According to projections when exports touch $1 trillion by 2030 from $437.06 billion in 2023-24, the imports would be around $1.5 trillion against $677.2 billion in the last financial year.
The Asian Development Bank (ADB) will complete by August-September its study on the infrastructure required to meet the demand for movement of higher volumes of goods as the country aims to more than double its exports in the next six years.
The study will pinpoint geographies and the kind of infrastructure required to handle higher volume of goods movement which will then be shared with infrastructure ministries for incorporation in their capacity augmentation plans, a senior government official said.
According to projections when exports touch $1 trillion by 2030 from $437.06 billion in 2023-24, the imports would be around $1.5 trillion against $677.2 billion in the last financial year. This requires almost doubling the capacity to handle the surge in volumes at ports, airports, roads and railways.
“The study is trying to identify what kind of infrastructure is required at entry and exit points to meet anticipated demand and the clusters of exports where these capacities have to be built up,” the official said.
“The government has identified the focus sectors and clusters. The ADB study will be looking at export intensity, in which sectors our exports will be higher and from which clusters it will happen, and for that, what kind of logistics infrastructure is needed,” the official added.
The study will then be shared with the infrastructure ministries like ministries of road transport and highways, shipping and railways, and logistics for incorporating the needs of exports and imports in their prospective planning. “So far, there has been no objective assessment on this,” the official said.
The existing infrastructure is not adequate to meet the requirements of international trade for the coming years. According to estimates, India needs to create an infrastructure which will support an additional 2,000 million tonnes of goods movement in the ports, and an additional 338 million tonne by railways by 2030. Airports also need to create an additional 5 million tonnes of facilities for movement of goods.
The report will identify the areas where additional infrastructure will be required for facilitating increased movement of goods, while the assessment of what kind of investments would achieve that and how the plans of the ministries need to adjust to meet the need of exports will be done by the ministries.
Source:financialexpress.com