Logistics sector likely to add 10 million jobs by 2027
The logistics sector, growing at a compound annual growth rate of 12%, is expected to add 10 million jobs by 2027, says TeamLease Services. The sector has been undergoing a shift from being an unorganised one to a more organised sector, and this is catalysing expansion, according to TeamLease Services.
Balasubramanian A, Vice-President & Business Head, TeamLease Services, says, “Government initiatives that will help in increasing the employment rate in the logistics industry include the Production Linked Incentive scheme, aimed at improving production in India. The flow of goods will go up significantly not just because of projected increase in domestic consumption but also because of PLI-driven increase in exports too.”
Analysing this increasing demand, Balasubramanian says, “As India’s logistics sector continues to expand, it is critical to understand the forces driving this transformation. We are witnessing the emergence of a dynamic industry that is poised to create approximately 10 million new job opportunities over the next five years, owing to a significant increase in both production and consumption. This increase in output has increased demand for logistics services transportation, warehousing and distribution. Furthermore, shifting economic dynamics such as rising disposable incomes, lower inflation rates and rising rural demand have sparked a nationwide consumption boom.”