India's Top PSUs 2021

India’s Top PSUs 2021 28 Experts’ View How would you describe the journey of your company since its inception? What are some of the key milestones of the company in recent years? In the year 2016 AAICLAS was formed as a corporation with a clear vision to become the foremost Integrated logistics network operator in India, with primary focus on air cargo handling, logistics and allied services. Currently we operate 52 Domestic and International air cargo terminals at 34 Indian airports. We are a fully owned subsidiary of the Airports Authority of India. The economic growth of any region is directly related to its international trade and logistics infrastructure. Availability of infrastructure at competitive rates promotes trade and improves global competitiveness. It is also a key determinant of foreigndirect investment (FDI) inflows. In India, an efficient logistics infrastructure will reduce cost of transportation which, in turn can contribute directly to global competitiveness. Efficient logistics industry acts as an economic catalyst by opening up new market opportunities. India was the fastest growing domestic air travel market globally in 2019. How did the pandemic impact the business? What innovative initiatives did you take to steer AAI Cargo Logistics and Allied Services Company Limited through the crisis? True. We are seeing green shoots across the air cargo industry. The domestic cargo throughput has reached close to the pre-pandemic levels. However, we need measures to sustain these levels. I am personally working with various industry stakeholders to work out ways to remove bottlenecks and hurdles to make the industry attractive and move cargo from other modes of transport to air. About the innovative initiatives, most of the domestic cargo moves through large metro airports. However, the pandemic is changing this phenomenon. Tier II & III cities now account for a large chunk of the business, thanks to the rise of e-commerce. At AAICLAS, what we did during the vaccine movement was an eye opener. A lot of bottlenecks got removed and funds allocated to be deployed for building cold-chain assets got deployed in creating better basic infrastructure. In the process, we integrated & created SOPs to work seamlessly with all stakeholders, significantly reduced dwell time to ensure vaccines reached from producers to the consumers in the shortest possible time. Additionally, theGovernment of India’s Krishi Udaan Scheme saw success amongst farm producers who were willing to pay a premium. The main commodities we handle are general cargo, perishables, specialised cargo like live animals, hazardous materials and everything that an airline would bring in. In fact, we recently handled metro coaches, wind turbines and large ship engines as well. We maxed 943,000 tons throughput during 2018-19 and achieved 75% of this during the fiscal 2019-20. Currently, we are at par with the pre- pandemic levels on a MoM basis. We strongly feel these numbers are sustainable and will move only northwards. Government is coming with various schemes to stimulate growth and facilitate freight. AAI Cargo Logistics andAllied Services manages close to 50 airport cargo terminals. What is your company’s growth strategy for next 3-5 years? International trade plays a key role in enhancing logistic infrastructure. 35% of global trade by value moves by air. This ensures our strategy and resource deployment plans are absolutely relevant and forward looking. We are mandated to augment air cargo infrastructure at most Indian locations, to connect producers and consumers of goods. Krishi Udaan, and various other schemes as announced by the Government from time to time drives our strategy and focus to create world class air cargo logistics infrastructure in the country and help our exporters and domestic markets reach out to the consumers of the world. Keku Bomi Gazder Chief Executive Officer Dun & Bradstreet