The National Logistics Policy (NLP) is a long term vision document that aims to improve India’s logistics industry and make it more competitive. The goal of the NLP is to lower the cost of logistics from its current 14% of GDP to less than 10% by 2022 despite the highly fragmented nature of India’s logistics industry. The NLP was announced on September 17, 2022, by the Prime Minister Narendra Modi and Formulated by Ministry of Commerce and Industry.
India has been imposing restrictions on imports, which has resulted in the loss of $40 billion by the country. The new policy aims to bring back the lost orders and increase the country’s exports by 40%.
The new India’s National Logistics Policy 2022 was approved by Prime Minister Narendra Modi’s Cabinet on July 19. The draft policy was prepared after consultations with various stakeholders including private sector companies, trade associations, logistics associations and experts from academia.
The policy also aims at making India a global hub for e-commerce and e-commerce logistics. It will focus on developing a robust logistics ecosystem across the country that includes modernisation of ports, railways and roads to facilitate movement of goods from production units to consumers.
The policy will provide grants to states for development of their port infrastructure so that they can provide better facilities for cargo movement.
It will also develop an integrated database with information about warehouses, distribution centers and transporters across the country so that traders know where their consignments are located at any given point in time.
The India National Logistics Policy 2022 is a comprehensive policy to develop a technologically enabled, integrated, cost-efficient, resilient, sustainable and trusted logistics ecosystem in the country for accelerated and inclusive growth.
The National Logistics Policy to be implemented from 2022 onwards will have a requirement for the integration of digital system to be implemented in all logistics sectors. The IDS will be developed by the Ministry of Road Transport and Highways (MoRTH) and Department of Commerce (DoC). It is expected that this will improve efficiency by providing better data analytics and decision-making tools for logistics companies.
The ULIP is an online platform that allows access to multiple e-commerce platforms through one login, which makes it easier for customers to buy products on various e-commerce websites like Amazon, Flipkart, etc., directly from their homes or offices. It also helps small businesses in connecting with global markets through one platform.
This feature aims to reduce the time taken by consumers and logistics companies in completing transactions as well as make it easier for consumers to track their orders online. It will also help in reducing time taken for delivery by ensuring faster movement of goods from one place to another in order to meet consumer demand at best rates possible within stipulated timelines set by government authorities concerned
The goal of the NLP is to make Indian goods more competitive while also promoting economic growth and expanding job possibilities. The policy establishes a broad, multi-jurisdictional, cross-sectoral framework for the growth of the entire logistics ecosystem in an effort to address concerns of high cost and inefficiency.
The policy aims to make Indian goods more competitive while also promoting economic growth and expanding job possibilities.
The objective of this policy is to create a level playing field for all participants in the logistics value chain across sectors such as: transportation, warehousing & distribution and information technology.
