Minister Wants Aircraft to Land in Multi-modal Hubs | CORPORATE ETHOS

Minister Wants Aircraft to Land in Multi-modal Hubs

By: | March 16, 2017

March 16: The aviation sector will now be a part of multi-modal logistics hubs in the country to promote holistic logistics solutions, Union Minister for Road Transport, Highways and Shipping Nitin Gadkari said. At present, highways, ports, inland waterways and railways are part of the planned multi-modal logistics hubs. The new plan projects the logistics sector to grow to $360 billion by 2032 from the present $115 billion.

“Integrated approach for logistics is the priority of the government. Airports will be part of multi-modal logistics hubs. Our government is setting up 400 regional airports and they will have pre-cooling cold storages among other logistics solutions,” the Minister added.

Development of integrated logistics solutions will be part of the Prime Minister’s Flagship ‘Make in India’ programme, he added. “The government will bring aviation sector this time into multi-modal hubs as it has huge potential in the logistics sector also,” he said, adding that the forthcoming Integrated Transport and Logistic Summit is expected to attract investments to the tune of Rs 50,000 crore.

The Minister said, to transform India’s logistics from a point-to-point model to hub-and-spoke model is aimed at reducing logistics cost. “A specific programme for development of multi-modal logistics parks, together with multi-modal transport facilities, will be drawn up and implemented. The vision is to transform India s logistics from a point-to-point model to a hub-and-spoke model to achieve reduction in logistics costs and to ensure that multi-modal infrastructure comes up in the country in an integrated manner,” he said.

India is a growing economy and the high cost of logistics — currently at 14% of GDP — is having a negative effect, he said adding, an effective multi-modal logistics and transport sector will make India’s economy more competitive.

Efficient transportation solutions are critical to improve the effectiveness of already built infrastructure, with the overarching aim to improve logistics efficiency of the country cost and time reduction and ensure trackability and traceability of freight movement.

The minister said multiple initiatives to improve logistics efficiency are already underway, including building of economic corridors apart from multi-modal Logistics parks. The government is committed to connect centres of high economic activity into corridors, he added.

“Forty four economic corridors along with numerous feeder routes and inter corridor routes requiring consistent four lane infrastructure covering 55,000 km has been identified,” he said. Along with Golden Quadrilateral and North-South-East-West Corridors, these are expected to carry about 80% of India s total freight. The work on building these corridors has already started, he added.