Bengaluru, Sept 21
The logistics sector in the country is likely to add 10 million jobs by 2027 even as this industry is presently growing at a 12 per cent compounded annual growth rate (CAGR), says a report from TeamLease Services, a staffing firm.
The report highlights an increased demand, which it says is not only reshaping the logistics industry, but also opening up a slew of new job opportunities. According to the report, diverse job profiles such as supply chain managers, logistics specialists, distribution managers, and warehousing have seen a significant surge in demand.
Moreover, logistics having taken the shape of an organised sector, has added momentum acting as a further catalyst for industry expansion, the report added.
Balasubramanian A, Vice-President and Business Head, TeamLease Services, said, “The spurt in output has increased demand for logistics services such as transportation, warehousing, and distribution. Furthermore, shifting economic dynamics such as rising disposable incomes, lower inflation rates, and rising rural demand have sparked a nationwide consumption boom.”
Balasubramanian said the increased job creation in the logistics sector is expected to result in substantial changes in industry’s skill requirements.
Advance technology to help workforce productivity
With logistics hubs moving towards the adoption of advanced technology, there is an increasing reliance on automation, artificial intelligence (AI), and machine learning (ML) for sophisticated demand forecasting and supply chain planning. “This integration of technology and automation is expected to result in significant increases in workforce productivity,” Balasubramanian added.
While the major metropolitan cities are already helping job creation in logistics sector, cities such as Indore, Guwahati, Nagpur, Jaipur, Vadodara and Lucknow are expected to grow at an even faster rate. This growth trajectory, as per the report, will help these cities join existing major logistics hubs based around different metros.
Improving rank in Logistics Performance Index
According to industry reports, India rose to 38th rank out of 139 countries on the Logistics Performance Index demonstrating its growing prominence in the global logistics landscape.
The improvement in India’s rank in the index is consistent with its enormous economic potential, with projections indicating that the country will reach $26 trillion by FY48. Several favourable factors are providing a boost to India’s logistics industry and the sector could play an important role in the country’s economic growth, says the report.