India’s Logistics Costs to Drop Below 10% by December: Gadkari

Quick Summary

• Union Minister of Road Transport & Highways Nitin Gadkari expressed confidence that India’s logistics cost would drop to less than 10% by December 2025, improving economic competitiveness vis-à-vis china (8%) and the U.S. (12%).
• measures to reduce logistics costs include transitioning from fossil fuels to electric mobility and biofuels, developing highways and seaports, with water transportation recognized as most economical.
• Speaking at a program in Mangalagiri, Andhra Pradesh, Mr. Gadkari highlighted the importance of robust infrastructure – roads, ports, power supply – for national advancement citing examples like the U.S.
• Foundation was laid virtually for 27 road projects and inaugurations made for two others worth ₹5,235 crore in Andhra Pradesh. Expansion plans include greenfield highways connecting Hyderabad-Vijayawada and upgrades on various existing routes across Andhra Pradesh’s coastlines and regions.
• Experimentation with choice fuels such as ethanol blends or hydrogen alongside conventional options is underway; possible future applications include ethanol-powered airplanes.
• A safety audit revealed concerns about high road accident numbers in Andhra Pradesh; local government officials urged by Mr. Gadkari to reduce them thru district-level planning.

Indian Opinion Analysis
India’s push toward reducing logistics costs aligns with its broader vision of enhancing economic efficiency to remain competitive globally against manufacturing hubs like China or established economies such as the U.S. By focusing on infrastructure-roads, multimodal port connectivity-and embracing enduring fuel alternatives such as biofuels or electrification across transportation sectors, this initiative aims not only at cost reduction but also environmental responsibility.

The emphasis on modernizing highway networks within Andhra Pradesh highlights regional benefits like improved trade efficiency via multi-modal hubs along its expansive coastline while fostering internal connectivity between major cities like Vijayawada-Hyderabad through new routes and lane expansions.

Addressing safety concerns linked to road design via audits serves dual purposes: protecting lives while maintaining uninterrupted economic activity crucial amid rising logistical targets nationwide-a noteworthy yet challenging task requiring effective collaboration between state authorities under central guidance.

Read more: The Hindu