India Boosts Logistics Sector with National Logistics Policy 2022: Key Achievements and Future Roadmap

The policy aims to address key challenges in the logistics sector, ensuring integrated development, enhanced efficiency, and sustainability.

The Union Minister of State for Commerce and Industry, Shri Jitin Prasada, highlighted significant progress under the National Logistics Policy 2022 in a written reply to the Lok Sabha. The policy aims to address key challenges in the logistics sector, ensuring integrated development, enhanced efficiency, and sustainability. Several initiatives and milestones have been achieved, setting India on a path toward a robust and globally competitive logistics framework.

Key Achievements and Initiatives Under the National Logistics Policy

Sectoral Development and State Involvement:

Sectoral Plan for Efficient Logistics (SPEL): A comprehensive logistics plan has been notified for the coal sector.

State-Level Logistics Policies: 26 states and union territories have introduced their respective logistics policies. These are accessible at the Department for Promotion of Industry and Internal Trade (DPIIT) website.

Inter-Ministerial Collaboration: A Service Improvement Group (SIG), constituted in March 2023, includes industry associations to address sectoral challenges and enhance efficiency.

Digitalisation and Technology Integration:

Unified Logistics Interface Platform (ULIP): Launched in 2021, ULIP integrates 39 systems from 11 ministries, providing access to over 1,800 data fields through 125 APIs. It streamlines logistics data sharing and tracking, significantly improving transparency and efficiency.

Logistics Data Bank (LDB): Using RFID technology, the LDB facilitates real-time tracking of 100% of India’s containerized EXIM cargo, ensuring seamless cargo movement across the country.

Infrastructure Development:

Multi-Modal Logistics Parks: Developed by the Ministry of Road Transport and Highways.

Dedicated Freight Corridors: Spearheaded by the Ministry of Railways to improve freight movement efficiency.

Air Cargo Facilities: Expanded by the Airports Authority of India.

Educational and Skill Development:

Logistics Curriculum: An MoU with Gati Shakti Vishwavidyalaya in October 2023 led to the development of specialized logistics courses, with 8 already launched.

Centre of Excellence for City Logistics: Established at the School of Planning and Architecture (SPA), Bhopal in May 2024.

Skill Development: 37 qualification packs (QPs) are operational, with 7 new QPs introduced in FY 2024-25, developed in collaboration with the Logistics Sector Skill Council (LSSC).

Sustainability and Green Logistics:

Freight Greenhouse Gas (GHG) Calculator: Helps compare GHG emissions across transportation modes for fixed origin-destination pairs, promoting eco-friendly logistics solutions.

Rail Green Points: Introduced by Indian Railways to highlight carbon emission savings for freight customers.

Standardisation and Warehousing:

The E-Handbook on Warehousing Standards, launched in 2022, sets benchmarks for warehousing efficiency.

Global Recognition and Impact

India’s ranking in the World Bank’s Logistics Performance Index (LPI) improved significantly from 54th place in 2014 to 38th place in 2023. The World Bank has lauded India’s investments in infrastructure and digitization, including improved port connectivity and supply chain management systems.

Upcoming Focus Areas

Sustainability: Expanding tools like the GHG Calculator and Rail Green Points to further reduce the environmental impact of logistics operations.

Integration with PM Gati Shakti: Strengthening GIS-based infrastructure planning to create cohesive and efficient logistics networks.

Skill Development: Enhancing training programs and creating new qualification standards to meet future industry demands.

Vision for the Future

With the National Logistics Policy 2022, India aims to transform its logistics landscape, reducing costs, improving transit times, and enhancing the competitiveness of Indian businesses globally. These initiatives are set to make India a global logistics hub, ensuring sustainability and inclusivity in the nation’s supply chain systems.