A new report detailing the logistics performance of different Indian states and union territories has been published by India’s Commerce and Industry Ministry. It’s called LEADS (Logistics Ease Across Different States) 2023. Important for exports and general economic growth, the index measures how well logistics services are working.
The Thirteen Most Achieved States and UTs
Thirteen states and union territories were named “achievers” on the logistics index chart for 2023, including Andhra Pradesh, Karnataka, Tamil Nadu, Chandigarh, and Gujarat.
Himachal Pradesh and Uttarakhand have been reclassified as “aspirers” and “fast movers” respectively, bringing the total down from 15 to 13 states this year.
Logistics Performance Index 2023
Newcomers: Sikkim and Tripura Soar to New Heights
The states of Sikkim and Tripura have made remarkable strides, rising from the “fast movers” group in 2022 to the highly esteemed “achievers” group this year.
Reliable Performers
No changes were made to the “achievers” status of Delhi, Assam, Haryana, Punjab, Telangana, and Uttar Pradesh in the logistics performance index.
Quick Shifters
Arunachal Pradesh, Nagaland, Andaman and Nicobar, Lakshadweep, Puducherry, Madhya Pradesh, Rajasthan, Uttarakhand, Arunachal Pradesh, and Kerala are all considered “fast movers” according to the research.
Prospective States: Those with Room to Grow
In the group of “aspirers” are the states of Goa, Odisha, West Bengal, Bihar, Chhattisgarh, Himachal Pradesh, Jharkhand, Manipur, Meghalaya, Mizoram, Daman and Diu, Dadra and Nagar Haveli, Jammu and Kashmir, and Ladakh.
Summary and Suggestions of the Report
Addressing important stakeholder concerns and providing solutions, the research assesses states according to their logistics environment.
If the government is serious about boosting commerce and cutting transaction costs, it must prioritize increasing logistical performance.
The Logistics Sector’s Contribution to Economic Development: The Minister’s Goals
- Piyush Goyal, India’s minister of commerce and industry, recently highlighted the importance of logistics in getting the country’s GDP to $35 trillion by the year 2047.
- He referenced a study by the NCAER economic think group that put the country’s logistics cost between 7.8 to 8.9 percent, with a goal of reducing it to 5 to 6 percent.
- To reduce logistics expenses, Goyal detailed government initiatives, such as large investments in infrastructure development.
- Reducing carbon footprint and fostering growth in the logistics sector can be achieved by focusing on skilled labor, enhancing state participation, and leveraging technology such as AI, blockchain, and data analytics.
