Addressing a two-day CII Logistics and Supply Chain Leadership Conclave 2020, which began on Thursday, the minister also said that the logistics sector provides livelihood to more than 22 million people and improving the sector would have a cascading effect on the country''s exports growth.
"The Indian logistics sector provides livelihood to more than 22 million people, and improving the sector will facilitate a 10 per cent decrease in indirect logistics cost, leading to a growth of five to eight per cent in exports. It is estimated that the worth of the Indian logistics market will be around USD 215 billion in the next two years.
"The Maharashtra government has also invested in over Rs 150 crores in the supply chain and logistics sectors in the Pune and Thane region with the aim of promoting multi-modal connectivity, technology driven accreditation and standardization process to support the supply chain ecosystem within the state," the CII said in the release on Friday, quoting the Minister as saying.
He said that the Uddhav Thackeray government has also signed 12 MoUs worth Rs 16,100 crores with international and local companies to bring economic stability in the state.
Logistics and the supply chain sector play a significant role in propelling a nation to become a global investment destination.
In today''s testing times, the ability to innovate and adapt rapidly to new business risks, responsiveness to geopolitical factors, digitisation, reducing operational risks, and developing capacity building are vital for companies to build a comprehensive supply chain ecosystem, the CII said.
With the new normal and the Unlock 1.0 panning the nation, the Indian logistics, supply chain and transportation sector is set for a massive turnaround, it said adding, as the logistics sector is gearing up to tackle market uncertainty, several industry players have already started to adopt innovative ways to move ahead of the curve, paving the way for better supply chain and transportation methods.
The logistics and the supply chain sector is not only a significant factor in business continuity but it also has a strong role in propelling India to become a global economic destination, it added.
"It is estimated that the worth of the Indian logistics market will be around USD 215 billion in the next two years. The dynamics of the estimated USD 160 billion logistics market will change as we hit challenging times today and for the next quarter", said Shohab Rais, Chairman of the Conclave 2020 and Chief Operating Officer for Indian Chemical Business at Tata Chemicals.
The central government is working on a ''National Logistics Policy'' which aims to promote seamless movement of goods and commodities across the nation, he stated.
The logistics'' industry firmly believes that policy will look at several aspects of functionality such as process re-engineering, digitisation, and focus on multi-modal transport, providing great impetus to the currently on-going projects, he added.
The CII said that new infrastructure creation, capacity building, digitisation, and improving overall operational capabilities, among others will benefit the supply chain and logistics industry in the country. PTI IAS MR