On September 17, 2022, the Union Cabinet approved the National Logistics Policy aimed at lowering transportation costs and improving the sector's global performance. When presenting the strategy, Prime Minister Narendra Modi stated that “from 13–14% of GDP, we should all endeavor to reduce logistics costs to single digits as soon as possible.” The plan aims to lower logistics costs in India in order for the country to match international standards by 2030. According to an official statement, it also intends to improve India's standing in the Logistics Performance Index, which was 44th globally in 2018, and to establish data-driven decision support systems for a productive logistics ecosystem.
Source:- https://www.opindia.com/2022/09/pm-modi-launches-national-logistics-policy-to-promote-seamless-movement-of-goods/
Infrastructure, services (digital technologies, processes, regulatory frameworks), and people all influence the efficient operation of logistics. A multimodal connectivity infrastructure "National Master Plan" (NMP) for PM GatiShakti's economic zones has been launched. In order to assure first and last mile connectivity and smooth movement of people and commodities, it integrates existing and proposed infrastructure development initiatives from many agencies. This is a revolutionary method for increasing logistics efficiency and reducing logistics costs. While the PM GatiShakti National Master Plan is intended to address the development of integrated infrastructure and network planning, the National Logistics Policy is the obvious next step for efficiency in services (processes, digital systems, regulatory framework, and human resources). This will offer a thorough schedule for developing the complete logistics system.
Source:- https://www.india-briefing.com/news/indias-national-logistics-policy-key-targets-and-implementation-plan-26020.html/
A comprehensive logistics action plan (CLAP) will be used to carry out the policy. Eight major action areas make up the suggested interventions under the CLAP:
(i) Integrated Digital Logistics Systems: Create a system with a uniform interface for logistics to connect various data sources and create cross-sector use cases for logistics stakeholders.
(ii) Standardization of physical assets and benchmarking service quality standards: By standardizing physical assets and benchmarking service quality standards in logistics, you may increase interoperability, reduce handling risks, optimize processes, and make it easier for people to do business.
(iii) Logistics Human Resource Development and Capacity Building: Create an overarching logistics human resource strategy, and line ministries must create action plans in accordance with its guiding principles to address issues with skill development and internal capacity building in the relevant sector.
(iv) State Engagement: Assist in the creation of state- and city-level logistics strategies; provide institutional frameworks for state- and city-level action; measure, monitor, and rank state actions.
(v) EXIM (Export-Import) Logistics: Close infrastructure and procedural gaps in India's EXIM connectivity and build an effective and reliable logistics network with transparent and streamlined cross-border trade facilitation for improved trade competitiveness and greater India integration with regional and global value chains.
(vi) The framework for service improvement entails enhancing the regulatory interface to facilitate seamlessness between sectors, promote standardization, formalization, and interoperability, remove fragmentation in documentation, formats, processes, and liability regimes, and close gaps in the regulatory architecture.
(vii) Sectoral Plan for Efficient Logistics (SPEL): Underlying principles of interoperability, resiliency, sustainability, and innovation will be incorporated into the development of each sector's SPEL, which will be integrated with PM GatiShakti. SPEL would specifically address logistics issues relating to infrastructure, processes, digital advancements, policies, and regulatory reforms, as well as capacity building for better workforce, and prioritize cross-sectoral cooperation to complement and not duplicate efforts and focus on modal mix optimization.
(viii) Facilitating the Development of Logistics Parks: Logistics parks are hubs for intermediary activities (storage, handling, value addition, inter-modal transfers, etc.) in the supply chain connected by a transportation network. Examples include multimodal logistics parks, air freight stations, inland container depots, container freight stations, and freight terminals.
The following initiatives are planned to support the development of the logistics park.
• Draft recommendations to support the development of domestic logistics parks, with a focus on promoting private investment.
• For improved visibility, increased logistics efficiency, optimum utilization, and connectivity, network logistics parks can be mapped on the PM GatiShakti NMP.
Source:- https://yourstory.com/2022/11/national-logistics-policy-railways-customs-road-transport-commerce
The creation of a reliable and economical logistics environment has been given top priority by the Indian government. To realize this objective, the logistics section of the DPIIT, Ministry of Commerce & Industry, conducts an annual study called “Logistics Ease Across Different States (LEADS)” in all the States and UT's to evaluate and recommend various changes to the nation's logistics industry. In order to understand the “enablers” and “impediments” to the logistics ecosystem in the nation, the LEADS survey analyses the perspectives of various users and stakeholders across the value chain (shippers, terminal infrastructure service providers, logistics Service providers, transporters, and government agencies). An important component of the framework is anecdotal data (gathered from industry interactions), which will be used as a guide to comprehend the major problems and difficulties the sector is now facing.
Unified Logistics Interface Platform (ULIP) has been recognized as a potential idea that has been conceptualized to create an integrated platform for achieving an "Atmanirbhar Bharat" in the logistics sector a platform that the stakeholders may use efficiently to increase efficiency, use technology, and lower India's logistics costs. ULIP was chosen as one of the seven initiatives under the Hon. Prime Minister's vision. The "Technology Commons" programme, which uses technology to advance a number of clearly defined priorities by creating top-notch products and services that take into account important user and stakeholder requirements. Utilizing the Logistics Data Bank Project of NICDC, ULIP was created. It is consistent with PM's overarching goal.
Source:- Source:- https://www.facebook.com/NICDC01/posts/buildingnewindiathe-unified-logistics-interface-platform-ulip-is-a-digital-initi/3075540752725597/
GatiShakti, a movement that seeks to separate silos, encourage integration across different Ministries/Departments and build a solitary window, bringing transparency and effectiveness in the logistics sector and thus making India cost competitive. This platform will be used by various government and private entities, service providers, shippers, consignees, and others to enable confidential information sharing across all stakeholders in real/near real time. ULIP will deal with the difficulties of manual tasks and delayed processes in the Indian logistics industry and will play a pivotal moment for Indian logistics landscape.
Infrastructure, services (digital systems/processes/regulatory framework), and human resources all have a role in how efficiently logistics are run. PM GatiShakti, a revolutionary strategy for increasing logistics effectiveness and lowering logistical costs, has been introduced for the nation's integrated infrastructure development. The National Logistics Policy 2022 (NLP) suggests creating a Services Improvement Framework for a comprehensive approach to logistics efficiency that will:
· Improve regulatory interface to allow seamless handshaking between logistics sectors
· Promote standardisation, formalisation, and inter-operability
· Streamline fragmentation in documentation, formats, and processes
· Reduce gaps in any existing regulatory architecture
The program aims to reduce logistics costs from 15% of India's GDP to 8% in five years. India needs to reduce logistics costs to facilitate exports and increase the availability of domestic products. Reduced logistics costs increase efficiency in a variety of industries, promoting wealth generation and entrepreneurship. The government aspires to rank among the top 25 nations in the Logistics Performance Index (LPI) by 2030. The platform for Unified Logistics Interface will be part of the NLP. Optimize exporters' time and resources by consolidating online transportation-related services into a single platform.
Logistics services will make it simple for businesses to voice their concerns and complaints to government organizations right away. Indian logistics is unorganized but vast. In addition to organizing the mega market, the strategy seeks to encourage the deployment of blockchain and AI in the nation. Every Indian state requires a Logistics Coordination Committee. The LEADS index will be used to assess each state's performance on an annual basis. State-based systems can be developed using a template provided by the federal government to increase logistical efficiency.
Article by:- Natasha
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