New Delhi, February 17 India needs to embrace new technology and can save up to ₹20,000 crore by using AI for cargo handling at ports, said Member of the Economic Advisory Council to the PM, Gourav Vallabh, on Tuesday.
Speaking at the session 'AI-Powered Ports: Reimagining Efficiency and Operations' at the AI Impact Summit here, Vallabh said that India is emerging as a global leader in the field of new technology.
"There is an approximate saving of ₹20,000 crore in our handling due to the use of AI. And we can save ₹15,000 crore every year as far as logistic costs are concerned," he said.
The question is not whether AI will transform India's ports, Vallabh said, adding "the question is whether we are going to lead it or not."
He noted that India's logistics cost at 7.97 per cent of GDP is competitive, "but for the 'Viksit Bharat 2047' goal, our ports should be intelligent and have an intelligent ecosystem."
He said that India needs accelerated policy initiatives to reduce logistics costs.
He pointed out that 95 per cent of India's trading volume is maritime, but "despite an annual growth of 13.5 per cent, our ports are not comparable to the largest ports in the world as far as handling capacity is concerned." So, the gap is both in infrastructure as well as intelligence, he added.
Vallabh listed several areas of AI application in ports to improve performance. "AI is right in front of us; it is up to us to accept it," Vallabh noted.
Subrat Tripathy, President Business Development, APSEZ Ltd, shared the idea of introducing virtual concierges in the ports industry.
"We have been thinking of developing what is called a virtual concierge... in all interactions on a platform which are not human-based. This is not about replacing human beings, but having a particular tool where we bring in the multiple interactions, vessels, agents, transporters, and other stakeholders," Tripathy said.
He said that AI can also help in predicting weather conditions, navigation, and safe operations of ports.
Susanta Kumar Purohit, Chairperson, VO Chidambaranar Port Authority, said, "Artificial intelligence is not merely a technological upgrade for ports; it is a structural shift in how we plan, operate, and govern maritime infrastructure."
Aprajita Rana, AZB & Partners, spoke on the legal aspects of using AI in the industry, including the safety and authenticity of data.
"I think, going forward, what we really need to promote in the industry is having some sort of AI governance mechanism...You actually need to have some governance standards about how you are going to deploy AI and to what extent, and what kind of functionalities," Rana said.