LEADS 2024 Report | 07 Jan 2025
Why in News?
Recently, the Ministry of Commerce & Industry released the 6th Logistics Ease Across Different States (LEADS) 2024 report.
- GatiShakti Vishwavidyalaya (GSV) launched a course on PM GatiShakti Concept for Efficient Infrastructure Planning and National Development.
What are the Key Highlights of the LEADS 2024 Report?
- About: It is an annual assessment released by the Ministry of Commerce and Industry to promote inter-state competitiveness and help policymakers improve logistics performance.
- LEADS was conceived on the lines of the Logistics Performance Index (LPI) of World Bank in 2018.
- Objective: It aims to evaluate logistics performance across States and Union Territories (UTs) to identify reforms, attract investments, and improve logistics efficiency.
- Evaluation: The report assesses logistics performance based on four key pillars:
- Logistics Infrastructure
- Logistics Services
- Operating and Regulatory Environment
- Sustainable Logistics (introduced in 2024).
- Ranking of States and UTs in 2024:
| Group | Achievers | Fast Movers | Aspirers |
| Coastal States | Gujarat, Karnataka, Maharashtra, Odisha, Tamil Nadu | Andhra Pradesh, Goa | Kerala, West Bengal |
| Landlocked States | Haryana, Telangana, Uttar Pradesh, Uttarakhand | Bihar, Himachal Pradesh, Madhya Pradesh, Punjab, Rajasthan | Chhattisgarh, Jharkhand |
| North-Eastern States | Assam, Arunachal Pradesh | Meghalaya, Mizoram, Nagaland, Sikkim, Tripura | Manipur |
| Union Territories | Chandigarh, Delhi | Dadra and Nagar Haveli & Daman and Diu, Jammu & Kashmir, Lakshadweep, Puducherry | Andaman and Nicobar Islands, Ladakh |
- Key Recommendations:
- The logistics sector needs to adopt the LEAD framework to transform the logistics sector.
- LEAD framework includes Longevity, Efficiency and Effectiveness, Accessibility and Accountability, and Digitization of processes.
- Promotion of green logistics and sustainable transport initiatives.
- Encouraging public-private partnerships (PPPs) to enhance multi-modal logistics hubs.
- Develop regional and city-level logistics plans as well for last-mile connectivity.
- Promote gender inclusivity
- Adopt new technologies like Artificial Intelligence (AI), Machine Learning (ML), and Data Analytics for enhanced logistics performance.
- The logistics sector needs to adopt the LEAD framework to transform the logistics sector.
India's Logistics Sector
- Contribution: It contributes 13-14% to India’s GDP and provides livelihood to over 22 million people; projected to add 1 crore jobs by 2027.
- In FY22, India’s logistics market stood at USD 435 billion and is projected to expand to USD 591 billion by FY27.
- Logistics Costs: Presently, India's logistics cost is 13-14% of GDP which is extremely high.
- The National Logistics Policy (NLP) 2022 aims to reduce India's logistics costs to align with global benchmarks of 8-9% of GDP.
- Global Position: India ranked 38th among 139 countries in the World Bank's Logistics Performance Index Report 2023.
- The LPI is an interactive tool developed by the World Bank that helps countries identify challenges and opportunities in trade logistics and improve their performance.
UPSC Civil Services Examination, Previous Year Question (PYQ)
Prelims
Q. With reference to ‘National Investment and Infrastructure Fund’, which of the following statements is/are correct? (2017)
- It is an organ of NITI Aayog.
- It has a corpus of Rs 4,00,000 crore at present.
Select the correct answer using the code given below:
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Ans: (d)