As per the Indian Logistics Industry Outlook 2020 report, the logistics market in India will grow at a CAGR of 10.5 percent between 2019 and 2025. Much of this growth will stem from disruption and development in related industries such as e-commerce, manufacturing, retail, healthcare, etc. The growth in these industries will be driven by investment in infrastructure, operational efficiency, digital systems, and data analytics. The policy support by the government, like the recent National Logistics Policy, will also play a part in accelerating growth.

However, the growth will not be without its challenges. As observed during the peak of the pandemic, the complexity of supply chain issues will continue to be a big hindrance to business growth. As logistics businesses navigate around the scarcity of resources, freight bottlenecks, high consumer demand, greater employee attrition, vendor movement, and subsequent frauds will be one of the largest obstacles that will continue to impact franchise partners, affecting their profitability and long-term growth.

Third-Party Frauds: A Big Problem in Logistics?

To add speed and scalability to logistics operations, franchisees establish an extensive third-party network including vendors, distributors, delivery partners, etc. Running a franchise involves multiple stakeholders and most of them have access to high stocks of inventory and underlying assets.


Checks to Mitigate Frauds in Logistics Space-Logistics businesses are susceptible to financial fraud due to the high transaction volumes. Even a slight compliance oversight can significantly impact the annual turnover and market share.

Third-Party Onboarding To Meet Logistics Requirements –As a business expands, logistics operations are outsourced to third parties to streamline inbound and outbound logistics, reverse logistics, intra-organizational transportation, inventory management, and much more.

Israel companies offer solutions in data-led delivery and fulfilment platform that offers last-mile delivery solutions for retailers and logistics providers, Drone delivery systems that simplify deliveries and enhance efficiency by shortening delivery times and lowering costs. And companies that revolutionize the freight forwarding and cargo industry via guaranteed payment, automating and optimizing routing & pricing in real-time, companies that provides end-to-end service for managing goods in transit and reshaping the future of the supply-chain industry.

Relevant companies, interested to reshaping the future of the supply-chain industry through Israel technology, please contact the Trade and Economic Department at the Israeli Consulate General in Bengaluru.

Contact: Ms. Kavitha S
Trade Officer -Trade and Economic Mission, Consulate General of Israel to South India (Bangalore). Tel: +91-80-49406515.