The need for material handling equipment in warehouses is rising
Anil Lingayat: The logistics sector has been in focus since the implementation of GST in July 2017. There have been huge investments in the warehouses across the country, with a focus on Tier 3 and Tier 4 cities facilitated by an increase in consumption and aspiration of the netizens of these small cities.
- Anil Lingayat
Executive Vice President & Business Head, Godrej Material Handling
How is the logistics and warehousing sector evolving in India? What is the current market scenario?
The logistics sector has been in focus since the implementation of GST in July 2017. There have been huge investments in the warehouses across the country, with a focus on Tier 3 and Tier 4 cities facilitated by an increase in consumption and aspiration of the netizens of these small cities. The last mile delivery period has further led to the deployment of smart warehouse management systems, which have increased the efficiency of the warehouses and can handle more pallets per hour.
In a country like ours, our present logistics and distribution cost is among the highest compared to the benchmarked countries. Modern material handling and storage solutions are key to increasing efficiency and reducing cost. Modern technology and advanced material handling and storage systems facilitate smooth order-to-deliver cycles and help businesses in dealing with ever-changing consumer demands from the supplier factories to the last mile of consumption.
Due to the increase in land prices, the warehouses are going vertical and need higher pallet locations to mitigate the investments in the land and the building. The solution is to deploy narrow aisle trucks which can go up to 12 m high and can work within 2 m of aisle width. At Godrej, we manufacture articulated forklift and reach trucks for the Indian market and export them to more than 40 countries.
What is your view on the recent government announcements that will push the growth of logistics and warehousing infrastructure?
The logistics sector needs standardisation in terms of the size of pallets across the industries. This will help us bring standardization across the logistics chain for both inbound and outbound logistics. Even the transport trucks will get standardised to accommodate these standard pallets. The current government has formed a logistics department within the Ministry of Trade and Commerce that has been working on formalizing a logistics policy that is expected to be released soon which will give a boost to this industry.
What are the latest handling solutions offered by Godrej MHE?
We have a range of forklift solutions to address the different warehousing needs of the consumers.
The Bravo Series electric forklift is considered a blue-collared powerhouse for logistics within warehouses. It handles the workload with power comparable to a diesel forklift using clean and efficient electric energy. It is easy to operate, safe for the environment and moves quietly across workspaces. The three-wheel variant of Bravo is considered a modern mobile solution for logistics within warehouses. It bridges the gap in our range by addressing the growing demand for three-wheeler forklifts in the market. The indigenous twin motor technology with in-house motors on 3W and 4W Bravo series electric forklift saves space and is a perfect solution to replace diesel trucks with the benefits of electric trucks. It is easy to operate, safe for the environment and moves quietly across workspaces. It is specifically designed to drive productivity in demanding operations and narrow spaces. With its compact body and quick operations, it guarantees round-the-clock movement of pallets.
The new UNO series of electric forklift trucks with a capacity of 1.5T-3T cause zero emissions. It has the industry's best battery offering of 48V/756 Ah for 1.5T-2T capacities and 80V/560Ah for 2.5T-3T. The higher capacities eliminate the requirement of a second battery and can run two-shift operations. It can lift a full rated capacity to 4.5m in height. This eliminates the need to invest in higher capacity equipment for lower loads of up to 4.5m. The shift to an 80V system from the current 72V system in the UNO series of an electric forklift is designed to increase efficiency and productivity leading to higher run time.
Reach truck Pro Series from 1T-2T and articulated forklift can lift to 11m and 12m high respectively, and utilises warehouse space to the maximum. The Dynamic Response Steering (DRS) system in reach truck gives full control and more confident driving. Ergonomically designed, Godrej Operator Reach Arm Console (GORAC) ensures essential hydraulic controls at the fingertips for better productivity and efficiency.
The units are equipped with Operator Presence Sensing (OPS) that prevents the forklift from starting when the operator is not seated, or the seatbelt is not fastened. If conditions are neutralised, OPS safely brings the forklift to a halt, restricting travel and lift capability.
We recognise the need of the future generation to have a digital interface for interactions. Keeping their needs in mind, we are investing in IoT-based vehicle monitoring systems. Our product manuals and training materials have already been converted to digital format as digital tools become more widely accepted, particularly among the younger generation of managers and forklift operators. Currently, we are trying to fully digitise our service operations. In addition to forklifts, we are increasing the number of electric-powered reach trucks in our inventory. These specialist narrow aisle machines are perfect for picking and placing pallets of goods in the racking lanes of warehouses.
What is your outlook on the Indian logistics and warehousing sector?
Consumer preferences and behaviour saw a significant shift throughout the pandemic. More than ever, there is a significant opportunity for the MHE sector to flourish. It is a result of the abrupt shift from brick and mortar to online retail. The need for material handling equipment in warehouses is rising, and this pattern will last for the foreseeable future. The market will expand because of increased consumer spending, rising fixed investment spending, improved investment in the industrial and construction sectors, and an increase in mining operations.
Since the material handling industry in India is still in its infancy, we feel that there is tremendous scope for expansion. We currently rank third in terms of global economic growth among the top five economies, and we are headed in that direction. All indications point to the industry's tremendous expansion potential. India is a distinct, young nation that is going through a significant technological revolution, especially in terms of connectivity. The business has a lot of potential going forward as it innovates and adjusts to new technology to fulfill changing consumer needs. To assist our clients in increasing their productivity and workplace safety, Godrej Material Handling will keep bringing new products and services to the market.
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