Prime Minister Narendra Modi recently launched the National Logistics Policy (NLP). It aims to bring development in the costly, polluting, and congesting modal mix of Indian logistics. It goes along with the previous plans like the National Rail Plan and Maritime India Vision.
India would strive to reduce the cost of logistics down to single digits. Currently, Indian ranks 47th in the World Banks’ Logistics Performance Index. All three major transportation modes – roads, rail, and waterways – have infrastructural clogs and mismatches.
Moreover, currently, Indian logistics overly depend on roads. The new policy expects to bring more attention to railways and waterways. The multi-trillion projects such as Sagarmala, Bharatmala, and dedicated freight corridors already fall in this direction.
The policy mainly intends to form a comprehensive logistics action plan (CLAP), a new set of warehousing standards, digital ease of logistics dashboard (E-LogS), and a unified logistics interface platform (ULIP). Experts believe that it is important that the government start synchronising the root cause through the PM Gati-Shakti programme. If implemented properly, the policy and digitisation would benefit large-scale movers such as shipping companies.
