How Integrated Logistics Hubs Are Reshaping Regional Trade

Nikhil Agarwal, President of CJ Darcl Logistics Limited, in an exclusive interaction with Thiruamuthan, Assistant Editor at Industry Outlook, discusses how Indian logistics is moving beyond cost and speed to embrace sustainability at scale. He highlights companies adopting circular economy practices, greener warehouses, electric and alternative-fuel fleets, and using AI and blockchain to boost efficiency, transparency, and collaboration across fragmented supplier networks, sharply cutting emissions and resource waste. With over 17 years of experience spanning logistics, sustainability, renewable energy, horticulture, supply chain innovation, strategic investments, and operational excellence, Nikhil Agarwal is an expert in driving transformative initiatives across industries.

With regional trade surging post-pandemic and India investing heavily in infrastructure, how are integrated logistics hubs improving cargo movement and reducing corridor bottlenecks?

For long, India’s logistics ecosystem has been fragmented, but gradually we're witnessing a transformative change. With the consolidation of a multitude of logistics services under one roof, the need for cargo to move between multiple handling stages is being reduced, which ultimately translates to lower transit times and logistics costs. In alignment with this vision, the government's initiative to develop 35 Multimodal Logistic Parks demonstrates a clear recognition of how critical these hubs are for the future of our logistics industry. These MMLPs serving as integrated logistics hubs will bring together the complete umbrella of logistics solution,s including transportation, freight handling, customs and regulatory services, warehousing, cold storage and even value-added services like packaging and labeling reshaping the entire supply chain operations by reducing documentation touchpoints, loading and unloading cycles and easing the process of cargo movement from its origin to final destination.

Also Read: Green Logistics 2025: Driving Innovation with Hyperlocal Logistics

As Indian hubs consolidate warehousing, transportation, and customs processes, which operational innovations are most effective in driving faster turnaround and cost efficiencies across domestic and cross-border trade?

In order to create efficient logistic hubs, it’s essential to have a fair share of digital as well as physical infrastructure development. While advancements like the launch of dedicated freight corridors (DFCs) and multimodal logistic parks (MMLPs) are enabling quicker turnaround times and smoother transitions between different transportation modes, there are digital innovations like AI and IoT which are enhancing visibility into the entire supply chain on a real-time basis. These technologies enable predictive inventory management, real-time temperature monitoring, and proactive addressal of risks, making supply chains more resilient and less vulnerable to disruptions.

At CJ Darcl, our entire infrastructure from AI-powered route optimization, IoT-enabled cargo tracking, Transport Management Software and Warehouse Management System to Driver Fatigue Monitoring System contributes toward driving efficient end-to-end supply chain management across pan India.

Despite expansions at major Indian ports and rail upgrades, what specific challenges do remaining connectivity gaps, such as delayed cargo transfers and limited intermodal links, create for logistics efficiency?

The progress we've witnessed through initiatives like Sagarmala, Bharatmala, MMLPs and the Dedicated Freight Corridors has significantly strengthened the logistics ecosystem of India. However, despite these efforts and investments, there are certain operational challenges that continue to impact logistics efficiency on the ground. One of the most prevalent challenges is the unavailability of specialized handling equipment at ports and terminals, which is further complemented by a lack of storage facilities and inter-city route congestion that impacts the logistics cost involved and the entire supply chain. Apart from this, while long-haul corridors have greatly improved connectivity, the inadequacy of access points and poor connectivity in the final stretch to distribution centers add significant delays and operational friction, hampering the logistics efficiency despite large-scale improvements and developments. However, with the upcoming MMLPs, we are hopeful that these bottlenecks will be gradually eliminated to bring in more efficiency into the Indian logistics ecosystem.

As technology transforms India’s supply chains, to what extent are IoT, AI, and real-time tracking improving transparency and reliability in integrated logistics hubs?

In my view, technology is one of the most important elements binding every supply chain together. It has transformed visibility into a standard, moving from something that once took hours to check and communicate, now happens instantaneously. For products that involve just in time deliveries, it helps keep all the stakeholders aligned as they move through warehousing, transit, and customs points. Beyond tracking, its ability to consolidate information from IoT sensors, GPS, and handheld devices into common dashboards accessible to all stakeholders, from transporters to customers, creates a single source of information for the entire supply chain. Artificial intelligence adds another layer of sophistication, analyzing data in real time to predict disruptions, provide alerts, optimize loading patterns, and forecast delivery times with significant accuracy. As a result, preventive necessary actions are taken beforehand, delays are minimized, and operations become smoother and more reliable.

With regulatory pressure and sustainability goals rising in India, how are eco-friendly practices and energy-efficient operations becoming essential for integrated logistics hubs’ long-term performance?

Over the last few years, the approach toward sustainability has shifted from companies looking at it just from a regulatory compliance view to understanding its actual impact on the business. Apart from the fact that using eco-friendly alternatives brings cost savings in the long run, it also gives companies a competitive edge over others as customers are increasingly opting for sustainable deliveries. Similarly, integrated logistics hubs also require energy-efficient functions such as facilitating last-mile deliveries with alternative-fueled vehicles, using smart lighting systems, setting up retreatment plants, and using energy-efficient HVAC solutions that significantly reduce operational carbon footprint and reliance on fossil fuels.

With the long-term impact of these practices, we at CJ Darcl have already taken multiple initiatives, which include smart lighting systems, solar power panels, and water treatment plants established and operational across our facilities. We also encourage clients to leverage our multimodal transportation solutions, which inherently reduce emissions and complement them with sustainable packaging options and alternate fuel vehicles for last-mile delivery. Additionally, we are also transitioning from BS IV to BS VI vehicles to reduce our carbon footprint.

Also Read: How Green Practices are Shaping the Future of Supply Chain Management

As India’s regional trade patterns evolve and cross-border e-commerce grows, which emerging trends will most significantly redefine integrated logistics hubs’ role in future supply chains?

The future of integrated logistics hubs is being shaped by digital as well as physical developments. The most important trend shaping supply chains is last-mile connectivity, as ecommerce and cross-border logistics are growing rapidly; it’s crucial for these hubs to have robust connectivity to other nearby areas. The integration of technologies like blockchain, IoT and AI will contribute to ensuring every movement is uniquely tracked and predictable, making supply chains more competitive in the future.  

The shift toward value-added services is equally significant. Today's hubs aren't just storage points; they provide solutions beyond that, including packaging, kitting, order customizations to supporting just-in-time delivery models. The facilities that master this integration, combining speed, sustainability, and smart technology, will define competitive advantage in the next decade of cross border trade.