Cabinet approves the National Logistics Policy (NLP); aim to improve India’s global ranking in Logistics sector
4 months ago
The Union Cabinet, chaired by Prime Minister, Shri Narendra Modi, has approved the National Logistics Policy. The Policy introduces Unified Logistics Interface Platform, Standardization, Monitoring framework and skill development for greater efficiency in logistics services. NLP complements the PM GatiShakti National Master Plan. While PM GatiShakti National Master Plan is aimed at integrated infrastructure development, the National Logistics Policy will bring efficiency in logistics services, and human resources through streamlining processes, regulatory framework, skill development, mainstreaming logistics in higher education and adoption of suitable technologies.
The targets set by National Logistics Policy are:
- To reduce cost of logistics in India to be comparable to global benchmarks by 2030
- Improve the Logistics Performance Index ranking, to be among top 25 countries by 2030 and
- Creating data driven decision support mechanism for an efficient logistics ecosystem.
This policy paves way for reduction in logistics cost in the country. Focus will be on enabling adequate development of warehouses with optimal spatial planning, promotion of standards, digitization and automation across the logistics value chain and better track and trace mechanisms. Further measures to facilitate seamless coordination between different stakeholders and speedy issue resolution, streamlined EXIM processes, human resource development to create an employable pool of skilled manpower, are also laid out in the policy. The policy also clearly lays down an action agenda for immediate on ground implementation of various initiatives.
Fourteen States have already developed their respective State Logistics Policies on the lines of the National Logistics Policy and for 13 States, it is in draft stage. With this policy, it is expected to reduce logistics cost to achieve global benchmarks and improve country’s Logistics Performance Index ranking and its global positioning.