When it rains it pours
The Bombax Squad have had to re-route traditional supply chains and find ways to meet client expectations, even in these difficult circumstances. I am extremely proud to announce that despite all the challenges, our team excelled in the field and received a glowing letter of appreciation from our largest aggregator customer, in which they state “We would like to appreciate you for the amazing work you showed for ongoing ‘Project’ and also your dedication, passion and efforts has impressed our entire team.”
We have continued to focus on high-margin business – to maintain our EBITDA+ status in these difficult economic times. Our rural supply-chain network now accounts for approximately 46% of our I.T. movement. This reinforces the trend that rural India will continue to play a dominant role in the India growth story over the next 5 years.
Network Expansion
North : Deeper Penetration in Uttar Pradesh (U.P.)
U.P. is the most populated state in India with over 200 million inhabitants spread over 75 districts. Despite its size and population, air connectivity is poor ‘to’ and ‘from’ its major cities i.e. Lucknow which is the state capital is #21 in the list of airports in terms of cargo movement. Varanasi is at #38. Agra and Kanpur don’t feature in the top 50 airports in India. So how do the people of U.P. move in and out of the state? Through Delhi IGI airport which is the #1 largest airport in India for passenger and air cargo.
This unusual movement (due to arbitrary flight frequencies, inadequate infrastructure and fixed line-hauls) all add to transit time, costs and inefficiencies.
We have therefore established an Airport Hub in Lucknow (LKO) to service Central U.P. and will be setting up a Spoke in Varanasi (VNS) to service East U.P.
This will allow us to open almost 550+ pincodes in U.P. for express services using under-utilised aircraft belly space, and also allow us to provide high value rural services to demand-aggregators.
Moving Forward:
The entire team at Bombax is excited about the opportunities that continue to present themselves in the dynamic logistic market which is gathering momentum and supporting the growth of the entire Indian economy.
Please do write back with your feedback and inputs –we would love to hear from you. Also feel free to share this newsletter with anyone who you feel may find it interesting…