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The IUP Journal of Management Research :
A Demographic Study of Problems Faced by Indian Shipping Agents with Special Reference to Indore
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With the advent of globalization, the World is blooming with magnificent opportunities of growth in business. Globalization has brought boom in all sectors of the economy, thus, bringing impact on international business also. International business has caused India to involve more in international market by creating powerful logistics support system. Logistics play a vital role in international business. The major focus of exporters is that the materials should be shipped on time and this task is performed by shipping agents like Customs House Agents (CHAs), freight forwarders, etc. Indore is a developing city where export turnover is very high. The city has more than 100 export industries which include Special Economic Zones (SEZs) and Export Oriented Units (EOUs). But, due to lack of infrastructure, the intermediaries, i.e., CHAs and freight forwarders confront many difficulties, and thus, they lag behind. This paper attempts to explore the root cause of the problems faced by various intermediaries/shipping agents and suggestions to improve it.

 
 
 

Logistics has been performed since the beginning of the civilization. However, in the today's World, where there is realization of global village and borderless world, implementation of the most exciting and challenging operational areas of business is furnished by logistics. Business logistics is the planning, organizing and controlling of all move-store activities that facilitate product flow from the point of raw material acquisition to final consumption (Muthiah, 2001).

Intermediaries have an important role to play in the shipping industry. They provide various vital services to shipping lines as well as shippers and are an important link between the two. Intermediaries exist because they improve the efficiency of marketing channels (Wood et al., 2002). These days, intermediaries have global operations and because of their specialized infrastructure and superior contacts, many organizations outsource a variety of services to these intermediaries (Paul and Aserkar, 2009).

Indore is a developing city, where the export turnover is very high. There are about 50 Customs House Agents (CHAs) and shipping agent lines working for the export industry. The tremendous industrial growth in and around city and the emergence of Madhya Pradesh as a major cargo hub called for more facilities like Container Freight Stations (CFSs), better roads, and importantly, good rail connectivity, especially from Indore and Pithampur. According to Exim Newsletter (2008), Western India, logistics at Indore is bridging the distance to the gateway ports. Infrastructure, connectivity, cost and time and efficiency should be combined to bring about trade facilitation. It has been stated that the problem of infrastructure was never an easy target for a landlocked city like Indore. The problems of infrastructure and connectivity and time efficient transit from the region could be solved by providing various facilities at the Inland Container Depot (ICD).

 
 
 

Management Research Journal, Indian Shipping Agents, Globalization, Shipping Industry, Customs House Agents, Special Economic Zones, Marketing Channels, Container Freight Stations, Inland Container Depot, Infrastructure Developments, Sound Llogistics System, Data Collection.