India’s logistics expenses fall to 10% of GDP: Gadkari

Road transport and highways minister Nitin Gadkari stated that the country’s logistics costs have been greatly reduced by a combination of expressways, economic corridors, digital tolling, and the use of green fuels, paving the way for India’s next stage of growth. Speaking at the Fest 2025, Gadkari emphasized the importance of logistics to the nation’s economic development and the fact that logistics expenses have already decreased from 16% of GDP to 10%. Reductions in logistics costs aren’t solely a macroeconomic metric, according to Gadkari. They immediately result in tangible advantages for job seekers, small companies, and exporters. “Port turnaround times have decreased by 45%, and transportation expenses have decreased by 25%.” For our MSMEs, who now have less obstacles to international competition, this is particularly revolutionary,” he remarked.

Elaborating on the multimodal connectivity, Gadkari said the government is actively working to align national highways with port infrastructure, ensuring seamless connectivity while also building multi-modal logistics hubs in places like Jogighopa in Assam, Nagpur in Maharashtra, and Katra in Jammu and Kashmir under the PM Gati Shakti Yojana.

“This will drastically reduce cargo handling times and improve freight movement across rail, road, and sea,” he added. Talking about the reduced travel time between important cities due to development of high-speed corridors and expressways, Gadkari said by December this year, the travel time from Delhi to major cities such as Dehradun, Jaipur, Chandigarh, and Katra will reduce significantly. “These are not just roads. They are economic arteries that will carry the lifeblood of trade and development across the nation,” he said. Highlighting India’s rise as a global automobile leader, Gadkari said the industry is now valued at ₹22 lakh crore, ranking third in the world, behind only the US and China.