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The Role of Digitalisation in Logistics

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Arvind Devaraj, COO, NICDC Logistics Data Services (NLDSL), emphasises that real competitive advantage of the next decade will belong to manufacturers who can turn fragmented information from road, rail, port, and government systems into connected supply chain intelligence.

A cement consignment rarely travels through a single logistics system.
Between a manufacturing plant and its final destination, a shipment may interact with road transporters, rail networks, warehouses, terminals, ports and multiple government systems. Each participant may generate valuable information, yet much of that information has historically remained within separate digital environments. This fragmentation creates one of the central challenges of modern logistics: there may be abundant data across the ecosystem, but not always a simple mechanism to bring the relevant data together when a decision has to be made.
For India’s cement industry, where logistics operates at scale and transportation constitutes a critical part of the value chain, digital integration can therefore become as important as physical connectivity. The next stage of logistics transformation is not simply about digitising individual processes. It is about enabling different systems to communicate with one another.

Problem is fragmentation, not lack of data
Over the past decade, various parts of India’s logistics ecosystem have become increasingly digital. Vehicle information, toll movements, railway systems, port processes and other logistics activities generate enormous volumes of data. Large manufacturers have also invested in enterprise resource planning, transportation management and fleet-management systems. But digitisation within individual organisations does not automatically create an integrated
supply chain.
A cement manufacturer may have visibility within its own transportation system while a transporter operates another platform and government agencies maintain separate datasets. A logistics team may consequently spend considerable time moving between portals, verifying information or requesting updates from multiple parties. This is where digital integration becomes important. Instead of requiring every stakeholder to operate through a single monolithic system, an interoperable architecture can enable authorised information to move securely between existing systems.
India’s Unified Logistics Interface Platform (ULIP) represents this approach.
Developed under the National Logistics Policy (NLP), ULIP functions as a digital gateway through which logistics-related datasets available across multiple government systems can be accessed through API-based integration. The broader principle is significant: logistics systems do not necessarily have to be replaced to become connected. They need to be able to exchange information securely and in standardised formats.

What integration means for cement logistics
Consider a cement manufacturer managing despatches across several states. The company’s internal system may contain information about orders, inventory and dispatch schedules. Its transport partners may maintain fleet and consignment information. Other logistics data may exist across government platforms. When relevant information can be accessed through digital interfaces and incorporated into a manufacturer’s own logistics application, decision-making becomes significantly easier.
The supply-chain team no longer needs to treat every source of information as a separate digital island. This can enable practical use cases such as shipment tracking, verification of logistics-related information, route planning, estimated arrival information and improved inventory management.
Government information on ULIP has highlighted use cases including tracking and tracing of consignments, route optimisation, destination updates, vehicle and driver verification, reduced paperwork, inventory management and visibility of logistics assets. For a sector handling high shipment volume, even incremental improvements in these processes can become meaningful when multiplied across thousands of movements.

From data collection to decision intelligence
The larger opportunity, however, is not simply to aggregate information. Digitalisation creates maximum value when data improves decisions. Consider a cement distributor waiting to receive its stock at a depot. Knowing that the delivery will be sent is of little value but knowing when it will be received makes the task of managing inventories and client commitments much easier.
Similarly, a manufacturer coordinating multiple dispatches can benefit from understanding which shipments are progressing normally and which require intervention. Estimated time of arrival, route information and other logistics signals can eventually feed into inventory planning, warehouse scheduling and customer-service systems. This is the transition from supply-chain visibility to supply-chain intelligence. Instead of logistics data being reviewed only after an operational problem has occurred, connected digital systems can make information available while there is still time to act.

Multimodal logistics needs digital interoperability
India’s logistics future is increasingly multimodal.
For industries such as cement, the optimal movement of goods may involve a combination of road, rail and maritime transport depending on distance, volume, destination and infrastructure availability. Physical multimodality, however, works most efficiently when accompanied by digital interoperability. If a shipment changes transport modes but its information cannot move seamlessly between systems, operational silos remain even though the physical infrastructure is connected.
An integrated digital layer can help bridge this gap by allowing information from different logistics systems to be consumed through standard interfaces. ULIP’s architecture is relevant in this context because it is based on API-led access to logistics-related government datasets rather than requiring users to repeatedly navigate multiple independent systems.
The scale at which such an architecture is being adopted is also expanding. As of August 2026, ULIP has signed MoUs with 11 states and 2 union territories, and currently connects 13 ministries, 48 systems, 2,000+ data fields and 142 APIs, with 2,391 companies registered and 298 applications developed. The important point for industry is not the number of integrations itself. It is what these integrations can enable.
As more datasets become interoperable, businesses have the opportunity to build logistics applications around specific operational problems instead of constructing separate mechanisms to collect the underlying information.

A platform economy around logistics data
The digitalisation of logistics can also change how innovation occurs. Traditionally, large enterprises could invest significant resources in building proprietary technology and establishing individual integrations with multiple stakeholders. Smaller companies often faced higher barriers.
Common digital infrastructure can reduce some of these barriers. When authorised logistics data is available through standard APIs, technology companies, logistics service providers and manufacturers can develop applications for specific use cases on top of that infrastructure. One company may build a transport visibility solution. Another may focus on route optimisation. A third could develop an inventory-planning tool or an analytics application for a particular commodity.
The result is not one application trying to solve every logistics problem, but an ecosystem in which different applications can use a common digital foundation. For industries such as cement, this can encourage sector-specific innovation while allowing manufacturers to adopt solutions suited to their own supply-chain structures.

Integration must be accompanied by trust
As logistics becomes more data-driven, governance becomes equally important. Manufacturing and transportation data can contain commercially sensitive information. Companies therefore need clarity regarding what information is being accessed, who is authorised to use it and how it is protected. Digital logistics infrastructure must consequently be built around secure access, consent, standardisation and clearly defined data-sharing frameworks.
ULIP’s model of API-based integration within a secured environment illustrates one approach to such controlled information exchange. For businesses, trust in the digital architecture will ultimately determine how extensively these systems become embedded within everyday operations.

Coordination: The next competitive advantage
The cement industry’s logistics challenge cannot be solved only by adding more trucks, warehouses or terminals. Physical capacity remains essential, but efficiency also depends on how effectively existing capacity is coordinated. That coordination increasingly depends on data.
When manufacturers, transporters and logistics infrastructure operate with fragmented information, every handover creates the possibility of another blind spot. When digital systems become interoperable, those handovers can become data points in a connected journey. The long-term objective should therefore be a supply chain where information moves as seamlessly as the material itself.
India’s emerging digital logistics architecture provides the foundation for this transition. The opportunity for the cement industry is to translate that foundation into practical applications better shipment visibility, smarter route and inventory planning, faster verification and more coordinated multimodal operations.
The future of cement logistics will not be defined by digitalisation for its own sake. It will be defined by whether digital connectivity can reduce uncertainty across the value chain.
When fragmented data becomes connected intelligence, logistics moves from being a sequence of transactions to becoming an integrated network and that can ultimately be one of the strongest drivers of efficiency and competitiveness.

About the author:
Arvind Devaraj is the COO of NICDC Logistics Data Services (NLDSL), which is a joint venture between Government of India represented by National Industrial Corridor Development and Implementation Trust (NICDIT) and Japanese IT major NEC Corporation. Devaraj brings over 25 years of diverse professional experience across India and the USA, spanning technology leadership, digital transformation, entrepreneurship, and program management. He has successfully led several large-scale transformation initiatives across both private and public sectors.

Concrete

JSW Cement Announces Merger with Shiva Cement

Merger aims to create a unified cement platform and simplify operations

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JSW Cement has announced a scheme of arrangement to merge its listed subsidiary Shiva Cement with itself, creating a single unified cement platform. The boards of both companies have approved the proposal, which will require clearances from stock exchanges, the Securities and Exchange Board of India, the National Company Law Tribunal, Odisha Industrial Infrastructure Development Corporation and other applicable authorities.

The transaction is expected to be completed within 12 to 14 months, subject to the necessary approvals from regulators, shareholders and creditors. Under the scheme, JSW Cement will issue 5 equity shares with a face value of Rs. 10 each for every 41 equity shares with a face value of Rs. 2 each held by Shiva Cement shareholders other than JSW Cement.

The company said the merger would consolidate financial, managerial, technical, distribution and marketing resources while reducing administrative duplication and compliance requirements. It would also provide greater funding flexibility, potentially lower financing costs and eliminate inter-company guarantees.

The consolidation is expected to strengthen backward integration by enabling JSW Cement to use Shiva Cement’s clinker manufacturing facility. This would reduce dependence on external clinker procurement and improve supply-chain efficiency. Public shareholders of Shiva Cement would receive direct ownership in JSW Cement, which has a broader institutional investor base and a more liquid listed presence.

JSW Cement acquired a controlling stake in Shiva Cement through transactions that began in January 2017. Shiva Cement operates a clinker facility in Odisha, near the borders of Odisha, Chhattisgarh and Jharkhand, and commissioned a 1 mtpa cement grinding unit at Sambalpur in FY26 through a commercial arrangement with Bhushan Power and Steel.

JSW Cement has 24.10 mtpa of cement grinding capacity and 9.74 mtpa of clinkerisation capacity. Its Indian operations comprise nine plants, including two integrated units, one clinker unit and six grinding units. The proposed merger is intended to simplify the corporate structure and align the financial statements of the two companies.

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Concrete

UltraTech’s Kukurdih unit runs fully on green energy

The Chhattisgarh plant has met 100 per cent of its electricity needs through green energy since April 2026.

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UltraTech Cement’s Kukurdih Cement Works in Chhattisgarh has met 100 per cent of its electricity requirement through green energy every month since April 2026. Commissioned in 2024, the integrated cement manufacturing unit has an installed grey cement capacity of 3.3 million tonnes per annum.
The plant meets its electricity requirement through a combination of renewable power sourcing and Waste Heat Recovery Systems (WHRS). UltraTech said the combination enables the unit to meet its power needs through green energy while maintaining operational reliability.
Since April 2026, nearly a third of UltraTech’s 76 manufacturing units in India have maintained green energy utilisation above 50 per cent of their electricity requirement. Five units, including Kukurdih, have exceeded 95 per cent green energy utilisation.
The company is also progressively deploying Battery Energy Storage Systems (BESS) across its manufacturing network to support greater integration of renewable energy. UltraTech said it has not invested in new captive thermal power capacity at its integrated units, including greenfield projects and brownfield expansions, for more than 10 years.
As of Q1FY27, UltraTech’s captive green energy capacity stood at 1,897 MW, comprising 1,463 MW of renewable capacity from solar, wind and hybrid sources, and 434 MW of WHRS capacity.
Under its RE100 commitment, the company aims to increase the share of green power in its total power mix to 85 per cent by 2030 and 100 per cent by 2050.

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Cement Prices Rise Rs. 7 per Bag in September; October Hikes Expected

Cement prices rose in September as companies weighed further increases.

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Cement companies may seek to raise prices by Rs. 5 to Rs. 20 per bag across most markets in October, although the ability to sustain the increases will depend on demand recovery and dealer acceptance, according to a report by Centrum Broking. The outlook follows a pickup in pricing momentum during September after largely stable prices in July and August.

The all-India average trade price increased by Rs. 7 per bag month-on-month to Rs. 356 in September. Centrum Broking’s channel checks indicated gains across both trade and non-trade segments, with non-trade prices recording sharper increases in most markets. However, higher company billing rates were not fully passed on to customers in several regions because dealers continued selling at earlier prices to meet quarter-end volume targets.

The brokerage said demand weakness in Q2FY27 was less pronounced than the usual seasonal trend, with construction activity improving in several markets towards the end of the quarter. Demand remained range-bound across several markets in July and August, while September produced mixed regional trends. Higher rainfall affected activity in some areas, whereas lower rainfall supported construction work elsewhere.

South India recorded the largest price increase in September, at Rs. 11 per bag, followed by West India at Rs. 9. Central, East and North India each reported increases of Rs. 5 per bag. Despite the September recovery, the average all-India trade price for Q2FY27 stood at Rs. 351 per bag, down Rs. 1 sequentially, as weaker pricing in July and August offset the later gains.

Centrum Broking said the success of any October increases would depend on the pace of demand recovery and dealers’ willingness to accept higher prices. Fuel prices have also risen sharply in recent weeks, making the implementation and sustainability of price increases a key factor for the cement industry’s pricing outlook.

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