Snowman Logistics announces the launch of Fifth-Party Logistics or 5PL services in India. The company claims to be one of the first companies to introduce this service in the cold chain logistics and supply chain management sector in India.
The need for 5PL services has grown incrementally in the last couple of years due to the development of eCommerce businesses, the rise in international trade activities, and the increased complexities in the supply chain. The post-pandemic rise in the ready-to-eat and ready-to-cook food categories is also a reason for the boost in the 5PL service segment in this sector.
Leveraging this growth, Snowman Logistics now provides distribution and consolidation services, including sourcing on behalf of its customers, in addition to the existing bouquet of 3PL services of transportation and warehousing. In this model, we operate as an integral part of the client’s organization, develop suppliers, negotiate pricing on behalf of customers, audit manufacturing plants, share production/requirement planning, buy stocks from them, consolidate in the warehouse, and sell to the clients. The vendor onboarding process is done by the Snowman Quality Team after an extensive quality audit, commercial benchmarking, and due diligence.
Commenting on the launch of the 5PL service, Sunil Nair, chief executive officer, Snowman Logistics, says, “The launch of 5PL services has opened up a huge opportunity for us to convert our existing 3PL accounts to 5PL accounts. Being the industry leader in cold chain and integrated solutions for the last three decades, this is a win-win situation for us and our customers. By using our expertise, the network of suppliers and customers and offering distribution and consolidation services in addition to our existing solutions, we are now offering one-stop distribution services, right from the manufacturing plant to the consumption points through which we can add further value and enhance earnings from our existing businesses without needing to invest in infrastructure. We have already started offering this service to IKEA, Tim Hortons, and Baskin Robbins and are targeting aggressive growth in this segment."
Mohit Khattar, chief executive officer, Graviss Foods, Baskin Robbins, testifies, “Snowman has been our 3PL partner for the last decade. Their national presence, experience in cold chain logistics, and quality infrastructure across cities add value and assurance to our partners and our operations. Now, their added bouquet of services presents new win-win opportunities for us to collaborate further and grow our respective businesses.”
Snowman Logistics is India’s leading cold chain & integrated temperature-controlled logistics service provider with 43 strategically located warehouses and a total pallet capacity of 130,201 across 17 major cities in India. It is a group company of Gateway Distriparks.