Pvt. Ltd. has been amongst top few Customs House Agents (
Exports ) at ICD, TKD, New Delhi and was NO. 1 CHA for the year ended 31/03/2010.

With a turnover of more than Rs.50 Crores, the company has inbuilt strengths to take on the
new challenges for sustained growth .
It has more than 130 staff out of which 24 are Customs G Card holders and 5 H Card holders.
All are well experienced in Customs documentation and clearance procedures. The back up team
attending to Online Documentation e.g. filing of Shipping Bills and Bills of Entry are also well
versed with all the Customs Tariffs / Notifications and Classification.
3.1 THREE ACES GLOBAL LOGISTICS PVT. LTD.

ORGANISATION STRUCTURE
3.2 Services Provided by the Company
 AIR FREIGHT
Outbound Air Freight Services

Being an IATA company, Three Aces provides comprehensive air freight services from India

including door-to-door services. Extending the advantages of house airway bills, RBI Approvals

for outbound consolidation, insured warehouse facilities close to airports with state-of-the-art

stacking, on-line cargo tracking, in-house customs clearance and own vehicles for cargo pick-

ups. That’s a Constructive Build up.

Inbound Air Consolidation Services

A committed and efficient team of professionals at Three Aces has developed an exhaustive

worldwide network of associates and an effective chain supply system to cater to demanding

customers together with highly responsive and dynamic global partners.

 SEA FREIGHT

Three Aces Global offers inbound and outbound services for both LCL (Less Cargo Load) and

FCL (Full Cargo Load). We have special contract rates with some of the leading main line

operators with service coverage to and from all major ports and destinations. A multi modal door

delivery transportation model is also available.

Likewise, their worldwide Associates are well established and reputed Organisations and have

the same philosophy of rendering the UNMATCHED SERVICE at all times.

Import Export

• All Major Origins Covered • Weekly dept. and on-time arrivals

• Fixed Weekly Departures • Through Bill of landing

• Direct Routings • Service to worldwide destinations

• Fastest Transit Times • Door to door pick-up and deliveries

• Competitive Rate Structures • Worldwide network of agents

• Competitive Ex-Works Costs • Cargo tracking system

• Through Bills Of Lading

Customs Clearance

Three Aces global is a reputed licensed Indian Custom House Agent and a leading customs

broker providing services to a large number of clients for varied products for their export/import

shipments. It is Three Aces Global's specialization in undertaking consignee/ buying houses

consolidation & forwarding of day-to-day information on the web site for the various

consignees/shippers to know the latest on their shipment status.

Warehousing

3Aces Global Logistics provides warehousing of both inbound and outbound cargo. The

warehouse is fully equipped and insured for handling various cargo and storage in consolidation.

Transportation

3Aces Global Logistics provides for door-to-door transportation of less than container load cargo

and full container load cargo. The company has excellent transportation arrangement which

include the normal trucks and container carrying vehicle for door delivery providing time bound

and cost effective services always.

Buyer Consolidation

Buyer Consolidation is our core activity and capability. We can receive cargo from multi

vendors at any of our warehouses and custom load containers to suit your requirements. This

would translate into more speedy delivery at destination and the container can be unloaded at the

stores directly.

We are continuously striving to provide logistics solutions to our customers which give them the

leading edge information on their products. We have a broad menu of services that covers the

whole supply chain management and on-time information on the products.

3Aces Global can also provide to its customers both Origin and Destination services pertaining
to their valuable cargoes.

3Aces Global is well connected globally to serve the customer by giving real-time information

on the product as it travels through supply chain. Your information security is our prime concern.

Each customer needs to register with 3Aces Global Logistics in order to avail of this service and

ensures security. We also have EDI transfers that can be tailor-made to suit your information

requirements.

Project Handling

3Aces Global Logistics provides 'Complete Project Solutions', from documentation to movement

of project cargo from origin site to shipping areas, custom clearances, en-route taking care of

surveys of sites, civil work etc. You name it and we can do it with the support of the 3Aces

Global Logistics Team .

Commodities Handled

During 21 years of existence , Three Aces has handled almost all types of Commodities /

Products being exported and imported .

We have our specialization in handling Pharmaceuticals / Readymade Garments / Auto

Parts / FMCG / Solar Cells / Rice / Sugar / Projects & Machinery.

Thus, it is capable of handling –

 Packaging
  Warehousing

 Freight forwarding

 Clearance of Export and Import Cargo

 Commercial, Diplomatic and Non-Diplomatic Consignment.

 Project

Mission Statement

“To be focused as a pro-active cargo gateway by anticipating and reacting to each stage of a

shipment's transit with commitment and to experience strategic growth of a highly respected and

recognized cargo company in the Industry”.

Multi Modal Facility

At TAGL it is a single window contract for the carriage of goods by at least two or more different

modes of transport.

TAGL operates as Multimodal Transport Operator (MTO) providing the end 2 end services like:

DDP: Delivered Duty Paid Shipments.

DDU: Delivered Duty Unpaid Shipments.

CI Shipments: Cargo picked up on cost and insurances terms

CF Shipments: Cargo picked up on cost and freight paid terms

CIF Shipments: Cargo picked up on cost Insurance and freight paid terms.

FOB: Free on Board Shipment. Only Port to port or Apt to Apt service by Carrier.

Ex-Works: Pick up if cargo from shipper’s warehouse/factory.

Period of responsibility

The responsibility of Three Aces Global Logistics Pvt. Ltd. as a Multimodal Transport Operator

(MTO) for the goods under these Rules covers the period from the time the MTO has taken the

goods in his charge to the time of their delivery.

The multimodal transport operator shall be responsible for the acts and omissions of its employee

or agents, when any such employee or agent is acting within the scope of his employment, or of

any other person of whose services he makes use for the performance of the contract, as if such

acts and omissions were his own.

3 PL & Supply Chain Management

At TAGL, we define functional experience, expertise, speed, flexibility, and ingenuity to manage

your freight efficiently every time.

As an experienced provider of 3PL (Third Party Logistics) 24 x 7, we provide a total supply

chain solution for your logistics and freight management needs. Our ongoing goal is to simplify

the shipping process for our clients by finding the best rates and then smoothly coordinating all

aspects of the shipment from pick-up to ship to delivery for our E2E, B2E, B2B, B2C and C2C

clientele base.

At TAGL , we practice logistics. We can develop a comprehensive project plan for your

organization, deploy a project team, and remain with your team through the implementation and

start-up. We analyze existing processes, from initiation of an order through fulfillment, and

evaluate modal selection, carrier utilization, and existing cost structures. We formulate a

customized solution for your unique needs.

Committed group is a hub-based third party fulfillment and logistics company servicing both

domestic and international needs.