On Wednesday, Prime Minister Narendra Modi unveiled a national master plan for multi-modal connectivity worth Rs 100 lakh crore. The plan, first announced in the prime minister’s Independence Day address on August 15, aims to develop infrastructure in order to reduce logistic costs and, as a result, boost the Indian economy.
The plan, officially titled “PM Gati Shakti,” will aim to reduce logistics costs, increase cargo handling capacity, and shorten the turnaround time, according to the prime minister at the launch.
What is Gati Shakti master plan?
According to Prime Minister Modi, the Gati Shakti master plan is an infrastructure master plan that will lay the groundwork for holistic infrastructure and provide an integrated pathway to the Indian economy.
What will the strategy achieve?
The PM Gati Shakti national master plan for multi-modal connectivity aims to integrate logistics departments into a single platform. Furthermore, the plan aims to bring infrastructure schemes from various ministries and state governments together and execute them with a unified vision.
“Gati Shakti brings together different departments for the coordinated development of projects ranging from roads to railways, aviation to agriculture,” Prime Minister Modi said at the launch, adding that India’s high logistics costs, which account for 13% of GDP, were affecting export competitiveness.
What are the master plan’s focal points?
The government claims that the PM Gati Shakti national master plan will help local entrepreneurs gain a global profile by improving logistics support and lowering costs. Furthermore, the government believes that the plan’s infrastructure improvements will pave the way for new economic zones in the future.
What does the Indian Prime Minister envision for the master plan?
The PM Gati Shakti plan will establish a common umbrella platform through which infrastructure projects can be efficiently planned and implemented through real-time coordination between ministries or departments.
Implementing infrastructure projects should be easier now that all relevant information is available in real-time. Furthermore, having an integrated platform should reduce information asymmetry and ensure that departments do not work in silos and that proper coordination between government agencies is in place.