India's logistics cost will come down to single digit in two years: Union Minister for Road Transport and Highways Mr. Nitin Gadkari

Union Road Transport and Highways Minister Mr. Nitin Gadkari announced that India's logistics cost would reduce to a single-digit figure within the next two years. Speaking at a NITI Aayog event, he highlighted ongoing construction of highways and expressways, which would help lower logistics costs to 9%. As per estimates from the National Council of Applied Economic Research (NCAER), logistics costs in India ranged between 7.8% and 8.9% of GDP for 2022-23. He also emphasised the potential for India to export alternative fuels and biofuels, particularly noting the role of low-quality coal in methanol production.

He further expressed his ambition to make India's automobile industry the largest in the world, having already overtaken Japan to become the third-largest market behind the US and China. The industry has grown from US$ 89.25 billion (Rs. 7.5 lakh crore) in 2014 to US$ 214.21 billion (Rs. 18 lakh crore) in 2024, contributing significantly to job creation. He also mentioned the use of recycled materials like tyre powder and plastic in road construction, reducing bitumen imports. Additionally, he discussed using crop waste to increase farmers' incomes and tackle stubble-burning issues in Punjab and Haryana, with plans to scale up processing of parali to mitigate seasonal pollution.

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