For most of the last year, the shipping & logistics sector has been under strain due to global headwinds. The industry was expecting short term measures to lower the current pressure faced by the sector. Having said the Union Budget 2021 did include steps to boost the sector in the long term.
Invitation to private players to manage the ports is a beneficial move for the industry. Private port management players having knowledge and competencies can transform the overall functioning, thereby increasing its potential in shipment handling.
It can also lead to digitizing the entire port facility and providing an experience to the consumers and users. The industry provides direct and indirect employment opportunities to millions of people in the country.
The launch of the scheme to promote merchant ships' flagging will further give a rise in employment. It also sends a signal that the Indian government is welcoming to the international logistics industry.
Additionally, the goal to double the ship's recycling capabilities is another move to generate career opportunities among the nation's youth. Aggressive road infrastructure push will help in smooth cargo movement to and fro from port to shipper.
Overall, Union Budget 2021 has been reasonable for the sector, more investments or steps to digitize the industry could have made it even better.
The author is a co-founder & CEO, Freightwalla. Views are personal.