The Union Minister of State for Shipping (Independent Charge) and Chemicals & Fertilizers, Mansukh Mandaviya, announced that the National Logistics Policy will soon be out in the next few days, as it was still being worked upon by a committee under the purview of the Ministry of Commerce, in an interview with ZeeBiz.
Although the minister said that he could not provide any specific timeline about the release of the policy, it is anticipated that the announcement can come any moment in the coming days.
He also underlined the paramount importance of having a logistics policy in the country. He said that he had expressed his interest in incorporating shipping, shipping line and transport into logistics, which will be possible if the Commerce Ministry feels the same.
He pointed out that apart from drafting the National Logistics Policy, the Commerce Ministry was also engaged in doing several works in that regard.
“Everyone together is willing to bring a logistic policy because the logistic cost is 12% and 14% in the country at present while the world’s logistic cost average stands at 9%, which means we are 5% costlier than the world”, Mandaviya said while highlighting the need for a logistics policy.
He stressed on how crucial it was to bring down the logistics cost of the nation, as there is always a deficit of 5% when it comes to India, in comparison to the rest of the world; and this would directly impact the profits earned as well, which will have a difference of 5% with the rest of the world, he urged.
“My ministry is contributing to it[reducing logistics cost] by boosting up the coastal shipping to reduce the logistic cost. At the same time, we are also boosting the inland waterways and multi-modal transportation. Many such things are being collected together to be a part of logistics policy. It will help in reducing the logistics cost in the country and we are heading in that direction.”~Mansukh Mandaviya,MoS for Shipping (I/c) and Chemicals & Fertilizers
The minister also shared how the 30-35% drop in container volume as a result of the imposed lockdown due to the coronavirus crisis was being covered in the past few weeks.
He also added the Commerce Ministry was responsible for the Home Ministry’s decision to add Ports into the list of essential activities, just a day after the lockdown was announced, so as to facilitate uninterrupted operations.