The critical infrastructure of the Saudi Arabia about the
strategic interests depends on the logistic hub, transportation, and
manufacturing process. The logistics and procurement hosted the forum and
served as moderators in the technical services [3]. There are five main
areas that required further development and these particular areas includes,
technical innovations, operations, enhancement of business, boosting process
for the procedures and development of the cluster applications. The prime
geographic location of Saudi Aramco is optimal for the export and import of
services. Indian oil and gas industry is required to enhance the economic
diversification and to develop the local content. The logistic programs
includes technical analysis of supply chain management, localization programs,
and cybersecurity issues [5].
Indian downstream sector is working efficiently to make
strong partnership between the consumers and the producers. The Prime Minister
of India highlighted that due to Rapid increase in prices of crude oil the
consuming countries are facing economic challenges such as serious resource
crunch. The design and delivery of the services is facing serious challenges.
The transportation of the crude oil and hydrocarbon can undergo some sort of
breakdown and may get fire [2]. The probability of
losing oil by burning or accidental circumstances induces impact on the supply
services. The proper growth opportunities are required by the Indian oil
industry for the transportation, container services, freight forwarding,
shipping services, and express cargo delivery. The logistic sector improves the
future growth of the economy. In India the market size of the logistic sector
is USD 90-125 billion. Saudi Aramcoand Adnoc can face challenges in the
accomplishment of services. Several complexities are holding in the services
and these issues includes complex tax structure, poor conditions for the
storage of infrastructure, poor skills of the logistic professionals, low rate
for the adaptation of new and innovative technology [1].
Transport related
challenges of potential competitors in the Indian downstream sector
The logistic industry of India is facing challenges of
transportation as predominant mode is freight cargo. The road network coverage
is not proper and needs serious initiatives to improve the road network [6].
Storage
infrastructure challenges of potential competitors in the Indian downstream sector
In India the stat of ICD/CFS is poor and the available
infrastructure is in the EXIM trade mode. The consolidation of land faces
several hurdles. The eventual failure of ICD/CFS can reduce the efficiency of
services. The state of warehouses is poor and major operations are limited due
to lower investment capacity. The multimodal logistic considers integrated
logistics including value addition, provision of transportation hub, and
logistic parts that are required to be devalued properly [7].
Tax structure
challenges of potential competitors in the Indian downstream sector
The complex process of tax regimes have challenge for the
payment of multiple states and the center taxes. The fragmentation of the space
in the warehouses is mainly due to low margin production system and distinctive
situations.
Technology and skills
issues of potential competitors in the Indian downstream sector
The logistic industry of India is hampered by the lower
rates for the adaptation of the technology. The poor skills of the employees
requires serious attention to improve the industry and to reduce the
challenges. The domain requirement and
automation process are fully dependent on the level of standardization. The drawback of technology and skills is
required to be tackled as early as possible.
The focus of logistic industry is to hire quality professional
manpower. The skills required in the
sector are operator skills, industry understanding, safety procedures, driving
skills, and technology skills [3].
References of potential competitors in the Indian downstream sector
[1]
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Globalenergy. pr. co,
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S. Ramachandran, M.
S. Nakhava and K. Pratik, "Logistics in India: Challenges and
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Saudiaramco. com,
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E. H. ELSAGHIER,
"Planning and optimising of petroleum industry supply chain and
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01, no. 01, pp. 01-10, 2017.
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M. Alhashim, "An
Analysis of Barriers to Supply Chain Management Performance in Saudi
Arabia," Supply Chain Management, vol. 01, no. 01, pp. 01-15,
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Shodhganga.
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