A.P., Gujarat, T.N. named ‘achievers’ in Centre’s logistics report

A.P., Gujarat, T.N. named ‘achievers’ in Centre’s logistics report

Subject : Economy

Section: Infrastructure

Context:

• As many as 11 States and two Union Territories, including the coastal States of Andhra Pradesh, Gujarat, Karnataka, Tamil Nadu; landlocked States Haryana, Punjab, Telangana, Uttar Pradesh; North Eastern States Assam, Sikkim, Tripura  and UTs Chandigarh, Delhi have been named as ‘Achievers’ in the LEADS  [Logistics Ease Across Different States] 2023 report released by Union Minister Piyush Goyal.

About LEADS Report:

• The LEADS is an indigenous data-driven index to assess logistics infrastructure, services, and human resources across all 36 States and UTs.
• LEADS continues to act as a guiding & bridging mechanism for the identification of interventions enhancing logistics efficiency at State/UTs. It reflects positively on international indices, like Logistics Performance Index.
• The first logistics report was released in 2018.
• Three performance categories namely:
• Achievers: States/UTs achieving 90% or more percentage.
• Andhra Pradesh, Gujarat,Karnataka, Tamil Nadu;landlocked States Haryana, Punjab, Telangana,Uttar Pradesh; North EasternStates Assam, Sikkim,Tripura and UTs Chandigarh,Delhi have been named as ‘Achievers’ in the LEADS.
• Maharashtra tops amongst the “Achievers” states.
• Fast Movers: States/UTs achieving percentage scores between 80-90%.
• Aspirers: States/UTs achieving percentage scores below 80% have been made.
• The LEADS 2023 survey report would assist PM Gati-Shakti National Master Plan (PMGS-NMP) and National Logistics Policy (NLP) to mapping of logistics infrastructure, services, and regulatory environment enabling State Governments to identify and fill the gaps and achieve data-driven multimodal connectivity.
• PMGS-NMP has potential to save over Rs. 10 Lakh Crore annually by improving logistics efficiency and will bring down the logistic cost to single digits in the coming years.

What is the Logistics Performance Index?

• The Logistics Performance Index (LPI), developed by the World Bank Group, is an interactive benchmarking tool created to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance.
• LPI is the weighted average of the country’s scores on the six key dimensions:
  • Efficiency of the clearance process (i.e., speed, simplicity and predictability of formalities) by border control agencies, including customs.
  • Quality of trade and transport related infrastructure (e.g., ports, railroads, roads, information technology).
  • Ease of arranging competitively priced shipments.
  • Competence and quality of logistics services (e.g., transport operators, customs brokers).
  • Ability to track and trace consignments.
  • Timeliness of shipments in reaching destinations within the scheduled or expected delivery time.

What are the Initiatives Related to Logistics?

• Multimodal Transportation of Goods Act, 1993.
• PM Gati Shakti Scheme
• Multi Modal Logistics Parks
• LEADS Report
• Dedicated Freight Corridor
• Sagarmala Projects
• Bharatmala Project