The PM Gati Shakti National Master Plan recently celebrated its third anniversary, highlighting its remarkable progress in enhancing India's infrastructure and streamlining the logistics sector. This initiative has played a crucial role in integrating multimodal connectivity across various ministries and states, ensuring a more efficient and synchronized approach to infrastructure development.
Progress of PM Gati Shakti National Master Plan
Integrated Connectivity
Launched in 2021, the PM Gati Shakti initiative is a digital platform designed to integrate multiple ministries, including Railways and Roadways, for coordinated planning and execution of infrastructure projects. The initiative enhances connectivity for people, goods, and services across different transportation modes, significantly reducing travel time and improving last-mile connectivity.
Key Integrated Schemes
- Bharatmala: A national highway development initiative.
- Sagarmala: Focused on port infrastructure and coastal development.
- Inland Waterways: Enhancing goods movement via rivers.
- UDAN: A regional air connectivity program.
Collaboration Between Central Ministries and States
The PM Gati Shakti National Master Plan has brought together 44 central ministries and 36 states and union territories (UTs). To ensure precision and effective coordination, Standard Operating Procedures (SOPs) have been established for eight core infrastructure ministries and 15 social sector ministries, with further expansion underway.
Notable Achievements- Road Transport: The Ministry of Road Transport and Highways (MoRTH) utilized the Gati Shakti platform to plan over 8,891 km of roads.
- Railways: More than 27,000 km of railway lines were planned under the National Master Plan, with 449 Final Location Surveys (FLS) completed in FY 2022—significantly higher than the 57 completed in FY 2021.
- Railway Corridors: 434 railway projects across three economic corridors—Energy, Mineral & Cement Corridors, High Traffic Density Corridors, and Rail Sagar—have been assessed and submitted to the PMO.
- Petroleum & Gas: The Ministry of Petroleum and Natural Gas introduced an electronic Detail Route Survey (DRS) system, reducing report generation time from six to nine months to just one day.
- Renewable Energy: A 13 GW green energy project now connects Leh (Ladakh) to Kaithal (Haryana) via a ‘Green Energy Corridor,’ enhancing interstate renewable energy transmission.
- Disaster Management: Goa leveraged the Gati Shakti platform to develop a disaster response plan for flood-prone regions along the Amona River.
- Education: The Department of School Education and Literacy used the National Master Plan portal to link PM Shri Schools with industries for district-based skill training. Uttar Pradesh employed the State Master Plan (SMP) portal to identify underserved areas for new schools.
- Healthcare: The Ministry of Health and Family Welfare mapped internet shadow zones and pinpointed locations for new healthcare centers using the platform.
- Skill Development: The Ministry of Skill Development and Entrepreneurship identified strategic locations for new training institutes near economic clusters.
- Rural Development: The Ministry of Rural Development integrated the Pradhan Mantri Gram Sadak Yojana (PMGSY) and Pradhan Mantri Awaas Yojana-Gramin (PMAY-G) for better infrastructure planning.
- Tribal Affairs: The PM JanMan portal helped the Ministry of Tribal Affairs assess infrastructure gaps affecting Particularly Vulnerable Tribal Groups (PVTG).
- District Master Plan (DMP) Portal: This initiative is being extended to the district level for improved infrastructure planning, with a beta version already launched in 28 aspirational districts.
Other Key Initiatives to Strengthen the Logistics Sector
National Logistics Policy (NLP) 2022
Launched in September 2022, the NLP aims to overhaul India's logistics sector by reducing costs, upgrading infrastructure, and enhancing India's global logistics competitiveness.
Digital and Infrastructure-Based Advancements- Unified Logistics Interface Platform (ULIP): A centralized digital platform integrating 33 logistics-related systems across 10 ministries, facilitating seamless cargo tracking and improved coordination.
- Logistics Data Bank (LDB): An RFID-based system that monitors containerized cargo movement in real time, boosting supply chain transparency and efficiency.
- Multi-Modal Logistics Parks (MMLPs): These parks serve as logistics hubs, enabling smooth freight transfer between different transportation modes and providing warehousing facilities.
- Dedicated Freight Corridors (DFC): Designed to optimize rail freight transport, the Western and Eastern DFCs will reduce congestion and enhance logistics efficiency for key industries.
- LEADS (Logistics Ease Across Different States): A ranking system encouraging states to enhance their logistics infrastructure, fostering competition and improvements in service quality.
- Gati Shakti Sanchar Portal: Launched to expedite Right of Way (RoW) approvals, crucial for expanding digital connectivity, including mobile towers and fiber networks.
- 5G Rollout: With over 13 crore subscribers in its first year, 5G is set to revolutionize logistics with real-time tracking and enhanced automation. Over 41,000 mobile towers have been sanctioned to extend connectivity in rural and remote regions.
Challenges in India's Logistics Sector
1. High Logistics CostsIndia's logistics expenses range between 13-14% of GDP, significantly higher than global benchmarks of 8-10% seen in countries like Japan and Germany, making Indian goods less competitive.
2. Fragmented MarketWith over 90% of logistics services being unorganized, standardization and technological adoption remain limited, affecting efficiency and cost-effectiveness.
3. Infrastructure BottlenecksDespite improvements, poor road conditions, outdated rail networks, and congested ports continue to hamper smooth cargo movement.
4. Poor Multimodal ConnectivityAn over-reliance on road transport, combined with underutilized rail and waterway networks, creates inefficiencies in logistics operations.
5. Limited Warehousing and Cold Chain FacilitiesA shortage of modern warehousing solutions, particularly in smaller cities, combined with an inadequate cold chain network, leads to high wastage and increased operational costs.
6. Last-Mile Delivery ChallengesTraffic congestion, poor addressing systems, and insufficient urban infrastructure result in high last-mile delivery costs, particularly for e-commerce and retail businesses.
7. Complex Regulatory FrameworksLogistics projects face delays due to multiple regulatory approvals at both state and central levels, slowing down infrastructure growth.
8. Workforce Skill GapsA shortage of trained professionals in supply chain management, warehousing, and digital logistics is a significant bottleneck to sectoral growth.
9. Environmental ConcernsThe logistics sector is a major contributor to carbon emissions. With heavy reliance on road transport, adopting greener alternatives remains a challenge.
The Way Forward- Developing Multimodal Transport Networks: Strengthening railways, inland waterways, and ports to create an integrated logistics framework.
- Technology Adoption: Utilizing AI, IoT, and blockchain to enhance supply chain transparency and efficiency.
- Regulatory Streamlining: Implementing single-window clearances for logistics projects to reduce bureaucratic delays.
- Expanding Cold Chain Infrastructure: Encouraging investments in refrigerated storage and transportation to support perishable goods sectors.
- Encouraging Private Sector Participation: Promoting public-private partnerships (PPPs) in warehousing and logistics infrastructure development.
- Investing in Workforce Training: Enhancing skill development programs to bridge the talent gap in logistics management.
- Focusing on Sustainable Logistics: Promoting electric vehicles, green corridors, and clean energy adoption for logistics hubs.
The PM Gati Shakti National Master Plan is poised to reshape India's infrastructure and logistics ecosystem, laying a strong foundation for economic growth, efficiency, and global competitiveness.