A new National Logistics Policy in India is attracting the attention of logistics providers and their partners. Here’s how shippers can make the most of this critical landscape.
As the United States and China work their way through ongoing trade disputes, India has seized the moment to invest in its own shipping and logistics infrastructure. According to the World Bank, the Indian government has made moves to improve customs and trade facilitation, update transportation infrastructures such as rail links and coastal logistics assets, and launch a national Department of Logistics to facilitate growth among key stakeholders.
In fact, India’s commerce ministry recently proposed a National Logistics Policy that would include a central portal with end-to-end logistics solutions for interested companies. While the proposed plan has been sent to the Cabinet for consideration and is still pending approval, it demonstrates the rapidly growing potential of the Indian market — not to mention the government’s interest in streamlining the trade process for logistics providers and shippers alike.
For shippers around the world and across a wide range of industries, this means that there’s never been a better time to get involved in the Indian market. And with logistics providers investing in the tools necessary to make the experience a seamless one, shippers can count on their industry partners to support their supply chain, meet their clients’ needs, and deliver valuable results.
India’s Potential New National Logistics Policy
Key decision-makers across the Indian government and throughout the business community recognize the importance of making the most of the country’s budding shipping and logistics landscape. Accordingly, the National Logistics Policy would try to connect and leverage assets through a central portal with end-to-end logistics solutions. The proposed plan would also include increases in warehousing capacity and may lead to the creation of a special department for trade facilitation.
Currently, logistics in India costs about 14% of the country’s GDP, but the government aims to get that figure below 10% in the next several years. In addition to its central logistics portal, the National Logistics Policy aims to reduce the cost of logistics by cutting travel times, investing in transportation infrastructure, and streamlining points of entry for trade.
Logistics Stakeholders Moving In
As the country’s shipping market heats up, logistics stakeholders are beginning to see the potential that India offers. Top-tier third-party logistics partners (3PLs) and integrated logistics service providers (ISPs) are making the necessary investments to take advantage of the government’s recent commitments to trade networks, as well as India’s strategic location in Asia.
Accordingly, shippers across a range of industries will have the opportunity to leverage 3PL and ISP services that are specially geared toward the Indian market. From international e-commerce management to ocean and air freight services, the right logistics partners will have the resources and infrastructure businesses need to deliver high-quality support to global clients — particularly in India.
How Shippers Can Take Advantage of the Market
Investment by the Indian government and commercial stakeholders underscore just how much potential the country’s logistics market has going forward. Both because of ongoing trade disputes around the world and because of the subcontinent’s unique position at the crossroads of Asia, Africa, and Oceania, India will have a critical role to play in the global freight market going forward.
To make the most of the country’s rising status as a logistics powerhouse, shippers should be looking to work with industry partners — such as integrated logistics service providers — with a firm handle on the Indian market. By doing so, they’ll be better positioned to navigate a promising shipping landscape and take advantage of everything the country’s infrastructure, industry, and consumer demand have to offer their business.
With two-plus decades of experience in the shipping and logistics sector, Primary Freight is the ideal partner for shippers with their eyes on India. Our logistics relationships span international markets and our award-winning team has the know-how your business needs to act confidently on the world stage. Whether you’re looking for targeted support or a comprehensive third-party logistics solution, Primary Freight can help.
If you’d like to learn more about how Primary Freight’s award-winning shipping services, contact us today at (800)-635-0013.