Government Working On Multi-modal Logistics Solutions To Bring Down Cost Of Transportation

Piyush Goyal, Union Minister for Railways, Commerce & Industry and Consumer Affairs, Food & Public Distribution, Govt of India today said that the government is working to ensure that the entire rail network will be fully electrified by December 2023 and the entire rail network will run on renewable energy by 2030. Addressing the virtual session ‘Investment Opportunities in Andhra Pradesh’, during the Maritime India Summit 2021, organized by the Ministry of Ports, Shipping and Waterways, jointly with FICCI, Goyal said that India has had a glorious maritime history and are on the path to build an even greater maritime future.

In the last 6 years, the capacity of India’s major ports has almost doubled. Goyal further said that we need to reduce our logistics cost so that the international and domestic freight costs will reduce from 13-14% cost of goods to a more acceptable international benchmark of 8%.

Need of the hour is to reduce logistics cost
Commerce and Industry Minister Piyush Goyal on Wednesday said the need of the hour is to reduce logistics cost in the country as India cannot be competitive if this cost remains high.

He also said the investments in the Sagarmala project will boost the country’s maritime infrastructure, expand freight corridors, make freight more cost-effective and bring down the current logistics cost, which is estimated to be about 13-14 per cent.

The investments would help in reducing this cost to a more acceptable benchmark of 8 per cent, and that is “the need of the hour today and India cannot be competitive as long as our logistics cost remain so high”, he said at the Maritime India Summit.

The Sagarmala project aims at augmenting infrastructure in coastal areas of the country

Source:BS