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INTRODUCTION

All Cargo Logistics Ltd is the main part of the biggest logistics which is situated in India.
It is providing the services of the transport works, the third-party logistics, providing the
container deposits and the warehouse space works.
The company at present is having its offices 230 approx. and in more than 100 countries.
The turnover of the company is about 6000 crores as per the report of March 2019.
The company is mainly operating in the main three parts –
 The Multi Modal Operations of the Transport.
 The Freight Container Stations.

The Company has carried out his Logistics Business Contract going through the joint venture
with the Avvashya Logistics Private Ltd.
It has involved with the Non-Vessel Owing Common Carrier which is being relating to the
Less and Full Container Load expanding their facilities in the all over the world and its
group.
This group is leading across all the countries and it is one of the major playing group.
It is catering the operations of the import and export services of the cargo and the services for
the warehouse clearance. The facilities it is providing are by the near located areas and they
are supporting the EXIM Trade services and procedures.
The company is providing the CFS facilities in many states and cities and in the Kolkata, it is
making one of the largest cargo CFS operators all over India.
All-Cargo is one of the most leading company in its segment and the company has provide
the different segments for its clients and the with the different project services and the end to
end logistics, the site lifting and the shifting leasing and the coastal shipping.
The company has been holding the majority of shares in the equity sector and in the
managing activities of the clients in the Chemical Industry and the Automotive, Retail and
the Ecommerce Fashion sector.
The logistics involves the activities of the planning and developing the chain facilities of the
warehousing, collecting the payments of the different aspects of the service of customers.
The company has a good management system and has the best experience in providing the
good import and export cargo trades all over the India.

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Avvashya group

ECU World All Cargo


wide Logistics

Major Acquisitions

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ECU Line: All shipment First acquisition become of the Belgium-based totally
CU Line, spanning three levels from 2005-06. Allcargo obtained 33.8 % stake
inECU Line in June 2005, accelerated its stake to 49.Nine% in Jan 2006 wi

an choice to growth the stake in addition, and acquired the remainder in Jun
2006, making Allcargo Logistics one in all the biggest NVOCC in the global.
ECU Line's sales on the time of the acquisition were four. Three instances the
revenues of Allcargo Logistics.

Hindustan Cargo Ltd. (2006): A former subsidiary of travel and forex


foremost Thomas Cook, Hindustan Cargo is predominantly engaged in air
freight forwarding and custom clearance. The corporation turned into obtained
by means of Allcargo Logistics in 2006 for an undisclosed amount.

Hong Kong-primarily based Companies: All cargo obtained Hong


Kong-based businesses with operations in China for US$22 million.

freight.Econocar be Consolidators: All cargo thru its entirely owned


subsidiary, ECU-LINE acquired econocar be Consolidators, a US based
logistics organisation. Econocar be makes a speciality of freight consolidation
and FCL services to Latin America, the Caribbean, Europe, the Mediterranean,
the Middle East, Africa and Asia. It additionally offers import LCL/FCL
transportation services from around the world to the United States and Puerto
Rico.

FCL Marine Agencies: Allcargo Logistics via its step down entirely owned
subsidiary employer European hold NV obtained majority stake in FCL Marine
Agencies Rotterdam, a Netherlands-based totally Logistics organisation.

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VARIOUS SUBSIDIARIES OF ALLCARGO LOGISTICS

3.1 ECU WORLDWIDE


Founded in 1987 in Belgium, ECU Worldwide is one of the global leaders in
non-vessel operating common provider (NVOCC) offerings and the biggest
much less-than-box-load (LCL) consolidator within the world.
Allcargo, one in all India’s largest publicly-owned logistics companies, received
the organization in 2006 and consolidated its worldwide footprint with over
three hundred offices.

3.2 ALL CARGO NVOCC (GLOBAL LCL/FCL FREIGHT


FORWARDING)

ALLCARGO Logistics is considered one of the biggest NVOCC player within


the international logistics .Due to its robust international presence as Strong
community of 300+ workplaces across a hundred and sixty+ nations , Domestic
consolidation actions linked to ICDs, CFS for each, export and import, Fixed
and committed stuffing and sailing schedules making sure the fastest turnaround
in LCL alongside 2400+ direct trade lanes and 530+ locations , Strong
technological functionality for ease of doing business makes it to have a
competitive facet inside the market.It gives a tremendous variety of services in
FCL and LCL forwarding.

3.3 ALLCARGO LOGISTICS PARK (CFS /ICD NETWORK)

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Allcargo operates India's largest and most powerful community, namely CFS and ICD. Ese
operations provide import and export freight management, customs clearance,
warehousing and various related logistics services. CFS / ICD facilities are strategically
located near major ports and the Indian hinterland and support EXIM processing over the
years. The company has SCF facilities in Nhava Sheva, Chennai and Mundra and is
currently commissioning a new SCF facility in Kolkata, making it one of the largest SCF
facilities in India. Together, the main ports manage about 75% of the total freight traffic in
India. DAIs are located in Kheda and Dadri.

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CFS/ICD Industry Drivers

India has 13 major ports. Under the National Perspective Plan for Sagar mala,
6 new mega ports will be developed in the country. India 200 non-major ports
are strategically located on the worlds shipping routes.
In FY2018 (up to Feb 2018) major ports have handled 616.62 million tonnes
of traffic, showing a year-on-year growth rate of 4.97%.
The Direct Port Delivery (DPD) initiative under ‘Ease of Doing Business has
witnessed steady growth in terms of proportion of total handed container.

CFS/ICD OUTLOOK

•The developing volumes and modernisation of ports offer a big increase


possibility for an incorporated logistics issuer like Allcargo. The Company has
been diversifying its product portfolio to facilitate all of the customers logistics
needs under one roof and constantly exploring services that may synergize
properly with the present set of offerings enabled by generation.

•The Governments initiative to push box volumes to DPD has brought about
some effect within the volumes treated in our CFS/ICD commercial enterprise.
Allcargo has taken steps by means of enhancing its services to cater to wishes
through DPD cleared packing containers like incorporated logistics carrier
offerings. The future of this industry is taking a shift towards Logistics Parks.
A logistics park is a freight-handling facility comprising mechanized
warehouses, specialised storage solutions, canters for mechanized fabric
managing and inter-modal transfers container terminals, bulk/break-bulk cargo
terminals

•The Jhajjar, Haryana multimodal logistics park, we've


acquiredlandparcelsinaphasedmannerwithapproximately93 acres being obtained
first. The capex deliberate is about 500 crores over the next 3-5 years.

3.5 AVASHYYA CCI (CONTRACT LOGISTICS SOLUTIONS)

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Avvashya CCI Logistics Private Limited is consolidating three prestigious
units: the Warehouse and CCFF Division of CCI Logistics Ltd., the Contract
Logistics Department of All Cargo Logistics and Hindustan Cargo Ltd.
A certified supply chain can help increase a company's operational efficiency by
reducing costs, keeping supplies constant, deliveries are accurate, and rapid
processing takes place.
At Avvashya CCI, address the specific needs of our customers and tailor our
services accordingly
The world-class offerings, tailored to your individual logistics needs, are led by
experts and sponsored by a robust infrastructure that allows for short-term
scalability for seasonal demands.
Avvashya CCI will be responsible for transporting a refinery water treatment
plant from the Hamriyah free trade zone in the United Arab Emirates to Oman.
The entire scope of work of Avvashya CCI was handled from the factory to the
transport at the gU location in Oman.
This movement was partly dealt with by road and partly by maritime transport.
Contract logistics is defined as the comprehensive process from production to
distribution at the last point of sale. In other words, contract logistics is not just
the process of goods traffic, but a far more comprehensive approach that
combines traditional logistics with supply chain management processes.
This is where a 4PL comes in, a gadget that coordinates the main logistics
company (formerly a 3PL provider) with a fourth stakeholder who wants to
manage the supply chain to add value to the chain, in which many exclusive
stakeholders play a role.

Let’s look at it this way

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Contract logistics is the high-quality solution to deal with the growing global
flow of goods while improving our understanding of the logistics process. For
example, it would not be possible to meet the demand for items and means of
transport at any given time in the shopping season with excessive traffic
together with Black Friday in the US or a comparable value in different
countries.
The contract logistics process
When this celebration begins on the fourth anniversary of the logistics process,
a new administrative record for the goods will be installed. This is a charge
chain where the carrier has a direct influence on the outcome of the transaction.
This protocol covers many areas:
assembly line

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storage

CONTRACT LOGISTICS

Allcargo is a leading player in the contract logistics industry through its


majority equity stake in ACCI, and is engaged in the activities of key
customers in the chemicals, food, automotive and engineering, e-commerce,
fashion and retail. The contract logistics industry includes activities such as
supply chain design and planning, facility design, warehousing, transportation
and distribution of goods, order processing and bill collection. inventory
management and the provision of positive aspects of customer service. ACCI
is comprised of three entities: CCI Logistics Limited's Warehousing and
Customs Clearance and Freight Forwarding Division (CCFF), Allcargo
Logistics Limited's Contract Logistics Division and CCFF's Hindustan Cargo
Limited, a wholly-owned subsidiary. As a combined pressure, the company
has expertise in the areas of settlement logistics, warehouse control and other
price offerings. The common debenture was planned to take greater advantage
of the increased number of housing units and the implementation of the GST.

OUTLOOK ON THE LOGISTICS CONTRACT

This year, ACCI manages more than 3.5 million square meters of warehouses
spread over 45 sites. The objective of a dominant position in this field by 2022
could be an objective for which we are the market leader. In the United States,
we are represented in 87 to 89% of hypermarkets. ACCI is not very active and
there is a strong tendency to rent long-term camps.

Economic Risk
Part of the business depends largely on the current global economic
situation. The threat of deleterious acts on recreational prices and
other prices can also affect our international companies. Factors that
could negatively affect the global financial system and reverse India's
financial growth, which would affect the CFS / ICD, Warehousing
and P & E groups, include slowing the pace of infrastructure
development; inflation, changing tax policies, currency, monetary and
monetary, credit scarcity and many more. We face a downside risk in
our CFS business because of a greater volume diversion to DPD.
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However, we have many techniques on hand to reduce our
dangerousness to a change in volume. We are now directing our
customers to these stop volumes, which is constantly increasing costs
in their distribution chain. Given the deliberate investments in
infrastructure, the increase in the number of visitors to the EXIM
global site and the increasing outsourcing of the logistics function by
the agencies, we do not believe that these dangers will be negated.
MARKET COMPETITION
There are a lot of market competitor in industry, the major ones are
DHL/KUHNENE NAGEL/DSV /DAMCO etc.
Although allcargo is not too old in the freight forwarding and in spite of being a
Indian forwarding company, it is providing good competition in the market with
its integrated service offering. It acts as an ISP (integrated service provider).
Along with the global support of experience reached ECU worldwide and its
hold on Indian logistics segment, it is serving a long list of global customers.
Healthy Topliner growth drives the operational performance
For the quarter ended September 2018, All Cargo’s revenues increased 12
percent year-on-year to Rs 1,737 crores driven by the healthy volume growth
across all three business verticals – Multi-Modal Transport operations container
Freight station (CFS) and Project & Engineering Solutions (PES). Operating
performance was also strong as the earnings before interest, tax, depreciation
and amortization was 19 percent higher than last year.

FUTURE PROJECTS
Allcargo plans to transport to the next stage of growth via constructing a string
of logistics parks across India by means of capitalizing its extensive enjoy in
CFS enterprise and mixing it with scope to handle domestic and product unique
cargo. In lieu of this, the Company is growing a multimodal logistics park in
Jhajjar, Haryana over a span of 180 acres of land.

SWOT ANALYSIS OF ALLCARGO LOGISTICS LTD

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STRENGTHS
1. Presence and synergies across key verticals
2. Global reach
3. The company is one of the early entrants in the consolidation (LCL
Consolidation) business.
4. Its extensive reach enables it to cater to customers across geographies thereby
giving further boost Volume.

WEAKNESS
1.Competetive Market
2. Emergence of global players in different logistics segments.

OPPORTUNITIES
1. Growth in GDP & EXIM Trade and Rising Containerizations.

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2. Initiatives like “Make in India” and “Dedicated Freight Corridor and
development of multimodal Logistics park”
3. Introduction of GST - Leading to creation of integrated supply chain
facilities like warehousing near consumption centre.
4. Significant Spending on Infrastructure.
5. Coastal movement in India just 7% of overall cargo movement, providing
huge scope for growth.
6. Integrated Logistics service provider offerings

THREATS
1. Competition from local & multinational Players.
2. Regulatory changes
3. Execution Risk.

BCG MATRIX FOR ALLCARGO

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Whats BCG Matrix?

So, for Allcargo Logistics, the BCG matrix can be seen as below –
The BCG Matrix was developed by the Boston Consulting Group (BCG) and is
used to evaluate the company's product portfolio in advertising and income
planning. It aims to evaluate each product, that is to say the goods and offers of
the company in dimensions.

Each type of product can be seen as:


• Cash cows - do not require high investments, these products define the idea of
profitability of the company.
• Stars - have the capacity to become cash cows, it is by far vital to spend
money on advertising, incremental innovation, etc.
• Question marks - it's important to differentiate them according to kilometers,
promising products can also become cows.
• Dogs -these slow production, they must be removed from the market.

 Cash cows – NVOCC freight forwarding


 Stars – ICD & CFS Segment
 Question marks – Projects and Engineering Services
 Dogs – Contract Logistics Solutions Segment

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