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CREATING INFRA, TECH TO BOOST BIZ COMPETITIVENESS
July 2025
|Cargo Talk
PM Gati Shakti Master Plan aims at improving India's overall logistics performance. Despite progress, PMGS faces constraints, such as inter-ministerial coordination gaps, land acquisition, environmental clearances, limited integration with state-level logistics plans, slow digital adoption and inconsistent mapping across departments. Addressing these is crucial to realising PMGS' full potential in transforming India's logistics and trade ecosystem.
To make India a global powerhouse hub of logistics, Prime Minister Narendra Modi launched PM Gati Shakti National Master Plan in 2021, focusing on developing world-class infrastructure, seamless connectivity and technology-driven solutions. The initiative was aimed at integrating multimodal transportation and improving transportation by air, sea, road, rail to facilitate ease of doing business (EoDB) in the country.
In the past few years, India has witnessed tremendous developments under this master plan, which enhanced trade competitiveness and reduced delays and costs.
According to reports, the logistics sector is experiencing robust growth with a projected CAGR from 5.3 per cent to 9.69 per cent between 2025 and 2034, depending on the specific market or region. This growth is fuelled by expansion of e-commerce, increased global trade and advancements in technology under PMGS. The initiative has catalysed infrastructure developments across India, aiming to enhance multimodal connectivity and streamline logistics.
PMGS IMPACT
PMGS has enhanced multimodal connectivity in a big way. The Western Dedicated Freight Corridor (WDFC) links ports in Gujarat to the north via high-speed freight trains, reducing road congestion. It has enabled faster road construction in rural and border areas and supports industrial corridors, such as Delhi-Mumbai Industrial Corridor (DMIC) and Amritsar-Kolkata Industrial Corridor (AKIC). Northeast India saw enhanced road, rail, air connect under PMGS, linking remote towns such as Ziro in Arunachal Pradesh to broader economic networks.
It has boosted last-mile road and rail links to ports, such as Paradip, JNPT and Chennai Port, and enhanced air cargo infrastructure in tier II and III cities to support exports and e-commerce.
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