This move will likely attract investment in the coming years, as projects such as the Dedicated Freight Corridor (DFC), the Delhi-Mumbai Industrial Corridor (DMIC), the high-speed train between Ahmedabad and Mumbai, the Ahmedabad highway -Mumbai, Dholera and Mandal -Bechraji CRSs, Dahej PCPIRs and new ports are becoming reality over the next decade, creating vast potential for the logistics industry.
The State Department of Industry and Mines has now issued a government resolution (GR) granting industry status to the sector.
A senior government official said: “Some states have granted the logistics sector industrial status. The provisions of the Gujarat Property Tax Code and industrial policy have been amended to give the sector the status of industry. Logistics facilities developed by various means, including by the cooperative sector, will also be considered industry. Warehouses, logistics parks, etc., will now benefit from advantages such as the acquisition of land as is the case for manufacturing industries. The sector will also benefit from financial and other incentives under industrial policy and other policies.
According to the Ministry of Commerce report entitled “LEADS” (Logistics Ease Across Different States), Gujarat leads the ranking of the Logistics Index, an indicator of the efficiency of logistics services required to promote exports in particular and overall economic growth. The report was released by the Commerce Department of the Ministry of Commerce and Industry in January 2018. In the report, Gujarat ranked first among 22 states.
The ranking is based on eight indicators such as infrastructure, services, punctuality, cargo tracking / tracing, competitively priced shipments, cargo safety / security, operating environment and regulatory processes .
About 38% of the DFC pass through Gujarat while the zone of influence of the DMIC covers 62% of the surface of the state. The Gujarat Infrastructure Development Board (GIDB) has identified five zones along the Delhi-Mumbai Industrial Corridor (DMIC) and the dedicated freight corridor, for the establishment of logistics parks. These are Palanpur-Mehsana, Ahmedabad-Surendranagar, Gandhidham-Samakhyali, Dahej-Bharuch and Hazira-Surat.
The government of Gujarat is also developing a multimodal logistics park in Sanand on approximately 200 hectares of land.
GIDC has allocated 105 hectares of land to the industrial zone of Sanand-III (Khoraj).
GIDC plans to develop a logistics park in Dahej near Bharuch with the Container Corporation of India (CONCOR). The logistics park is intended to serve the industrial units of the Dahej Petroleum, Chemical and Petrochemical Investment Region (PCPIR).
The government of Gujarat has provided financial support for logistics parks as part of Gujarat’s industrial policy, 2015.