The huge yet fragmented national logistics business is addressed by the much-anticipated regulatory framework, which was announced on September 17. The new structure strongly emphasizes reducing overall logistical expenses and streamlining processes for seamless cooperation, as well as fostering employee skill development and job creation. India Inc., particularly the logistics industry, has praised the governments recently unveiled New Logistics Policy (NLP).
An important statement made by Prime Minister Narendra Modi at the policy’s introduction was, “From 13 to 14% logistics cost, we should all seek to lower it to single-digit as soon as feasible. If we want to become more competitive on a global scale, this is low-hanging fruit. The PM added that the National Master Plan for PM Gatishakti will aid National Logistics Policy. The government added that the Unified Logistics Interface Platform, or ULIP, will consolidate all digital services relating to the transportation industry into a single interface, relieving exporters of a variety of extremely drawn-out and onerous procedures. A new digital platform called Ease of Logistics Services-e-logs has also been launched as part of the major policy ambition. Industry organizations can address any issues that are hindering their operations and performance immediately through this platform. Launching the NLP is a significant step for the industry.
The strategy will contribute to lowering the expenses associated with inventory, warehousing, and transportation, which will ultimately lower the cost of logistics as a whole to 8% of GDP over the next five years. A key factor in uniting the logistics industry will be the digitalization of the industry and the development of uniform portals. “The integrated digital system will further accelerate and streamline the industry while providing safer logistics and cheaper prices across the nation. The NLP will prove to be a driving force for the sector’s development and will assist India in setting norms for becoming paperless globally. As expenses are reduced and important players such as government organizations, partners, business councils, and others are connected via technology, it will enable SMEs and MSMEs to pivot even more in the direction of faster growth. According to Deepak Shrivastava, Managing Director of UPS Indian Subcontinent, NLP has the potential to boost local products’ competitiveness in the global market, which will encourage companies to expand their Indian exports and provide new job opportunities.
