India’s Logistics System

The article analyses how the railways offer an efficient and economic mode of logistics movement given their pan­India network.

10 Mar 2023

Context: 

The article analyses how the railways offer an efficient and economic mode of logistics movement given their pan­India network. 

  • It suggests that the increased adoption of the railways for cargo movement is crucial to improve the country’s logistics competitiveness.

Image Source: The Hindu

Probable Question: 

Q. To improve the logistics efficiency of India, Railways can be a game changer. To what extent can railways play such a transformative role? Also enumerate the steps taken by the government in this regard.

About PM Gati Shakti:

  • PM Gati Shakti provides the right platform to address the infrastructural challenges that have hampered the movement of freight by rail.
  • It has a target of increasing the share of the railways in freight movement from 27% to 45% and increasing freight movement from 1.2 billion tonnes to 3.3 billion tonnes, by 2030.
  • The Union Budget 2023 has doubled the PM Gati Shakti National Master Plan to States from ₹5,000 crore to ₹10,000 crore, and has announced an outlay of ₹2.4 lakh crore for the Indian Railways.

Challenges faced by Indian Railways:

  • Operational and connectivity issues: There are infrastructural, operational and connectivity challenges, in turn leading to a shift of freight traffic to roads. 
  • Increased transit time: The increased transit time by rail and pre-­movement and post­-movement procedural delays such as wagon placement, loading and unloading operations, multi­modal handling, etc., hamper freight movement by rail. 
  •  Infrastructural issue: The lack of necessary terminal infrastructure, maintenance of good sheds and warehouses, and uncertain supply of wagons are some of the infrastructural challenges that customers face. 
  • Absence of integrated first and last mile connectivity:This results in high network congestion, lower service levels, and increased transit time. The absence of integrated first and last mile connectivity by rail increases the chances of damage due to multiple handling.
  •  Transportation of non bulk commodities:The transportation of non bulk commodities accounts for a very small share in the rail freight movement. In 2020-­21, coal constituted 44% of the total freight movement of 1.2 billion tonnes, followed by iron ore (13%), cement (10%), food grains (5%).
  • Lacks Modernisation: Indian Railways has not been able to keep pace with modernisation of infrastructure and services. Almost all arms of the railways require modernisation of equipment, processes and training.
  • Accidents: In India rail accidents are high. In 2018-19, railways recorded 16 deaths, 28 deaths in 2017-2018 and 195 deaths during 2016-2017. 

Steps have been taken by the Government for enhancing railway connectivity:

  • Dedicated Freight Corridors (DFCs): The DFCs are being created with the motive of improving the share of freight traffic.
    • DFCs include: 
      • The Western Dedicated Freight Corridor (WDFC), from Uttar Pradesh to Mumbai; 
      • The Eastern Dedicated Freight Corridor (EDFC), Ludhiana in Punjab to Dankuni in West Bengal.
  • Atma Nirbhar Bharat Initiative: After this, more than 97% of the equipment required for the production of electric locomotives is being sourced domestically.
  • Green Fuel Initiatives: Indian Railways is aiming to achieve 100 percent electrification of railway lines by December 2023.
  • Station Infrastructure Redevelopment Programme: The Government of India has launched the station redevelopment programme, which aims to redevelop 400 railway stations across India for INR 1,000 billion under a public-private partnership (PPP) model.

What should be done?

  • Setting up of a Special entity: Establishing a special entity under the railways to handle intermodal logistics in partnership with the private sector can help in addressing the first and last mile issue faced by the railways.
  • Following Global Practice: India should follow the global practice of heavily investing in advanced rail infrastructure for quick and low cost container movement. 
    • For example, China uses special trains to carry containers that connect significant ports to the inland, and has dedicated rail lines to move container traffic and planned double-decker container carriages for greater efficiency.
  • Creation of a statutory railway safety authority:The Kakodkar committee had suggested investing INR 1 lakh crore over a 5-year period and the creation of a statutory railway safety authority.

Conclusion:

  • An integrated logistics infrastructure with first and last mile connectivity is essential to make rail movement competitive with roads, and facilitate exports by rail to neighbouring countries such as Nepal and Bangladesh. 
  • The upcoming Dedicated Freight Corridors along India’s eastern and western corridors and multimodal logistics parks will ease the oversaturated line capacity constraints and improve the timing of trains.

                                                                                                                             News Source: The Hindu

Archive Calendar

Mon Tue Wed Thu Fri Sat Sun
 123
45678910
11121314151617
18192021222324
25262728293031

Need help preparing for UPSC or State PSCs?

Connect with our experts to get free counselling & start preparing

Know about Physics Wallah

Physics Wallah is an Indian online education platform, that provides accessible & comprehensive learning experiences to students of classes 6 to 12 and those preparing for JEE and NEET exams. We also provide extensive NCERT solutions, sample papers, NEET, JEE Mains, BITSAT previous year papers, which makes us a one-stop solution for all resources. Physics Wallah also caters to over 3.5 million registered students and over 78 lakh+ Youtube subscribers with 4.8 rating on its app.

We Stand Out because

We successfully provide students with intensive courses by India's qualified & experienced faculties. PW strives to make the learning experience comprehensive and accessible for students of all sections of society. We believe in empowering every single student who couldn't dream of a good career in engineering and medical field earlier.

Our Key Focus Areas

Physics Wallah’s main focus is to create accessible learning experiences for students all over India. With courses like Lakshya, Udaan, Arjuna & many others, we have been able to provide a ready solution for lakhs of aspirants. From providing Chemistry, Maths, Physics formulae to giving e-books of eminent authors, PW aims to provide reliable solutions for student prep.

What Makes Us Different

Physics Wallah strives to develop a comprehensive pedagogical structure for students, where they get a state-of-the-art learning experience with study material and resources. Apart from catering students preparing for JEE Mains and NEET, PW also provides study material for each state board like Uttar Pradesh, Bihar, and others.

Aiming for UPSC?

Download Our App

# #
Quick Revise Now !
AVAILABLE FOR DOWNLOAD SOON
UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
Integration of PYQ within the booklet
Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध
Quick Revise Now !
UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
Integration of PYQ within the booklet
Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध

<div class="new-fform">






    </div>

    Subscribe our Newsletter
    Sign up now for our exclusive newsletter and be the first to know about our latest Initiatives, Quality Content, and much more.
    *Promise! We won't spam you.
    Yes! I want to Subscribe.