Fostering Infrastructure Integration in India: What needs to be done to reduce cost of logistics?
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India’s supply chain and logistics sector, one of the largest globally and worth $215 billion growing at a CAGR of 10.5 per cent, faces several barriers to growth despite its criticality to the economy. An unbalanced logistics modal mix, high indirect costs, fragmented infrastructure and networks, and limited technology adoption has been hampering the sector’s growth.Current logistics cost of India is 14% of its GDP, while that of other countries in US & Europe is 8-10%. That's the optimum level at which India needs to reduce its logistics costs.
Discussion will touch on:
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How important is the role of other infrastructure sectors like roads, Energy, and railways in reducing this cost?
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Is India on the right track regarding adoption of new technologies in logistics to reduce cost?
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What are the key challenges faced by the industry to attract investments?
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Will National Logistics Policy be key to achieve integrated infra development?
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