India Inc welcomes National Logistics Policy - A shot-in-the-arm for Indian logistics industry

New Delhi: On his 72nd birthday, Prime Minister Narendra Modi launched the much-awaited National Logistics Policy 2022. The policy emphasises on reduction of logistics cost, promoting seamless movement of goods and improving competitiveness of Indian goods in domestic and global markets.

While launching the NLP, the PM said, "From 13-14 per cent logistics cost, we should all aim to bring it to single-digit as soon as possible, if we have to become globally competitive."

The National Logistics Policy will be reinforced by the PM GatiShakti National Master Plan, which is further expected to provide multi-modal connectivity in various economic zones.

The Indian logistics industry believes that this National Logistics Policy will prove to be a game-changer and a much-needed shot-in-the-arm in the post Covid-19 world.

Kushal Nahata, CEO & Co-founder, FarEye, said, "We welcome the steps the Government is taking to increase supply chain efficiency in the country through the National Logistics Policy. To make India as competitive as China, the US, and Europe, the government must bring down the logistics costs, which currently hovers around 13-14 per cent to nearly 8% in the next five years.

"The NLP will bring in global standards in the logistics sector with its focus on digitisation and technology integration. The Unified Logistics Interface Platform (ULIP) not only promises to bring all the stakeholders on one platform but will also harness the power of data analytics to facilitate the seamless movement of cargo within the country. ULIP will bring in more visibility and transparency to the logistics sector and help companies become more cost-efficient."

Nahata added, "Would also look forward to a push towards opening up cross-border logistics. It will ensure that products made in the country are easily available globally and will be a massive boost for the nation's �Make in India' policy."

"The new logistics policy opens new global avenues for technology companies like ours and we are happy with this welcoming move," said Sudhir Unnikrishnan, SVP & Managing Director, Blume Global India.

He added, "In a country like India where road transport forms the backbone of logistics, an integrated infrastructure will enhance seamless connectivity across all modes of transportation. We also believe this will help in creating a more sustainable environment by providing an open, neutral platform across all trading partners. The combined aim of NLP and Gati Shakti is to bring logistics cost below 10 per cent and we completely agree that digitisation and ULIP will enhance cargo movement with better accessibility of the available data. Undoubtedly, a connected infrastructure will bring in better visibility, cost efficiency, skill development and a better tomorrow."

PM Modi also stressed upon the connection between the launch of the NLP and the release of the cheetahs on the same day. This connection hints at the expectation of getting deliveries done at the speed of a cheetah and the aspiration to grow the logistics sector.

Additionally, the PM said, "To ensure quick last-mile delivery, save time and money and prevent wastage of agro-products, concerted efforts were made and one of the manifestations is NLP."

The introduction of initiatives such as, E-Logs(Ease of Logistics Services), ULIP will not only aid in reducing logistics costs, but also make processes paperless, while providing access to all essential data to key stakeholders.