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India Targets Logistics Reform to Boost Investment and Ease of Doing Business

By Manbir Sandhu , 26 April 2025
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India is accelerating its logistics sector reform to streamline regulations, attract investment, and enhance overall efficiency, according to senior government officials. Speaking at a recent industry forum, officials from the Department for Promotion of Industry and Internal Trade (DPIIT) and the Warehousing Development and Regulatory Authority (WDRA) emphasized the government’s ongoing efforts to reduce bureaucratic hurdles and increase private sector access to PM Gati Shakti data. By improving logistics infrastructure and digital accessibility, India aims to strengthen its global competitiveness and support economic growth through an integrated, business-friendly environment.

 

Regulatory Simplification at the Heart of India’s Logistics Overhaul

India’s logistics sector, long criticized for regulatory complexity and fragmented systems, is undergoing a major transformation. According to Pankaj Kumar, Joint Secretary at the DPIIT, the government is actively working to reduce regulatory bottlenecks that hinder efficiency and discourage investment.

Kumar, addressing stakeholders at a recent logistics event, stated that “enhancing the ease of doing business in the logistics sector is essential for attracting private capital and enabling faster movement of goods and people.” The reforms, he emphasized, are aligned with India’s broader economic ambitions, including increasing logistics efficiency and decreasing the cost of transportation, which currently stands higher than global averages.

 

Unlocking PM Gati Shakti: Data as Infrastructure

A key enabler of this transformation is PM Gati Shakti, India’s flagship digital infrastructure initiative aimed at integrating and optimizing multimodal logistics. The platform provides geospatial data on infrastructure and supply chains, yet private sector access remains limited.

Kumar noted that discussions are underway to make this data more accessible to private stakeholders, enabling logistics companies and infrastructure developers to plan more efficiently and make data-driven investment decisions.

The initiative is seen as a critical tool for reducing infrastructure duplication, identifying bottlenecks, and creating synergy across ministries and departments involved in India’s vast logistics ecosystem.

 

Infrastructure, Accessibility, and the Human Element

Highlighting the logistical challenges inherent in a geographically diverse and populous nation, Kumar offered a sobering observation: “You can get groceries delivered to you in 10 minutes, but cannot reach the hospital in 10 minutes.” His remark underlined the pressing need for a logistics framework that serves both commercial and public welfare goals.

Kumar also reiterated that government efforts alone are insufficient. For the logistics sector to achieve its full potential, industry stakeholders must play an active role, offering feedback, collaborating on innovation, and investing in scalable solutions.

 

Warehousing Reforms to Complement Broader Logistics Strategy

Speaking at the same event, Anita Praveen, Chairperson of the Warehousing Development and Regulatory Authority (WDRA), spotlighted reforms specific to the warehousing sub-sector. According to Praveen, the licensing process for warehouses is being streamlined, with expedited approvals and simplified compliance protocols aimed at reducing turnaround times for business operations.

India has made notable progress in warehousing over recent years, especially with increased adoption of agri-warehouses, cold storage, and logistics parks. Streamlined licensing is expected to further attract investments in both urban and rural areas, addressing storage inefficiencies and reducing post-harvest losses in the agri-supply chain.

 

A Multi-Stakeholder Path to Logistics Leadership

India’s reform efforts in logistics are not just a policy initiative—they’re a strategic imperative. As global supply chains undergo a recalibration post-pandemic and amid geopolitical tensions, India is uniquely positioned to emerge as a logistics and manufacturing hub.

However, realizing this vision requires a multi-stakeholder approach. Collaboration between government bodies, private logistics providers, tech firms, and infrastructure developers will be vital to building a seamless, technology-enabled ecosystem.

The push to digitize and deregulate is only one side of the coin; sustained momentum, operational integration, and public-private partnerships will define the sector’s long-term trajectory.

 

Conclusion: Building the Backbone of India's Growth Story

The logistics sector is the circulatory system of any modern economy, and India is finally taking decisive steps to ensure it operates at global standards. With an integrated digital platform like PM Gati Shakti, streamlined warehousing protocols, and a clear focus on reducing red tape, India is laying the groundwork for a future-ready logistics ecosystem.

As regulatory reforms take hold and private sector engagement deepens, the country could well turn its logistical complexity into a strategic advantage, unlocking new efficiencies and propelling economic growth across sectors.

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