The require to bring down the high logistics costs in India by diverting freight from road to rail and coastal shipping was highlighted at a conference on Multi-Modal Logistics organized by the CII here on Wednesday.
Experts pointed out that the Indian road network was shouldering more than 60% of the total domestic freight movement, leading to congestions and higher transportation cost.
Girish Pillai, Adviser (Infrastructure), Railway Board pointed out that dedicated industrial corridors all across the country would make a tremendous difference to the manufacturing industry.
"There is a want of private initiatives to boost the capacity. A model shift from road to rail and a model mix of logistics is required," he felt.
Prahlad Tanwar, Associate Director of KPMG, said, "Goods trucks in India move at an average speed of 30-40 kmph, half of the global benchmark. Also, the vehicles logged an average of 250-300 kilometer (km) a day, again half of the distance covered by freight trucks in developed countries."
The State was expected to soon have a maritime board and a new civil aviation policy, envisaging new regional airports through private participation, T Krishna Babu, Secretary, AP Department of Investment and Infrastructure, said.
He added that "These would have been in place, but for the recent developments (in regard to bifurcation of the State). Once the dust settles, we will come out with these policies."