India's logistics cost to reduce to 9% of GDP in 2 years: Minister

19 Oct '24

1 min read

India's logistics cost to reduce to 9% of GDP in 2 years: Minister

Pic: Adobe Stock

Insights

India's logistics cost will drop to 9 per cent of GDP within two years, according to road transport and highways minister Nitin Gadkari, who recently told an event that his ministry has been constructing several highways and expressways to help achieve this.
Gadkari said logistics cost in India now is 14 per cent of GDP, while it is around 12 per cent in major European countries and the US.

India's logistics cost will be reduced to 9 per cent of gross domestic product (GDP) within two years, according to road transport and highways minister Nitin Gadkari, who recently told an event organised by NITI Aayog that his ministry has been constructing several highways and expressways to help achieve this.

Gadkari said logistics cost in India now is 14 per cent of GDP, while it is around 12 per cent in major European countries and the United States, and around 8 per cent in China, domestic media outlets reported.

For fiscal 2021-22, logistics cost in India ranged between 7.8 per cent and 8.9 per cent of GDP, according to quick estimates by the National Council of Applied Economic Research (NCAER), while the Economic Survey 2022-23 highlighted that it was 14-18 per cent of the GDP—significantly higher than the global standard of around 8 per cent.

Low-quality coal is useful for making methanol and said that there is huge potential for India to export alternative fuels and biofuels, the minister added.

Fibre2Fashion News Desk (DS)

More Textiles News - India...