Maersk and BlackBuck digitise trucking in India
September 3, 2019
Danish container logistics firm Maersk is working with Indian online trucking marketplace Blackbuck to bring digital technology to the Indian export-import (exim) containerised trucking market.
The partnership aims to amplify Maersk’s efforts towards accelerating innovation in the logistics space, enabling trade and supporting the vision of becoming a global integrator of container logistics. For BlackBuck, the partnership fuels its transformation into a different market – highly fragmented exim containerised trucking.
Maersk and BlackBuck plan to address key industry difficulties around demand-supply visibility, real-time tracking and improving as-set utilisation by creating better network visibility for customers.
The Indian government has set ambitions to reduce logistics cost from 14% of the GDP to less than 9% by 2022. The platform will be owned and operated by BlackBuck with Maersk supporting BlackBuck to develop industry specific services. The neutral platform will be open to the whole industry and aims to reduce touch points in the supply chain, thereby improving customer experience, matching demand-supply through the year and providing consistency in service delivery through real-time visibility and control.
“Our customers are dealing with fragmented vendors with varying service levels of communication, geographical, financial and infrastructural disparities resulting in suboptimal supply chains,” said Arjun Maharaj, head of sales for Maersk in south Asia. “At Maersk, we have committed ourselves to working with partners who understand these challenges, match our set of values and have expertise in both logistics and technology.”
BlackBuck, the near-unicorn status company, has been a pioneer in bringing the offline operations of trucking online, be it matching a shipper with a trucker or reshaping the infrastructure around trucking to facilitate payments, insurance and financial services.
“At BlackBuck, over the last four years, we have developed our robust product and technology that maximises the billable kilometres of a truck, delivering higher realisation to the truck owners and driving a low-cost transportation network to the shippers,” said Ramasubramaniam B, co-founder of BlackBuck. “Our product will add significant value to the exim containerised trucking industry in India that has the additional complexity of meeting the timelines of sea freight connections, apart from other regular trucking related challenges. Maersk, with its industry specific knowledge and expertise, will help us transform this space through digitisation.”
Maersk has set out on a digital transformation journey and, among various other initiatives globally, is the India-focused OceanPro accelerator programme, which was launched in 2018. Ideas developed by start-ups in first cohort of OceanPro are already being implemented through various services to accelerate technology innovation in the shipping and logistics industry in India and globally.
The company launched the second cohort of OceanPro in July this year with a group of five start-ups.
“At Maersk, we are collaborating with such start-ups that will help us solve landside logistics challenges in India by not only reducing costs but also creating efficiencies for all the stakeholders in the value chain,” said Bhavik Mota, head of product for Maersk in south Asia.
Founded in 2015, BlackBuck has been a pioneer in bringing the offline operations of trucking online, be it matching a shipper with a trucker or reshaping the infrastructure around trucking to facilitate payments, insurance and financial services.