Daily Current Affairs : 19-December-2023
The Logistics Ease Across Different States (LEADS) 2023 report, unveiled by the Union Ministry of Commerce and Industry, recognizes 11 States and two Union Territories as ‘Achievers.’ This article delves into the dynamics of India’s logistics market, the need for a holistic logistics policy, government initiatives, and the LEADS report’s significance.
Logistics Market in India:
- Definition and Objective:
- Logistics involves planning and executing the transportation and storage of goods.
- Aims to fulfill customer requirements in a timely and cost-effective manner.
- Market Overview:
- Indian logistics market estimated worth exceeds USD 200 billion.
- Provides livelihoods for over 22 million people, showcasing its economic impact.
Need for a Holistic Logistics Policy in India:
- Rationale:
- Comparatively high logistics costs necessitate a national logistics policy.
- Competitiveness Enhancement:
- Reducing logistics costs crucial for improving competitiveness in domestic and export markets.
- Economic Efficiency:
- Lowering logistics costs contributes to overall economic efficiency and value addition.
- Government Initiatives:
- National Logistics Policy (September 2022): Aims for integrated logistics ecosystem development.
- PM GATI Shakti Master Plan (2021): Focuses on streamlined planning and execution.
- Bharat Mala Pariyojana: Development of 35 Multi-Modal logistics Parks.
- Air Cargo Terminals for Export Promotion: Construction of 40 terminals, provision of cold-storage facilities.
LEADS (Logistics Ease Across Different States):
- Conception and Methodology:
- Conceived in 2018 by DPIIT, MoC&I, modeled after the World Bank’s Logistics Performance Index.
- Incorporates perception-based surveys and objective data for robust evaluation.
- Pillars Evaluated:
- Logistics Infrastructure, Services, and Operating/Regulatory Environment.
- Annual Exercise – LEADS 2023:
- 5th edition provides insights into logistics performance at the State/UT level.
- Highlights positive shifts in States’ performance across key pillars.
Significance of LEADS:
- Encouraging Competition:
- Encourages competition among States/UTs to improve logistics performance.
- 23 States align their policies with the National Logistics Policy.
- Global Ranking:
- India improves its Logistics Performance Index rank to 38th in 2023.
- Digital reforms contribute to this advancement.
Prospects for India’s Logistics Sector: China-Plus-One Strategy Perspective:
- China-Plus-One Strategy:
- Coined in 2013, diversifies global investments beyond China.
- Role of India’s Logistics Sector:
- Integral in India’s economic expansion under the China-Plus-One strategy.
- Identified as critical for facilitating diversified business operations.
Important Points:
- Logistics Market in India:
- Definition and Objective:
- Involves planning and executing transportation and storage of goods.
- Aims to fulfill customer requirements in a timely and cost-effective manner.
- Market Overview:
- Estimated worth exceeds USD 200 billion.
- Provides livelihoods for over 22 million people.
- Definition and Objective:
- Need for a Holistic Logistics Policy in India:
- Rationale:
- Comparatively high logistics costs necessitate a national logistics policy.
- Competitiveness Enhancement:
- Reducing logistics costs crucial for improving competitiveness in domestic and export markets.
- Economic Efficiency:
- Lowering logistics costs contributes to overall economic efficiency and value addition.
- Government Initiatives:
- National Logistics Policy (September 2022).
- PM GATI Shakti Master Plan (2021).
- Bharat Mala Pariyojana.
- Air Cargo Terminals for Export Promotion.
- Rationale:
- LEADS (Logistics Ease Across Different States):
- Conception and Methodology:
- Conceived in 2018 by DPIIT, MoC&I, modeled after the World Bank’s Logistics Performance Index.
- Incorporates perception-based surveys and objective data for robust evaluation.
- Pillars Evaluated:
- Logistics Infrastructure, Services, and Operating/Regulatory Environment.
- Annual Exercise – LEADS 2023:
- 5th edition provides insights into logistics performance at the State/UT level.
- Highlights positive shifts in States’ performance across key pillars.
- Conception and Methodology:
- Significance of LEADS:
- Encouraging Competition:
- Encourages competition among States/UTs to improve logistics performance.
- 23 States align their policies with the National Logistics Policy.
- Global Ranking:
- India improves its Logistics Performance Index rank to 38th in 2023.
- Digital reforms contribute to this advancement.
- Encouraging Competition:
- Prospects for India’s Logistics Sector: China-Plus-One Strategy Perspective:
- China-Plus-One Strategy:
- Coined in 2013, diversifies global investments beyond China.
- Role of India’s Logistics Sector:
- Integral in India’s economic expansion under the China-Plus-One strategy.
- Identified as critical for facilitating diversified business operations.
- China-Plus-One Strategy:
Why In News
In the recently unveiled LEADS [Logistics Ease Across Different States] 2023 report by the Union Ministry of Commerce and Industry (MoC&I), recognizing outstanding performance, 11 States and two UTs have been honored as ‘Achievers’ in fostering logistics ease and efficiency across the nation.
MCQs about LEADS 2023 and Strategic Initiatives
-
What is the primary goal of logistics in India’s market?
A. Employment generation
B. Efficient planning and execution of transportation and storage
C. Boosting economic efficiency
D. Enhancing competitiveness in export markets
-
What is the estimated worth of the Indian logistics market mentioned in the essay?
A. USD 100 billion
B. USD 150 billion
C. USD 200 billion
D. USD 250 billion
-
Which government initiative aims to reduce logistics costs by creating efficient and interconnected logistics hubs?
A. National Logistics Policy
B. PM GATI Shakti Master Plan
C. Bharat Mala Pariyojana
D. Air Cargo Terminals for Export Promotion
Boost up your confidence by appearing our Weekly Current Affairs Multiple Choice Questions
