The Maharashtra state cabinet has approved a new Logistics Policy designed to position the state as a key player in the global logistics sector. This policy is backed by the recommendations from the State Economic Advisory Council and aims to enhance the efficiency of logistics operations within the state while targeting substantial economic growth.
The projected outcomes of the policy are promising. It is expected to generate around INR 30,573 crores in revenue and create approximately 500,000 direct and indirect jobs over the next five years. One of the main goals is to reduce logistics costs from the current range of 14-15% of the state’s gross domestic product (GDP) to between 10-11%. To achieve this, the policy will focus on developing over 10,000 acres of dedicated logistics infrastructure, ensuring that Maharashtra becomes a competitive player in logistics not only nationally but also on an international level.
Central to this initiative is the establishment of extensive infrastructure that includes 25 District Logistics Nodes, five Regional Logistics Hubs, five State Logistics Hubs, one National Logistics Hub, and one International Logistics Hub. A key highlight is the planned
International Mega Logistics Hub located in the Navi Mumbai-Pune area, coinciding with the development of a new international airport in Panvel. This hub, costing INR 1,500 crores and extending over 2,000 acres, is expected to attract significant investment and facilitate
international trade.
Additionally, the policy includes the creation of the Nagpur-Wardha National Mega Logistics Hub on a 1,500-acre site, connecting directly to the Maharashtra Samruddhi Highway. Other state logistics hubs are set to be developed in strategic locations including Chhatrapati Sambhaji Nagar-Jalna, Thane-Bhiwandi, Ratnagiri-Sindhudurg, Pune Purandar, and Palghar-Pargaon, each planned for 500 acres with a combined investment of INR 2,500 crores.
To drive further growth, the Logistics Policy has provisions encouraging private sector participation. It reserves 15% of the Maharashtra Industrial Development Corporation (MIDC) area in each district for logistics nodes. Financial incentives are a critical component as well, including capital subsidies for eligible logistics parks, support for environmentally friendly logistics practices, and relaxed zoning regulations for multi-storey logistics parks. These measures aim to attract investment and foster innovation in the logistics sector.
The policy also takes into account the needs of micro, small, and medium enterprises (MSMEs) by simplifying the approval process for MSME units involved in logistics activities categorized as green and white. This includes streamlined permissions and no objection
certificates within the first year of operations, aiming to empower smaller businesses to compete in the logistics arena. Moreover, provisions for establishing new warehouses and cold storage facilities are designed to support agro-entrepreneurs, allowing them to create localized warehousing solutions in cooperation with farmer producer organizations.
Importantly, this new logistics framework emphasizes sustainability and the adoption of advanced technologies. The integration of green initiatives aims to reduce the carbon footprint associated with logistics operations, reflecting a growing global trend towards
sustainability. The adoption of technologies such as robotics and blockchain is also highlighted, which can significantly improve efficiency and transparency in supply chains.
Overall, the Maharashtra Logistics Policy represents a bold step towards modernizing the state’s logistics landscape and enhancing its competitiveness. By building a robust infrastructure and promoting sustainable practices, Maharashtra seeks to not only streamline its logistics operations but also tap into the broader opportunities presented by the burgeoning global logistics market. As the state rolls out this comprehensive policy, it opens the door for enhanced economic prospects, job creation, and a stronger position on the international stage.
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