Will develop home-grown model to assess logistics cost, aim to lower it to global benchmark of 8-9%: Govt sources

Ahead of the launch of the National Logistics Policy by the Centre, government sources have indicated that the plan is to reduce the logistics cost to the global benchmark of 8 percent to 9 percent from the prevailing 13 percent as claimed in various reports, while the government is yet to quantify the cost reduction target due to the move.

However, sources clarified that the cost of logistics also depends on the structure of an economy and that global ranks are often based on a general impression and not necessarily data.

Pointing to the high ranks secured by small nations in surveys on low logistics cost due to better connectivity between various modes of transport, government sources agreed that there's no end to improvement, where India had held the 44th rank in the Logistics Performance Index of the Global Rankings 2018 issued by the World Bank.