Ajay Khosla Business Head Emiza Supply Chain Service

In last financial Union Budget, the government reserved `2.4

lakh crore for the transportation industry. Although the industry will not directly benefit, but, the development of road, railways and highways projects would aid logistics and transportation industry by reducing costs, increasing transit expenses and reduced turnaround time. Industry is expecting to increase the further allocations on ongoing infrastructure projects. These projects will surely reduce overall spending and create noticeable reduction in turnaround times of road movements. As per government estimates the ongoing Bharatmala project is the biggest ever highway development project and other freight corridors are going to lower supply chain cost on road transportation by 18 to six per cent in coming years. This year, the union budget can be favourable to some other industrial verticals like cold chain and Container Freight Stations (CFS), it could benefit through expansions of Special Economic Zones under the Sagrmala project. Railway infrastructure will be a part of coming budget benefits and announcements on serious investment in railway infrastructure upgradation of stations and trains. To facilitate overall industrial growth, the industry is expecting to have reforms that would improve the quality of infrastructure and logistics, in terms of broader roads, upgradation of sea-ports and airports and railways networks. These developments are going to give major boost to logistics sectors.