India’s logistics cost will reduce to single-digit in 5 years: Gadkari

India’s logistics cost will reduce to single-digit in five years, Union Road Transport and Highways Minister Nitin Gadkari said on Thursday.

Addressing the ‘Deloitte Government Summit’ in Delhi, Gadkari said the ministry is constructing several highways and expressways that will help reduce India’s logistics cost. “I am confident within five years our logistics cost will be in single-digit,” he said.

But estimates of economic think tank National Council of Applied Economic Research (NCAER), show India’s logistics cost ranged between 7.8% and 8.9% of GDP in 2021-22.

Mr. Gadkari added that he aimed to make the Indian automobile industry number one in the world. Last year, India overtook Japan to become the third-largest automobile market in the world, only behind the US and China, he said. According to him, the size of India’s automobile industry rose from ₹7.5 lakh crore in 2014 to ₹22 lakh crore in 2024.