National Logistics Policy: Now Sending Goods Will Be Cheaper
In order to reduce the rising cost of goods transportation in India, the central government has come up with a new National Logistics Policy. The objective of this new policy is to reduce the cost of freight while promoting the seamless movement of products. Along with this, new employment opportunities have to be created in the country and the freight charges will be reduced, which will have a direct effect on the prices of goods and the prices will be able to come down. The logistics cost in the country is currently 16 percent of the GDP.
Whereas in China it is 10 percent, in America and in Europe it is eight percent. The Ministry of Civil Aviation and the Ministry of Urban Development have a role in this dream project of PM Narendra Modi along with the Ministry of National Highways. For this, after waterways, railways, and roads, the Modi government is now working towards making air routes as well.
The central government is developing air services and airports in many cities of the country in the next five years. While the exercise is now underway to reduce the cost of air cargo for freight. Recently, PM Modi said that this new policy has been brought to match China, America, and European countries by reducing the logistics cost in the country.
The government is strengthening the logistics sector with the use of technology, especially the use of drones, as well as the electronic mode of customs and e-way bills will be assessed. India currently ranks 44th in the world in logistics costs. PM Modi has said that India has to become competitive with developed countries. Therefore, making your products world-class will have to capture the world market. This will help after the new policy comes into the country.