Govt Working To Bring Down Logistics Cost To GDP To 7.5 Per Cent By 2028: Amit Shah

Shah said that the the logistics cost in India is 13 per cent to the GDP as compared 8 per cent in the rest of the world. It is  making difficult for Indian exports to compete globally

Union Home Minister Amit Shah on Tuesday said that the government is working to bring down logistics cost to GDP to 7.5 per cent from the current 13 per cent, reported PTI. Speaking at the annual session of Assocham, Shah said the government has set a target to bring down logistics costs below the national average by 2028 to make exports globally competitive.

Home Minister said that the the logistics cost in India is 13 per cent to the GDP as compared 8 per cent in the rest of the world. It is  making difficult for Indian exports to compete globally. 

"We will have to remove the eight per cent and 13 per cent gap. We have formulated a framework for the next five years. I can assure you that we will reach 7.5 per cent logistics cost in the next five years," he said.

Shah said the Narendra Modi government has made a plan of Rs 100 lakh crore investment in infrastructure with some mega projects such as the doubling of railway lines, their widening, dedicated freight corridors from Mumbai to Delhi and Amritsar to Kolkata besides 11 other industrial corridors, the report added. The government has set a target to bring down logistics costs below the national average by 2028 to make exports globally competitive, Shah said, adding that the Modi government has laid a strong foundation for making India a developed nation by 2047 and a $5 trillion economy by 2022.

He also took a dig at former Union finance minister P Chidambaram, Shah said when Modi was giving details of the Digital India scheme, the Congress leader questioned how will small amounts be paid to a street vendor, whether villages will have electricity and broadband to enable those transactions.

He said, "When Modi ji had launched digital-transaction, then former Finance Minister P. Chidambaram ji had criticized that how a vegetable seller would take money online… Today people even in remote villages of India do digital transactions are doing"

"UPI contributed 52 per cent of the 8,840 crore digital transactions in 2022 which comes to Rs 1.26 lakh crore," he said.

Amit Shah said, "In a vast country like India, the development of the country can be achieved only by following the 'Whole of Government' approach… and Modi ji has implemented this vision of Team India on the ground, that is why such good results have come in 9 years.

"Policies of Modi ji government have taken the country forward on the path of progress. Our ideology has made the country safe. Our all-embracing and all-inclusive schemes have led to the multifaceted development of India. And today the world is dazzled by our achievements," Shah futher added.