India has improved in the logistics ranking of the World Bank by jumping 6 places to Rank 38 out of 139 countries in the 7th edition of Logistics Performance Index (LPI 2023). As per the rankings, on four out of six LPI indicators, India saw remarkable improvement on the back of various initiatives being implemented over the past few years.


Multiple initiatives have been undertaken focused on reforms for improving logistics infrastructure. In October 2021, the Government of India launched the PM GatiShakti National Master Plan (PMGS-NMP) towards a coordinated approach, leveraging technology, for infrastructure planning and development.


In September 2022, the Prime Minister launched the National Logistics Policy (NLP) which acts as a guiding document for States / UTs seeking to formulate logistics policy (19 States / UTs have notified their logistics policy). The policy is centred around upgradation and digitisation of logistics infrastructure & services.


The Government of India also invested in trade-related soft and hard infrastructure connecting port gateways on both coasts to the economic zones in hinterland. Technology has been a critical component of this effort, with implementation under a public-private partnership of a supply chain visibility platform, which has contributed to remarkable reductions of delays.


Also, the Logistics Data Bank project promotes healthy competition amongst the ports as it provides information on performance benchmarking, congestion, dwell time, speed, and transit time analysis. Over a period, it has also become a repository of data & information relating to the logistics industry and the same is shared with the stakeholders through monthly, quarterly, and annual reports as a source of data for decision making and improving logistics efficiency. The LPI report has appreciated the Logistics Data Bank which reduces inefficiencies while connecting hinterland to ports.


At a sub-National level, the Department for Promotion of Industry and Internal Trade (DPIIT) has been conducting LEADS (Logistics Ease Across Different States) study since 2018 which helps to identify and resolve logistics inefficiencies and improve trade facilitation across supply chains. On a national level, India has notified the Productivity Linked Incentive (PLI) Scheme to boost the creation of global champions in manufacturing, PM Mitra Textile Parks, Bulk Drug Parks, other areas of manufacturing and 43 Towns of Export Excellence focusing on specific sectors for exports and provision of related infrastructure.


The LPI index is a perception-based survey conducted across select stakeholders dealing with respective countries.

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