Logistics is the hottest career out there. It links every functional area in a corporation and its success.

Analyzing logistics industry from a financial perspective throws out a strategic perspective as to why the industry is not matured enough for hot M&A transactions.

Both inbound and outbound logistics to be strengthen- currently mainly outbound logistics in India is considered because of customer focused strategy. Inbound should be strengthen to save the raw material and optimize the system. Focus should be on catching up with the manufacturing sectors support for the strong logistics. Pilferage and theft from trucks/ trains should be reduced and wherever possible, focus on waterways to avoid that at all

Opportunity for logistics companies lies in earning foreign exchange for the country and cross

the national frontiers and provide consultancies in neighboring countries like Bangladesh, Nepal or African countries and nearby Middle East countries to start with. Use of small ships/ Barges as improper port infrastructure may cause problem for incoming ships (for both international and national transport through ocean. Focus on Multimodal than Intermodal (e.g. CONCOR) If you want to play on the economy of scale production, you must execute the same on the Supply chain/ logistics part as well. India has nearly 16,000 km of inland waterways of which about 5,000 km are navigable by large
barges. In practice only 2000 km are utilised and managed by IWAI which was established in 1986. Prime Minister Manmohan Singh has taken steps to fast-track the development and use of inland waterways by involving public and private sectors. The National Thermal Power Corporation (NTPC) has agreed to use the inland waterways to transport three million metric tonnes of coal for Barh power project in Bihar.

India ranks 46th in WB logistics index

is currently in sub-optimal and has been structured in such a fashion to avoid taxes. The supply chain tax structure of India can be broadly classified in the following categories.

This change in the tax structure is going to have a huge impact in the currently supply chain of India. It

Central Government Taxes in India: Customs Duties, Excise Duties, Gift Tax, Income Tax, Wealth Tax, Service Tax State Government Taxes in India: Road Tax, Luxury Tax, Entertainment Tax, Stamp Duty, Value Added Tax