Movement across Land borders
see article
Seamless movement within Country
1) National Logistics policy
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Ministry of Commerce is working on a National Logistics policy to reduce bottlenecks, reduce high transaction costs and provide seamless movement of goods within India. It is coordinating with States to resolve logistics hurdles and will rank States on their performances. A logistics portal is being developed to facilitate stakeholders. A common multi-modal logistics park policy will standardise and improve the effectiveness of MMPLs. Warehousing capacity will be enhanced. Rules governing dry ports will be overhauled to improve the efficiency of cargo movements.
2) Multi-modal logistic parks
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35 MMLPs are being built by various agencies (like Railways, Shipping & Commerce), but they are working without coordination and often at cross-purposes. MMLPs are vital cogs for utilizing least-cost or optimal modes of transport, from dispatch to last-mile connectivity. Each park requires approx 50 acres and costs Rs 200-300cr. Standardisation will mean efficient customs handling, effective cargo evacuation and shortening the distance to production centres or warehouses. Warehouse capacity is set to increase. Small pre-GST era warehouses will give way to super-sized warehouses around MMLPs or out-of-city logistic parks (24 under Bharatmala).
3) Work under various Ministries
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Ministry of Commerce has initiated an efficiency drive at dry docks to bring down costs, streamline procedures and speed up the flow of cargo between ships and distribution networks. Dry ports (for temporary storage, inspections, customs clearances) can reduce capacity constraints & improve cargo handling at major seaports. As such major ports are partly funding the construction of 21 new dry ports and overhaul of 300 existing dry ports.
Ministry of Shipping is undertaking Port-rail & Port-road connectivity under Sagarmala project. These projects will make a major impact: eg 1) proposed 362 km Indore- Manmad New Railway Line project is transformational for freight movement btw Mumbai/ Pune and Central & North India. 2) proposed 110km new rail line from Salegaon to Paradip Port in Odisha will evacuate coal. Coastal shipping will deliver coal to W & S coast thermal power plants, and return with items like automobiles.
Ports will be centres of industrial development under Sagarmala project. This will reduce logistics costs and majorly boost exports. Comprehensive development of major ports such as JNPT, Kandla and Paradip ports, will involve 6- or 8- road lane widening, new coastal highways, MMLPs, new airports & rail lines, smart cities and industrial parks.
Industrial Corridor development, such as DMIC project is executed by Centre & States and backed by multi-year master plans. As such, they are creating new infra and integrating Industrial parks, MMLPs and various logistics infra, such as roads, airports, railways, and metros. Transport offshoots to other regions will bring the benefits of improved freight movement and lower costs over a wider expanse.
Ministry of Railways has set an agenda for transformational change. E & W DFCs are extremely impactful for rail freight movements. East coast DFC is likely to be approved and 2 other DFCs are under consideration. JVs with various States for new rail lines will help evacuate bulk commodities. New railway wagons, more private freight terminals, enhanced depot management, timetabled freight routes and discounted freight rates will open up new business opportunities. Significant improvement is expected from infrastructure upgrades to the existing network, including doubling & tripling, modern signalling, electrification and faster throughputs via removal of unmanned level crossings, longer sidings, strengthening of bridges, track straightening & refurbishment, high powered locos & fast trainset, etc.
Ministry for Roads is undertaking an all-encompassing Bharatmala project. Centre will take over State highways (doubling the size of NH network to ~200,000km) and upgrade them to NH standard. It will do 35,000km in phase 1, including NHDP highways (out of 83,500 km in total) and target completion by Dec 2019 (both phases by 2022).
Phase 1 Bharatmala details are as follows:
1) Take over and complete NHDP projects (eg 10,000km under construction and 10,000km approved projects)
2) Greenfield expressways, 9000km economic corridors, 6000km feeder routes, coastal/ port connectivity/ hinterland & international roads.
3) Decongest 5000km choke points including 34 lane-widenings to 6- & 8- lanes, 45 bypasses and 28 ring roads.
UDAN and upgradation of capacity & functioning of major city airports will rapidly improve connectivity by air -- will integrate Tier 2 & 3 cities and provide accessibility to hilly states. Waterways development has started in earnest on Ganga, Brahmaputra and few other rivers. Waterways will establish new freight linkages which are reliable and very low-cost. As such they will spur new trading opportunities. Eg. linking of Ganga and Brahmaputra will increase trade with Bangladesh and between NE India and Eastern UP/ West Bengal. New Oil and Gas pipelines are being laid and networks deepened. Pipelines are being laid under new expressways & feeder roads and connected to ports or production hubs.
see article
Seamless movement within Country
1) National Logistics policy
Ministry of Commerce is working on a National Logistics policy to reduce bottlenecks, reduce high transaction costs and provide seamless movement of goods within India. It is coordinating with States to resolve logistics hurdles and will rank States on their performances. A logistics portal is being developed to facilitate stakeholders. A common multi-modal logistics park policy will standardise and improve the effectiveness of MMPLs. Warehousing capacity will be enhanced. Rules governing dry ports will be overhauled to improve the efficiency of cargo movements.
2) Multi-modal logistic parks
35 MMLPs are being built by various agencies (like Railways, Shipping & Commerce), but they are working without coordination and often at cross-purposes. MMLPs are vital cogs for utilizing least-cost or optimal modes of transport, from dispatch to last-mile connectivity. Each park requires approx 50 acres and costs Rs 200-300cr. Standardisation will mean efficient customs handling, effective cargo evacuation and shortening the distance to production centres or warehouses. Warehouse capacity is set to increase. Small pre-GST era warehouses will give way to super-sized warehouses around MMLPs or out-of-city logistic parks (24 under Bharatmala).
3) Work under various Ministries
Ministry of Commerce has initiated an efficiency drive at dry docks to bring down costs, streamline procedures and speed up the flow of cargo between ships and distribution networks. Dry ports (for temporary storage, inspections, customs clearances) can reduce capacity constraints & improve cargo handling at major seaports. As such major ports are partly funding the construction of 21 new dry ports and overhaul of 300 existing dry ports.
Ministry of Shipping is undertaking Port-rail & Port-road connectivity under Sagarmala project. These projects will make a major impact: eg 1) proposed 362 km Indore- Manmad New Railway Line project is transformational for freight movement btw Mumbai/ Pune and Central & North India. 2) proposed 110km new rail line from Salegaon to Paradip Port in Odisha will evacuate coal. Coastal shipping will deliver coal to W & S coast thermal power plants, and return with items like automobiles.
Ports will be centres of industrial development under Sagarmala project. This will reduce logistics costs and majorly boost exports. Comprehensive development of major ports such as JNPT, Kandla and Paradip ports, will involve 6- or 8- road lane widening, new coastal highways, MMLPs, new airports & rail lines, smart cities and industrial parks.
Industrial Corridor development, such as DMIC project is executed by Centre & States and backed by multi-year master plans. As such, they are creating new infra and integrating Industrial parks, MMLPs and various logistics infra, such as roads, airports, railways, and metros. Transport offshoots to other regions will bring the benefits of improved freight movement and lower costs over a wider expanse.
Ministry of Railways has set an agenda for transformational change. E & W DFCs are extremely impactful for rail freight movements. East coast DFC is likely to be approved and 2 other DFCs are under consideration. JVs with various States for new rail lines will help evacuate bulk commodities. New railway wagons, more private freight terminals, enhanced depot management, timetabled freight routes and discounted freight rates will open up new business opportunities. Significant improvement is expected from infrastructure upgrades to the existing network, including doubling & tripling, modern signalling, electrification and faster throughputs via removal of unmanned level crossings, longer sidings, strengthening of bridges, track straightening & refurbishment, high powered locos & fast trainset, etc.
Ministry for Roads is undertaking an all-encompassing Bharatmala project. Centre will take over State highways (doubling the size of NH network to ~200,000km) and upgrade them to NH standard. It will do 35,000km in phase 1, including NHDP highways (out of 83,500 km in total) and target completion by Dec 2019 (both phases by 2022).
Phase 1 Bharatmala details are as follows:
1) Take over and complete NHDP projects (eg 10,000km under construction and 10,000km approved projects)
2) Greenfield expressways, 9000km economic corridors, 6000km feeder routes, coastal/ port connectivity/ hinterland & international roads.
3) Decongest 5000km choke points including 34 lane-widenings to 6- & 8- lanes, 45 bypasses and 28 ring roads.
UDAN and upgradation of capacity & functioning of major city airports will rapidly improve connectivity by air -- will integrate Tier 2 & 3 cities and provide accessibility to hilly states. Waterways development has started in earnest on Ganga, Brahmaputra and few other rivers. Waterways will establish new freight linkages which are reliable and very low-cost. As such they will spur new trading opportunities. Eg. linking of Ganga and Brahmaputra will increase trade with Bangladesh and between NE India and Eastern UP/ West Bengal. New Oil and Gas pipelines are being laid and networks deepened. Pipelines are being laid under new expressways & feeder roads and connected to ports or production hubs.
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