Policy for logistics hubs to reduce costs
At the ‘Make in India’ week, Minister of Road Transport & Highways Nitin Gadkari unveiled grand plan for creating logistics hubs using 350 ring roads, development of 2,000 ports and introduction of e-tolling.
Nitin Gadkari, Minister of Road Transport & Highways, GoI announced policies for developing logistics hubs using 350 ring roads, development of 2,000 ports along 14,000 km of coast and introduction of e-tolling across 360 toll plazas on the national highways to avoid manual toll payment.
“On the logistic hub, the objective was to reduce logistics cost (currently 18 per cent of the total). It was eight per cent in China and eight to 10 per cent in European countries. The proposed logistic hubs will house godowns, storages, pre-cooling centres, cold storages and residential units. They will be spread over 2,000 to 3,000 acres along the 350 ring roads,” Gadkari said.
Gadkari said the ministry had firmed up a plan for development of 2,000 ports in five years. “The tenders will be issued by the end of 2016 for the Wadhavan (Maharashtra), Colachel (Tamil Nadu) and Sagar (West Bengal) ports. The ministry will spend
18,000 crore on the expansion of 12 ports. Funds won’t be a problem. Government undertakings Shipping Corporation of India, Dredging Corporation and Cochin Shipyards together posted yearly profit of
6,000 crore and will contribute.
21 decisions have been taken to expedite the development of roads and highways. Seven projects
worth 20,000 crore are the stressed ones
The rest would be raised from banks, financial institutions and through multiple instruments,” he adds.