Commerce ministry developing national logistics portal
17, Aug 2018
Prelims level : Features and significance of the portal. Mains level :
Why in News?
- A National Logistics Portal is being developed by the Ministry of Commerce and Industry to ensure ease of trading in the international and domestic markets.
- The portal will link all the stakeholders of EXIM, domestic trade and movement and all trade activities on a single platform.
Objective of the portal:
- The portal’s main objective will be to fulfil the commitment of the Union Government to enhance trade competitiveness, create jobs, boost India’s performance in global rankings and pave the way for India to become a logistics hub.
Key Highlights of the portal:
- The National Logistics Portal will be a single window online marketplace for trade, which will connect businesses, create opportunities and bring together various ministries, departments and the private sector.
- It will bring together all the concerned stakeholders including traders, manufacturers, logistics service providers, infrastructure providers, financial services, Government departments and groups and associations on one platform.
- The portal’s creation was announced by Finance Minister Arun Jaitley during this year’s budget speech.
- The portal will be implemented in phases and will fulfil the commitment of the Government of India to enhance trade competitiveness, create jobs, boost India’s performance in global rankings and pave the way for India to become a logistics hub.
India’s logistics sector:
- The Indian logistics sector is highly defragmented and complex with more than 20 government agencies, 40 partnering government agencies (PGAs), 37 export promotion councils, 500 certifications, 10000 commodities and 160 billion market size.
- It also involves 12 million employment base, 200 shipping agencies, 36 logistic services, 129 ICDs, 168 CFSs, 50 IT ecosystems and banks & insurance agencies.
- According to the estimates of the Economic Survey 2017-18, the worth of Indian logistics market would be around USD 215 billion in next two years compared to about USD 160 billion currently and also will provide livelihood to more than 22 million people and improving the sector will help facilitate 10 per cent decrease in indirect logistics cost leading to 5- 8 per cent growth in exports.