Prime Minister Narendra Modi has launched the National Logistics Policy (NLP) that aims to bring down the high logistics costs in the country.
Important Points about National Logistics Policy (NLP)
1. According to the Prime Minister’s Office (PMO), the need for a national policy was felt since the logistics cost in India is high compared to other developed economies.
2. The policy reduces the logistics cost in the country for improving the competitiveness of Indian goods both in domestic as well as export markets. Reduced logistics cost improves efficiency cutting across various sectors of the economy, encouraging value addition and enterprise, the PMO said in a statement.
3. The policy endeavors to improve the competitiveness of Indian goods, enhancing economic growth and increasing employment opportunities.
4. According to the PMO, PM GatiShakti – the national master plan for multi-modal connectivity – will get further boost and complementarity with the launch of NLP.
5. India spends around 13 to 14 percent of the GDP on logistics costs, reported news agency ANI. The logistics sector has more than 20 government agencies, 40 partner government agencies (PGA), 37 export promotion councils, 500 certifications, over 10,000 commodities, and a $160-billion market. According to the World Bank Logistics Index of 2018, India is ranked 44th in logistics costs.