PM Gati Shakti-National Master Plan aims to cut down logistic cost by 4-5 pc.

October 14, 2022

India will save Rs 10 lakh crore annually if the country is able to bring down the logistic costs by 4-5 percent through PM Gati Shakti-National Master Plan for Multi-model connectivity, Commerce and Industry Minister Piyush Goyal.
In India logistic cost is around 13-14 percent.
Our effort is to bring down the logistic cost by 4-5 percent in the coming years. It will help India save around Rs 10 lakh crore annually.
India is improving last mile connectivity through PM Gati Shakti, filling the infrastructure gaps, completing infrastructure projects within a short period of time through PM Gati Shakti, and if we bring down logistics costs from 13-14 percent to single digit or 4-5 percent down, it will save Rs 10 lakh crore annually.
“Going forward, as our target is to make the country’s economy $30 trillion by 2047, we need to reduce the logistics cost.
Earlier in the programme, Goyal released LEADS (Logistics Ease Across Different States) 2022 report on the ranking of states. According to the report, Andhra Pradesh, Assam and Gujarat are among the 15 states and UTs categorised as achievers in the logistics index chart 2022. The index is an indicator of the efficiency of logistical services necessary for promoting exports and economic growth. Kerala, Madhya Pradesh, Rajasthan, Puducherry, Sikkim and Tripura are the other states categorised as fast movers in the ranking.
The 15 states and UTs ranked in the aspirer’s category include Bihar, Chhattisgarh, Goa and Mizoram.
The report ranks the states on the basis of their logistics ecosystem, highlights the key logistics-related challenges faced by the stakeholders and includes suggestive recommendations, according to the fourth LEADS (Logistics Ease Across Different States) 2022 report unveiled by Commerce and Industry Minister Piyush Goyal.
The index aims at enhancing the focus on improving logistics performance across states which is essential for improving the country’s trade and reducing transaction costs.
The first logistics report was released in 2018. No ranking was released last year due to the COVID-19 pandemic. Gujarat was in the first position in both the 2018 and 2019 ranking lists.