The Logistics Division of the Commerce Ministry on Tuesday signed an agreement with industry body CII to address challenges facing the country’s logistics sector and help take measures to bring down costs.
Logistics costs in India, at 13-14% of GDP, are higher than those in developed countries. The Ministry said it aimed to establish a Logistics Working Group with a co-chairperson from the CII Institute of Logistics, a centre of excellence working on logistics and supply chain management. As per the MoU, CII will identify logistics challenges facing industry and suggest action solutions to the Logistics Division, according to a CII statement. It will also interact with state governments and work on promoting the logistics sector, along with capacity building programs. The two sides will cooperate in organising a National Logistics convention each year to bring together stakeholders in the sector, the statement said.
The World Bank Logistics Performance Index ranked India 35 in 2016 as compared to 54 in 2014.
