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01 About Arshiya International Ltd.
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Arshiya FTWZ Involved in implementation and operation of Free Trade and Warehousing Zones (FTWZs)
Arshiya Rail Infrastructure Designed to provide pan-India rail freight operations and providing rail terminal facilities
Arshiya Domestic Distripark Providing strategic hub warehousing for domestic rail consolidation across India
Arshiya Logistics Provides logistics solutions including end-to-end freight management & transportation services in over 150 + countries world-wide
Arshiya Supply Chain Provides end-to-end supply & demand chain solutions
Arshiya Technology Provides software solutions for supply chain management and business process outsourcing
Arshiya International Ltd. operates with the vision of being the only fully integrated supply chain management & logistics infrastructure solutions company in India. The genesis of the vision is driven by the fact that India; as a country spends approximately 14% of its GDP on logistics while most developed countries spend between 8% - 9%. On a US$ one trillion GDP; this represents approximately US$ 50 billion in excessive spending owing to the inefficiencies and unorganized nature of logistics in India. As India's economy surges ahead and trade increases, bringing the desired efficiencies in logistics systems in India represents Arshiya's mission.
The foundation of Arshiya's integrated supply-chain & logistics infrastructure solutions model is aimed to address the following inefficiencies of logistics in India: 1 62% of container freight traffic entering or leaving India is out of one port-Jawaharlal Nehru Port Trust (JNPT) in Mumbai, requiring India to depend heavily on domestic freight movement for last mile supply chain connecting this port to industrial hubs and the end consumer. The total Indian freight transport system carried approximately 2.8 billion MT of cargo in FY09; where Road enjoys highest market share with approximately 60% and Rail in this country trails severely with only 35% market share: a. This high dependence on road transport not only represents inefficiencies arising out of the bad quality of trucks and roads in India, but adds to costs on account of product theft/loss, time taken for delivery on account of state border crossings, loss of visibility of product etc. I. As a country, it is reported that India burnt approximately US$ 2.5 billion on fuel on account of trucks standing on check posts b. The road transport sector in India remains very largely unorganized with an average trucker in India owning only about seven trucks. Added to the above, India is ridden with the inefficiencies consistent with an unorganized 3PL / 4PL network with no true panIndian players that can offer best-in-class supply chain solutions. India's present container throughput as per FY09 was approximately 7 million TEUs (Twenty Equivalent Units), as against Dubai (over 12 million TEUs), Singapore (over 24 million TEUs) & China (over 186 million TEUs) owing to a lack of infrastructure that would allow India to compete as a competent location for value addition, hubbing & transshipment hub.
ARSHIYA INTERNATIONAL LTD: 'Integrated Supply Chain & Logistics Infrastructure Solutions'
With 10-year legacy in the logistics industry, servicing over 1,500 customers, Arshiya has a vision to reduce India's 'last mile' logistics & supply chain cost from 14% to 9%, thus targeting the absolute inefficiency of US$ 50 billion in the country. Arshiya plans to capitalize on India's mammoth logistics opportunity through Integrated Supply Chain & Logistics Infrastructure Solutions. By leveraging its unique competency of combining 'Soft Infrastructure' such as asset-light 3PL (Third Party Logistics), 4PL (Forth Party Logistics) services, with innovative 'Hard Infrastructure' such as, FTWZs, Rail Infrastructure & Domestic Distriparks, integrated through customized IT solutions.
ARSHIYA INTERNATIONAL'S PERSPECTIVE FOR CAPITALIZING ON INDIA'S LOGISTICS OPPORTUNITY 'what does it take
To make India realize its true potential, a proactive approach needs to be taken for creating a revolution in India's logistics evolution. The industry needs an innovative and 'Game Changing' approach towards creating logistics infrastructure solutions such as: Free Trade v and Warehousing Zones (FTWZs) To enable ? EXIM cargo consolidation, value addition to allow India to become a Regional Trading and Transshipment Hub
v Distriparks Domestic
? For Domestic cargo value addition and consolidation for Rail transportation to remove dependency on road
v Rail Infrastructure
? innovative Customized Containers for specific product types, service level agreements on timeline To comprise
and delivery with Key Performance Indicators
? State-of-the-art Rail Terminals, at strategic locations across India with modern equipments to increase speed of
loading/unloading and churn
v Logistics Infrastructure with Global Logistics, Domestic Supply Chain Management & Information Integrate
Technology (IT)
? Global ocean, air & projects logistics, domestic forward and reverse supply chain management with ownership
on reduction of working capital and product visibility & control, through technology
Definition as per the SEZ ACT, 2005 Free Trade and Warehousing Zone means a Special Economic Zone wherein mainly trading and warehousing and other activities related thereto are carried on Activities allowed inside the FTWZ as per the SEZ, Rules 2006
Trading with or without labelling, packaging or repackaging, re-sell, reinvoice or re-export of imported goods. Assembly of complete knocked down and semi knocked down kits
deferment, higher inventory visibility, reduced buffer stocks & lowered product costs also allowing flexible and hassle-free re-export apart from taking advantage of volume discount on imports as duty on imported chemicals can be deferred
l Unique benefits include: ? Hassle-free business environment in terms of local laws & regulatory compliance ? Unlocking of working capital through the flexibility of storing the Imported chemicals into India
logistics cost
? control capability prior to duty-payment (will allow companies to have quality check & Quality
chemicals)
? exchange transactions capability Foreign
Unique benefits of value-addition activity inside the FTWZ for chemicals imported and re-exported through FTWZ.
l Services like value addition (re-invoicing, packaging, re-packaging,
labeling/re-labeling, blending etc.) and other services (including procurement of materials for the purpose of Value addition) availed by Chemical companies will be exempt from local taxes. Companies will be allowed to have 100% FDI for the set-up of their unit, providing regulatory ease and operational freedom.
l FTWZ will allow Chemical companies to leverage its state-of-the-art The
infrastructure for storage of chemicals not only for India distribution but in the future for regional distribution (re-export after value addition) also covering countries in the Middle East, Afghanistan, Sri-Lanka, Bangladesh and other nations in Asia pacific. Key advantages of this would include
? Leveraging India's cost & skill arbitrage for hubbing, value added
services like re-invoicing, labeling/re-labeling, packaging, repackaging, blending etc. and distribution
? Enjoy income tax benefits on profits made in India for such regional
distribution activity
l tangible benefits possible through the FTWZ in this model include: Other ?tax exemption on all activities conducted inside the FTWZ Service
FUTURE POTENTIAL
Unique benefits of exporting product out of India through the FTWZ (deemed foreign territory). Applicable to companies for sourcing chemicals from India
l Products from India entering the FTWZ are treated as an l tangible benefits possible to Companies through the FTWZ Other
export thereby providing unique & immediate export benefits (e.g. Tax incentives where applicable, reduced working capital, etc.) to the suppliers. More importantly, this will allow Companies to consolidate, value-add and conduct quality control on these products before end distribution world-wide increasing supply chain efficiencies (forward & reverse) while enhancing capital cash flow; all contributing to reducing cost of these sourced products.
specific to products
? space management Optimised l benefits include: Unique ? Hassle-free business environment in terms of local laws & regulatory compliance ? Exemption (e.g. CST, Sales Tax, Excise & VAT) Local Tax ? conduct Quality Control before despatch from India and flexibility of sending it back to Domestic Tariff Area (DTA) Ability to
for replacement
?exchange transactions Foreign
The strong value proposition of Arshiya here is the power of Supply Chain Management (4PL) and IT where Arshiya owns its own IT company deploying customized IT solutions that can talk to its Client's ERPs along with the trained intellectual property to operate its FTWZ warehouses efficiently on tangible SLAs defined by the Clients
Reach Stacker
Docking Area
* actual Arshiya FTWZ photo
Mumbai
FTWZ
Location Advantage
24 Kms ?from the JNPT Port 23 Kms ?from Proposed New International Airport at Panvel
? Connectivity to Mumbai- Goa and Mumbai- Pune Expressway ? Connectivity post Nhava-Sewri Sea link within 1.5 kms from the site on the Sawant wadi Expressway ?from New proposed Rewas mega-port 15 Kms ? Rail Connectivity: 3 Kms from Jite railway station
Delhi (Khurja)
FTWZ
Location Advantage
Arshiya's Free Trade and Warehousing zone is located strategically: Distance ? of Khurja City from our site is 1.5 Kms
? of Khurja Junction from our site is 2.5 Kms Distance ? Km away from the National Capital Region (NCR) About 70 ? Kms Dadri - 60 ? Bulandshahr - 20 Kms ? 18 km from the new Yamuna Expressway connecting Noida to Agra ?from proposed international airport at Jewar in UP 12 kms ? Sikandarabad the neighboring Developed Industrial City is < 30 KM from the FTWZ ? Tughlakabad 80 kms