Modi Govt Focuses On Strengthening India’s Supply Chain”

"Government's multifaceted approach enhances national logistics and supply chain resilience."

The Aryavarth Express
Agency(New Delhi): The Indian Government, recognizing the critical role of efficient supply chains and logistics in bolstering domestic production and trade, has implemented several measures to reinforce these systems. This initiative, as detailed by the Union Minister of State for Commerce and Industry, Smt. Anupriya Patel, encompasses a variety of strategies to enhance infrastructure and streamline processes.

A key component of this effort is the PM Gati Shakti National Master Plan (NMP), launched on 13th October 2021. This GIS-enabled platform integrates data from various infrastructure sectors such as roads, railway lines, ports, inland waterways, telecom, and power lines onto a single platform. This integration facilitates comprehensive and multimodal logistics planning.

Complementing the PM Gati Shakti NMP, the National Logistics Policy (NLP) was introduced on 17th September 2022. The NLP aims to improve service efficiency in the logistics sector through Comprehensive Logistics Action Plans (CLAP). These plans include the development of human resources and the adoption of digital technologies like the Unified Logistics Interface Platform (ULIP) and Logistics Data Bank (LDB). ULIP integrates 33 logistics-related digital systems across ministries, while LDB is operational for tracking and tracing export-import containers.

Additionally, the government has implemented a series of reforms to promote investments and manufacturing. These include a liberalized Foreign Direct Investment (FDI) policy, Production-Linked Incentive (PLI) Schemes in key sectors, reduced corporate taxes, and a Foreign Trade Policy 2023 focused on ease of doing business and compliance reduction. The ‘Make In India’ initiative, ‘One District One Product’, and ‘District as Export Hub’ initiatives are part of these reforms. Furthermore, existing Free Trade Agreements (FTAs) are being leveraged to ensure supply and market access for the manufacturing sector on preferential terms.

Infrastructure programs like Bharatmala and Sagarmala, the Trade Infrastructure for Export Scheme (TIES), and the development of Industrial Parks and Industrial Corridors are also crucial for holistic infrastructure planning and accelerated economic development.

Internationally, India has been proactive in initiatives like the ‘G20 Generic Framework for Mapping Global Value Chains (GVCs)’, which aids in identifying critical sectors and products for resilience within GVCs. India has also joined the Indo-Pacific Economic Framework for Prosperity Agreement relating to Supply Chain, a 14-member country initiative, and is part of the Supply Chain Resilience Initiative (SCRI) with Japan and Australia, focusing on building long-term, resilient supply chains through international partnerships.

These comprehensive measures reflect the Government of India’s commitment to enhancing the resilience and efficiency of the country’s supply chains and logistics, thereby bolstering its domestic production and international trade capabilities.

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