Logistics & Supply Chain - #SectorUpdates
Transport and logistics sector refers to the entire flow management including storage, handling, inventory, packaging, delivery and many other aspects. India is confronting various changes in terms of digital transformation, new market entrants, changing expectations of the consumers, new evolving business model. In financial year 2021, the size of the Indian logistics market was around US$250 billion and is estimated to grow to US$380 billion by 2025. National Investment and Infrastructure Fund (NIIF) moved forward toward integrating its road and highway portfolio. As per Union Ministry, Government is committed to construct 18,000 km of highways in 2022-23 with a target to develop 2 lakh km of National Highway Network by 2025 and is expected to invest 18% of total capital investments to make smoother connectivity. India having one of the biggest employments generating transport and logistics sector, by end of 2022 the sector is projected to employ 28.4 million people that will contribute to the economic growth as well. To support the digitization and contactless services in post COVID era, Government of India has come up with the initiatives like ‘Make in India’, ‘Multi-Modal Logistics Parks’ (MMLPs), National Logistics Policy, Gati Shakti Scheme aiming to strengthen market for future competitions, production efficiently, integrated transport , minimised cost, reduced vehicle pollution and congestions .