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Cut logistics cost to 9% of GDP, Goyal tells States

On the move: The meeting mulled the inclusion of a central scheme for a cold chain across India, in the draft logistics policy. V. Sudershan

On the move: The meeting mulled the inclusion of a central scheme for a cold chain across India, in the draft logistics policy. V. Sudershan  

‘Ministries of railways, transport, shipping and aviation must work in tandem to reach goal’

Commerce and Railways Minister Piyush Goyal on Thursday asked the various transport Ministries to find ways to reduce logistics costs in the country to 9% of GDP by 2022 from the current 14%.

Mr. Goyal held the meeting with officials from the Ministries of Railways, Road Transport and Highways, Shipping, and Civil Aviation to review the draft National Logistics Policy and the proposed implementation plan of the Policy.

“Piyush Goyal directed that all four Ministries must work in coordination with each other so that the 14% logistics cost of India’s GDP may be brought down to 9%,” the Ministry of Commerce said in a release following the meeting.

One key aspect discussed in the meeting was the need to reduce the time taken for the transport of farm produce such as foodgrains, fruits and vegetables from the farm to the market, according to an official in the Ministry of Commerce, who also attended the meeting. “There was also some talk about including a central scheme for a cold chain across the country to be included in the draft logistics policy,” the official told The Hindu.

Reducing loss of produce

“The focus of the Minister in this regard was to reduce the loss of agricultural produce of the farmers.”

“Commerce and Industry Minister also directed that whenever any new road, railway, airport and shipping port project is being considered, the Logistics Department must be a part of the consultation process so that holistic planning will be possible, freight movement will be rationalised and passenger experience will improve,” the release added.

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Printable version | Jul 16, 2020 10:37:01 AM | https://www.thehindu.com/business/cut-logistics-cost-to-9-of-gdp-goyal-tells-states/article28191323.ece

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