Uniform packaging rules set to ring in lower logistics costs

India's logistics companies, which handle millions of items ranging from apparel to smartphones and from toys to white goods, will soon have to follow uniform packaging standards at their cavernous warehouses.

- Dhirendra Kumar & Subhash Narayan

The government is working on packaging standards that would mandate optimum space utilization in warehouses, a move that would support its objective of lowering its logistics costs from a high 14-15% of gross domestic product (GDP) to the 7-8% seen in advanced economies.

The Union commerce ministry is working on standards that will cover racking arrangements, lifting, loading and unloading, two officials aware of the matter said, adding the rules will be part of the national logistics policy (NLP).

A draft of the standards will go through interministerial consultations, and the final rules are likely before the end of the fiscal year, said one of the two officials quoted above, both of whom spoke on the condition of anonymity.

Queries sent to the commerce ministry remained unanswered till press time.