Post on 26-Dec-2015
description
CFS & ICD Landscape in India
Industry Trends & Analysis
NAME ROLL NO
Abhishek Sharma
M007
Farhan Khan M032
Ziya Khan M118
Naved Khan M067
Ronak Somaiya P021
From the ports, the cargo, if not checked out through customs at the port itself, is transferred
to a Container Freight Station (CFS) or Inland Container Depot (ICD) depending on shipper’s requirements, where it has to cleared through
customs by the importer or by a Custom Clearance Agent on the importer’s behalf.
Source – Industry of commerce
At present, India has more than 190 CFS/ICDs in various parts of the country with a majority of them being in the southern and western regions. However, in capacity terms, they are mainly concentrated on the western coasts.
Competition is high in the CFS business, with about 15 and 8 major players catering to the JNPT and Chennai ports, respectively.
On the ICD side, while there are a number of small players, Container Corporation of India (Concor) with a pan India network of 59 ICDs, largely dominates this sub-segment.
Key entities involved in the CFS/ICD business in India are Concor, Gateway Distriparks Ltd. (GDL), Allcargo Global Logistics (AGL), Balmer Lawrie, Hind Terminals Pvt. Ltd (HTPL), Central Warehousing Corporation (CWC) and Sanco Trans Limited (STL).
CFSs and ICDs remain the fastest growing segment of the Indian Logistics industry and also highly profitable in most instances. Expert’s expects this growth to gain pace in line
with the increasing need to tackle the growing complexities of maritime intensive supply chain.
Growing competition from private participation will also bring forth an array of new services and customised logistic solutions being provided.
Recent investments towards developing - Free Trade Warehousing Zones (FTWZs) by private players are illustrative of the growth potential and patent need of supporting infrastructure.