Business Today

What the Government Has Done

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SETTING TRANSPORT MODAL-MIX RIGHT

The logistics wing under the commerce ministry is set to kick off inter-ministeria­l consultati­ons for finalising the logistics policy. It aims to optimise the modal mix – roads, rail and water – to bring down transport costs. As against the current share of various transport modes – road (60 per cent), rail (31 per cent) and waterways (9 per cent), the government is aiming at global benchmarks of 25-30 per cent (road), 50-55 per cent (railways) and 20-25 per cent (waterways)

WISDOM FROM LOCKDOWN TO TRIGGER CHANGE

One of the key findings of the Covid-19 empowered group on logistics is the need for eliminatin­g the role of multiple authoritie­s to keep tabs on goods vehicles. This will be incorporat­ed in the proposed policy

RELIANCE ON TECHNOLOGY AND DIGITISATI­ON

The government is keen to eliminate paperwork across the supply chain. Integratio­n of data held by various government agencies such as GSTN, Customs, Ports, Freight Operations Informatio­n System of Railways will make movement seamless

DIGITAL OVERSIGHT OF VEHICLES

Extensive use of technology to ensure that only high-risk category vehicles, ascertaine­d through data analytics, are stopped by law enforcemen­t authoritie­s. In case other vehicles are stopped, the system will generate an alert, and accountabi­lity will be fixed

CONTAINERI­SATION OF LOCAL FREIGHT

This will help in better tracing and tracking, reduce freight handling costs and help in use of different modes based on traffic flow data. This will also promote multiaxle trailers, reducing the per tonne cost of freight movement

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