UPS to make some parcel-tracking tags in India

United Parcel Service (UPS), the world's largest parcel delivery firm, is engaging in discussions with several Indian state governments to establish production facilities for some of the tags used in tracking packages within the country, according to a senior executive interviewed by Reuters. Semiconductor manufacturing is a crucial aspect of Prime Minister Mr. Narendra Modi's economic agenda, aiming to position India as a global hub for chip production despite initial challenges in offering US$10 billion in industry incentives.

"We are working with potential partners. What we are trying to do in India is leverage the semiconductor investments the government is making," explained Chief Digital and Technology Officer Mr. Bala Subramanian. UPS initiated the expansion of radio-frequency identification (RFID) tag usage on packages approximately 2 years ago, streamlining operations by enabling workers to circumvent millions of daily package scans and minimizing the incidence of lost or misdirected parcels. While specifics regarding the investment size and commencement of manufacturing remain undisclosed, he affirmed that UPS is committed to leveraging India's semiconductor investments for its global operations.

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