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Third Anniversary of the National Logistics Strategy (NLS)

The Department for Promotion of Industry and Internal Trade (DPIIT) celebrates the third anniversary of the National Logistics Policy (NLP), which was introduced in 2022

Deeksha Upadhyay 17 September 2025 17:14

Third Anniversary of the National Logistics Strategy (NLS)

Its main aims are:

  • to lower logistics expenses to international standards and to make it less than 10% of GDP,
  • enhance India’s position in the Logistics Performance Index (LPI) to reach the top 25 by 2030,
  • to create a strong, data-informed decision support framework to guarantee an effective and cohesive logistics environment.

Significant Accomplishments of India’s Logistics Industry

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The Unified Logistics Interface Platform (ULIP) has enabled secure Application Programming Interface (API) integration among over 30 digital systems.

In the 2023 Logistics Performance Index (LPI), India achieved 38th position among 139 countries, marking a significant advancement of six spots from its previous ranking in 2018.

The Inland Waterways Authority of India (IWAI) documented a cargo transportation of 145.5 million tonnes during the year 2024–25.

The total of functioning national waterways has risen from 24 to 29 in that timeframe.

Summary of the Logistics Environment in India

India's logistics industry was assessed at USD 215 billion in 2021. It is primed for significant growth, with a projected compound annual growth rate (CAGR) of 10.7% through 2026.

In 2017, an independent logistics division was established within the Department of Commerce to manage the Integrated Development of the Logistics Sector.

The Logistics Sector aids manufacturing, retail, e-commerce, and services by overseeing inventory, transportation, storage, warehousing, and distribution, connecting producers to consumers, both locally and globally.

Main Benefits of Effective Logistics Infrastructure

Supply chain effectiveness: Logistics guarantees a seamless and effective supply chain, minimizing holdups and shortening lead times.

Connectivity and Accessibility: Logistics networks improve connectivity and accessibility, connecting different areas and markets.

Cost savings and competitiveness: Effective logistics activities enhance cost savings in transportation, warehousing, and distribution.

Employment generation: The logistics industry is a major provider of jobs, offering positions in transportation, warehousing, distribution, and associated services.

Its primary objectives are:

  • to reduce logistics costs to meet international benchmarks and ensure they remain below 10% of GDP,
  • improve India’s ranking in the Logistics Performance Index (LPI) to attain the top 25 by 2030,
  • to develop a robust, data-driven decision support system to ensure an efficient and unified logistics setting.
  • Notable Achievements of India’s Logistics Sector

The Unified Logistics Interface Platform (ULIP) has facilitated secure Application Programming Interface (API) connectivity among more than 30 digital systems.

In the 2023 Logistics Performance Index (LPI), India secured the 38th rank out of 139 nations, representing a notable improvement of six positions from its earlier ranking in 2018.

The Inland Waterways Authority of India (IWAI) recorded a cargo movement of 145.5 million tonnes in the year 2024–25.

The number of operational national waterways has increased from 24 to 29 during that period.

Overview of the Logistics Landscape in India

India's logistics sector was valued at USD 215 billion in 2021. It is set for substantial growth, with an anticipated compound annual growth rate (CAGR) of 10.7% until 2026.

In 2017, a separate logistics division was created within the Department of Commerce to oversee the Integrated Development of the Logistics Sector.

The Logistics Sector supports manufacturing, retail, e-commerce, and services by managing inventory, transportation, storage, warehousing, and distribution, linking producers to consumers, both domestically and internationally.

Key Advantages of Efficient Logistics Infrastructure

Supply chain efficiency: Logistics ensures a smooth and efficient supply chain, reducing delays and decreasing lead times.

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Connectivity and Accessibility: Logistic networks enhance connectivity and accessibility, linking various regions and markets.

Cost reductions and market edge: Efficient logistics operations improve cost savings in shipping, storage, and delivery.

Job creation: The logistics sector is a significant source of employment, providing roles in transportation, warehousing, distribution, and related services.

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