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Value-effective, clear, and optimised freight transport system key for India’s development: Report

NEW DELHI: Shifting freight to rail and optimising truck use, India can attain its objective to cut back logistics price from 14% of GDP to 10% by 2022 and this may save as much as Rs 10 lakh crore in 2022, a report by authorities suppose tank Niti Aayog mentioned on Thursday.
“Improved rail mode share, elevated logistics effectivity and clear automobiles are the constructing blocks for a transformative freight paradigm that’s inside India’s attain. This freight paradigm can be cost-effective with decreased transport prices, clear with extra environment friendly and electrical automobiles, and optimised with improved mode share and operational effectivity. Implementing multi-stakeholder collaboration in a phased method is vital to this transformation,” mentioned the Niti Aayog and RNI report titled Quick Monitoring Freight in India.
As nationwide freight exercise grows about five-fold by 2050, India’s freight transport ecosystem has a vital function to play in supporting India’s bold priorities which embrace international competitiveness, job development, city and rural livelihoods, and clear air and surroundings.
It referred to as for rising the share of rail transport, optimising truck use, selling use of fuel-efficient automobiles and various fuels.
The report mentioned this technique will result in decreased logistics prices, decreased carbon emissions and improved air high quality and fewer truck site visitors on roads. India can save 10 giga tonnes of CO2, 500 kilo tonnes of particulate matter (PM) and 15 million tonnes of nitrogen oxide (NOx ) brought on by freight transport by 2050 whereas improved mode share and environment friendly logistics can scale back the vehicular-freight exercise by 48 p.c in 2050 over a enterprise as regular state of affairs.
To extend the mode share of rail transport, India can Improve the rail community capability and lift the share of intermodal transportation.
It really useful enhancing current community infrastructure by rising axle masses, rising practice size, and enabling trains to maneuver sooner, including new community capability by growing specialised heavy-haul corridors and devoted freight corridors and figuring out and upgrading corridors with excessive potential for intermodal transport and making certain higher modal integration throughout rail, street, and water.
The report mentioned that rail’s share in freight transportation in India has been declining since 1951. In 2020, it stood at merely 18% as in comparison with street’s share of 71%.
“This is because of inadequate rail capability, particularly on sure high-density routes. A number of elements counsel that rail may very well be a cheap and environment friendly various for a major share of India’s freight,” it mentioned.
To optimise truck use, India can enhance transportation practices and warehousing practices and really useful a number of options to attain the target. It referred to as for enhancing load matching utilizing digital platforms and get freight on the correct sort of truck, relying on the use case.
Maximise car productiveness by environment friendly packaging and loading and enhancing the siting of warehouses utilizing the ideas of optimised community design. It really useful enhancing the efficiency of warehouses by implementing superior digitised instruments.
To advertise clear, fuel-efficient car applied sciences corresponding to electrical automobiles (EVs), India can prioritise enhancing gasoline economic system and scale back inner combustion engine automobiles’ emissions, the report mentioned.
It additionally backed use EVs and cleaner fuels “The next actions can assist the deployment of those options:
• Improve gasoline consumption and emissions requirements of ICE automobiles
• Promote collaboration throughout business gamers to share experiences with expertise options
• Implement supportive insurance policies and pilot tasks to deploy EVs and charging infrastructure
• Manufacture high-quality electrical automobiles and create a strong charging infrastructure community,” the report mentioned.
The logistics sector accounts for five% of the nation’s GDP and employs 2.2 crore individuals.
India handles four.6 billion tonnes of products every year, amounting to a complete annual price of Rs 9.5 lakh crore.³ These items symbolize a wide range of home industries and merchandise: 22% are agricultural items, 39% are mining merchandise, and 39% are manufacturing-related commodities.
Vans and different automobiles deal with many of the motion of those items. Railways, coastal and inland waterways, pipelines, and airways account for the remainder, the report added.



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