India targets sub-10% logistics cost by December 2025: Gadkari

Union Minister for Road Transport and Highways, Nitin Gadkari, has voiced optimism that India’s logistics costs will fall below 10% by the end of December 2025. He emphasized that lower logistics expenses would significantly boost India’s global competitiveness, especially in comparison to China and the United States, whose logistics costs stand at approximately 8% and 12%, respectively.

To achieve this target, Gadkari highlighted the government’s accelerated efforts to transition from fossil fuels to electric mobility and biofuels. He also underscored the importance of expanding the national highway network and enhancing port infrastructure, noting that water transport remains the most cost-effective mode of freight movement.

Speaking after virtually laying the foundation for 27 road projects and inaugurating two others worth ₹5,235 crore in Andhra Pradesh, Union Minister Nitin Gadkari emphasized that water, power, transportation, and communication are the cornerstones of a nation’s progress. He cited the United States as a prime example, attributing its prosperity to a robust road network.

In line with this vision, the Ministry of Road Transport & Highways has prioritized the construction of highways that not only ensure faster travel but also enhance safety. Gadkari also underscored the strategic importance of developing seaports, noting that beyond the major port in Visakhapatnam, Andhra Pradesh is witnessing the emergence of several new ports along its 1,000-km coastline. These developments, supported by the Centre, are part of a broader initiative to establish multimodal logistics hubs across the region.

Union Minister Nitin Gadkari has highlighted a major transformation underway in India’s transport sector, emphasizing the shift from conventional fuels to blended alternatives such as ethanol and isobutanol across various vehicle categories. He noted that experimental efforts are also being made to blend hydrogen with biofuels, and expressed optimism that these innovations will soon become mainstream. Gadkari even suggested that ethanol-powered aircraft could become a reality in the near future.

In addition to these energy initiatives, the Minister announced several key infrastructure projects in Andhra Pradesh. These include the sanctioning of a greenfield highway between Hyderabad and Vijayawada, the expansion of the existing route to six lanes, and the six-laning of the Vijayawada–Machilipatnam highway. Other projects involve four-laning of the Guntur–Vinukonda, Guntur–Nizampatnam, Akiveedu–Digamarru, Pedana–Lakshmipuram, and Muddanur–Kadapa highways.

Gadkari also raised concerns about the high rate of road accidents in Andhra Pradesh, citing findings from a safety audit conducted on 100 highways. He urged Chief Minister N. Chandrababu Naidu and Deputy Chief Minister K. Pawan Kalyan to develop district-level strategies aimed at reducing accidents and improving road safety across the state.