Reducing India's Logistics Cost: Centre Invites Bids For Maharashtra's First Multi-Modal Logistics Park At Nagpur

Amit Mishra

Jun 29, 2023, 01:10 PM | Updated 01:25 PM IST

Development of MMLPs Under Bharatmala Pariyojana. (Representative image).
Development of MMLPs Under Bharatmala Pariyojana. (Representative image).

As part of the effort to reduce logistics cost, the Centre has invited bids to build the Multimodal Logistics Park (MMLP) at Nagpur in Maharashtra at an estimated cost of Rs 352.97 crore.

The project will be developed through Public-Private Partnership on Design, Build, Finance, Operate and Transfer (DBFOT) basis.

The selected concessionaire will operate and maintain the logistics park for a period of 45 years, including two years for construction.


Nagpur, being centrally located in the country and almost equidistant from most of the major economic centers of India and well connected through road and rail, provides location advantages for establishing industries, warehouses and associated facilities to link to ports

Located in Sindi village of Wardha district, the site for MMLP Nagpur is at a distance of 4.1 km from NH-361 and 2.7 km from the Samruddhi Mahamarg.

MMLP Nagpur Site.
MMLP Nagpur Site.

The site is abutting NH-353I which connects to NH-361 (Nagpur-Wardha Highway) in the north and the NH-44 (Nagpur-Hyderabad Highway) in the south.

The development of MMLP is anticipated in phases with Phase-1 area of 76.34 acres, Phase-2 area of 36.31 acres and Phase-3 area of 37.76 acres and total area of the site for development of MMLP around 150.39 acres.

The masterplan area.
The masterplan area.

Reducing Logistics Cost

The Ministry of Road Transport and Highways (MoRTH), under the Bharatmala Pariyojana, has decided to develop 35 multimodal logistics at some of the highest freight movement regions in the country in order to enhance logistics efficiency across the country.

This is targeted to reduce logistics costs to 8-9 per cent of the gross domestic product (GDP). Currently, logistics account for 14 per cent of GDP — making India far less competitive on the global stage.

MMLP is an integrated facility within which all activities relating to logistics and the distribution of goods, both for national and international transit can be carried out across multiple modes of transport.

The MMLPs equipped with inter-modal facilities for freight handling, warehouses, cold storages, custom bonded area will provide one stop solution and reduce transportation costs, inventory handling costs and substantially resolve inefficiencies present in the logistics ecosystem.

The NHLML, which is a 100 per cent owned subsidiary of the National Highway Authority of India (NHAI) is the nodal agency for implementing the MMLP projects in the country.

The foundation stone of the country's first MMLP at Jogighopa in Assam was laid in October 2020 and is slated to be completed by December 2023.

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