In a step forward to enhance logistics efficiency, the government is considering to develop economic corridors along with logistics parks on national highways. The economic corridors include Mumbai-Cochin-Kanyakumari, Bangalore-Mangalore, Hyderabad-Panji and Sambalpur-Ranchi to name a few. After completing the economic corridors, this will help to reduce the travel time and result in reduction in logistics costs.
Minister of State for Highways Mansukh Lal Mandavia has said that the Ministry of Road Transport and Highways got a study conducted on logistics efficiency enhancement. He said that the study has made several recommendations including, inter alia, development of economic corridors, feeder routes and removal of choke points, along with the development of logistics parks on national highways. Minister noted that recommendations have been accepted and the work of developing logistics parks at identified locations in partnership with state governments has been assigned to National Highways Authority of India (NHAI). He added that a rough estimate suggests about Rs 3 lakh crore on the project and the scheme is being finalized.
The plan is to develop Rs 3 lakh crore economic corridor project to develop 35,000 km of highways for faster movement of cargo. This would develop economic corridors with a length of about 21,000 kms as well as develop 14,000 kms of feeder routes that is providing connectivity to logistic hubs. Besides, the project would be taken into phases and awarded under various modes including build, operate, transfer (BOT) toll mode and the newer hybrid annuity mode (HAM) under which the while the government provides 40 per cent of the project cost the developer has to arrange for remaining 60 per cent.