Sustainable multimodal logistics: A vision and green logistics paradigm
This executive summary encapsulates India's logistical landscape, emphasizing the integration of efficiency and sustainability. It delves into key government initiatives like the National Logistics Policy (NLP) and the Production Linked Incentive (PLI) scheme, showcasing a comprehensive approach at both national and sub-national levels. India's rise in the World Bank's Logistics Performance Index (LPI) underscores its commitment to global logistics standards. Central to this transformation is PM GatiShakti, driving multimodal connectivity and green logistics through the Unified Interface Platform (ULIP). The report stresses the imperative shift towards sustainable practices, exploring global models and India's interventions while foreseeing challenges. It outlines the impact of PM GatiShakti and advocates for strategic collaboration to foster a greener logistical future. Ultimately, it serves as a guide for stakeholders, emphasizing the nexus between efficiency and environmental consciousness in India's logistical evolution.
Key Takeaways
- India’s logistics sector contributes 5% to GDP, employs 22 million people, and handles 4 billion tonnes of goods annually, with road transport carrying 66% of freight
- Government initiatives like the National Logistics Policy (NLP), PM GatiShakti, Sagarmala, and Bharatmala are driving efficiency, integration, and reduced logistics costs
- India improved its World Bank Logistics Performance Index ranking to 38th in 2023, reflecting progress in infrastructure, customs, and tracking systems
- PM GatiShakti enables multimodal connectivity through dedicated freight corridors, multimodal cargo terminals, and coordinated infrastructure planning
- Unified Logistics Interface Platform (ULIP) integrates systems across ministries, providing real-time visibility, transparency, and efficiency in logistics operations
- FASTag implementation under ULIP achieved 97% penetration, reducing toll wait times and enhancing highway efficiency
- Green logistics is emphasized as a paradigm shift, focusing on sustainable warehousing, eco-friendly packaging, renewable energy, and low-carbon transport modes
- Green financing is identified as a key enabler, fostering public-private partnerships and supporting environmentally responsible logistics investments
- Global best practices from California, Saudi Arabia, and London highlight successful models for sustainable logistics adoption
- India’s future logistics vision combines efficiency, sustainability, and competitiveness, aligning with global climate goals and positioning the country as a resilient trade hub