Prime Minister Narendra Modi on Saturday unveiled the National Logistics Policy that seeks to address challenges facing the transport sector and bring down the logistics cost of businesses from 13-14 per cent to a single digit.

At a grand launch event, he said the policy aims to expedite the last-mile delivery, helping businesses save time and money.

While the new policy addresses challenges of the logistics sector, it together with the infrastructure augmentation plan PM GatiShakti will address gaps, he said.

For Indian products to capture world markets, the country has to strengthen its support system. "National Logistics Policy helps in making the support system modern."

Modi said global experts are saying India is emerging as a democratic superpower and they are impressed by the extraordinary talent ecosystem of the country. "Experts are appreciating India's determination and progress."

The government, he said, is using technology to strengthen the logistics sector. Faceless assessment has started in customs and e-way bills and FASTag are bringing efficiency to the logistics sector.

Talking about the drone policy, he said drones will improve the logistics sector. The government, he said, is using technology to strengthen the logistics sector. Faceless assessment has started in customs and e-way bills and FASTag are bringing efficiency to the logistics sector.

He said the capacity of ports has been increased and the container vessel turnaround time has been cut to 26 hours from 44 hours previously.

The Sagarmala project to connect ports and dedicated freight corridors has started to improve logistics connectivity and systematic infrastructure development work, he said.

The prime minister said India is now the world's fifth largest economy and is emerging as a manufacturing hub.

The world has accepted the production-linked incentive (PLI) scheme announced by the government for boosting domestic manufacturing, he said.

Seeking to support faster growth after two pandemic-ridden years, the policy will streamline rules and address supply-side constraints as well as provide a roadmap to reduce fuel costs and lower logistics costs.

The Union government has been working on the National Logistics Policy for three years.

The commerce ministry released a draft logistics policy for consultation in 2019, but it was delayed by the Covid-19 pandemic. The National Logistics Policy was once again announced by Finance Minister Nirmala Sitharaman in the Budget for 2022-23.

The draft policy provides for the government creating a single point of reference for all logistics and trade facilitation matters, reducing costs for the logistics sector to 10 per cent in five years. The logistics sector is estimated at 13-14 per cent of GDP.