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India's first global hub terminal is all set to alter the development map of Kerala, by ushering in huge investment in the coming years. Vallarpadam, the country's first global hub terminal will provide Kochi a strategic place in the global logistics.  This hub port is unique and is adjacent to the trunk sea trade route for the minimum diversion of the mother vessels so as to reduce its steaming and port lead time. 

Logistics management is increasingly becoming a topic of interest in the recent. Though most of the large service providers are headquartered in Europe, the biggest market is the US, which captures about one-third of the world market. Hexomatrixx the global supply chain and logistics service provider based in Middle East  has started its Indian operation and extending now  its logistics and supply chain services to Indian sub continent.  Hexomatrixx Energy Systems India Pvt Ltd.  HESIL India venture takes the lead in India in offering these services.

We expect a major shift in logistics and supply chain with the opening of Vallarpadam Terminal, in Kochi. India's first transhipment hub could revolutionise the Indian shipping and logistics business’ says Raghu menon, Managing Director & CEO, Hexomatrixx operations for Middle East/ Asia. ‘We have strategic alliance with major global corporations, which has led us to take on the toughest global logistics and supply chain challenges. To meet the growing demand in logistics Hexomatrixx will be opening its logistics hub in Kochi.  The success of any logistics business depends on the understanding and experience of the long term nature of the business.   It requires a consistent and systematic business model, with long standing business strategies’ says Mr Menon.

Though, in India, the industry is still in its infancy, there is immense potential for growth.  The Logistics industry  is going to turn around on the back of robust GDP growth, globalization, FDI.  The importance of logistics and SCM is increasing due to globalization as more and more multi-national companies (MNC) are  sourcing, manufacturing and distributing on a global scale, making their supply chains very complex to manage. However, outsourcing logistics activities to experienced logistics service providers (LSP), also known as third-party logistics (3PL) providers, may enable companies get very efficient and customized logistical support while themselves focusing on the core organizational activities.  Hexomatrixx  offer complete supply chain solutions across many diverse countries. Apart from core logistical activities such as  transportation and warehousing, Hexomatrixx LSPs also offer value-added services such as customs clearance, freight forwarding, import/export management, inventory management, assembly/installation, packaging and labeling, distribution, after sales support, reverse logistics and so on. By outsourcing logistics, companies can leverage the expertise of  Hexomatrixx  while concentrating on their core competencies.

Currently the annual logistics cost of the world is about USD 3.5 trillion. For any country, the annual  logistics cost varies between 9% and 20% of the GDP.The annual logistics cost in India is estimated to be 14% of the GDP, which translates into USD 140 billion assuming the GDP of India to be slightly over USD 1 trillion. Out of this USD 140 billion logistics cost, almost 99% is accounted for by the unorganized sector (such as owners of less than 5 trucks, affiliated to a broker or a transport company, small warehouse operators, customs brokers, freight forwarders, etc.), and slightly more than 1%, i.e. approximately USD 1.5 billion, is contributed by the organized sector. So, one can see that the logistics industry in India is in a nascent stage.  However, the industry is growing at a fast pace and if India can bring down its logistics cost from 14% to 9% of the GDP (level in the US), savings to the tune of USD 50 billion will be realized at the current GDP level, making Indian goods more competitive in the global market. Moreover, growth in the logistics sector would imply improved service delivery and customer satisfaction leading to growth of export of Indian goods and potential for creation of job opportunities.

In India, 100% FDI is allowed in logistics whereas in China, until recently, foreign investment was not allowed in domestic logistics. Almost all large global logistics companies have their presence in India, mainly involved in freight forwarding. 

Hexomatrixx India innovates and dictates a new direction to provide clean energy and  green supply chain solutions to   industries and institutions in India besides its logistics activities.    ‘Taking a long term outlook Hesil India will strives to provide the customers with the right solution and expertise to set up the energy value chain. Leveraging our down stream industry expertise and knowledge built up over decades in the supply chain and logistics compliments the regions renewable energy needs says, Mr Menon.

Hexomatrixx has developed an Integrated Management System meeting the Operational & Control Integration Management System standards.  Hexomatrixx IMS Systems are certified by the German TUV Nord to fulfil the requirements of  ISO 9001-2008, ISO14001 & OHSAS18001.

Hexomatrixx Supply Chain Solutions have developed Customer management, Distribution, ‘Order to Cash’, ‘Purchase to pay’ Supplier Management service models to support the supply chains from the point of order entry to cash receipt with optimal efficiency.   

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