According to Union Minister Nitin Gadkari, India’s exporters are holding on to major orders as the Russia-Ukraine crisis has dramatically increased shipping costs. Exporters are concerned about container availability and port-related concerns, he said.
“The industry is not able to take advantage of such large exporting orders because of these hurdles,” the union minister for Road Transport and Highways said during a virtual session hosted by the Confederation of Indian Industry-Eastern Region.
Worldwide shipping costs have risen 30% year on year, according to Hellenic Shipping News. Gadkari stated that the government must minimise its reliance on crude oil, which is critical for the sector, and instead use alternative fuels such as green hydrogen.
The minister stated that the government is working to establish 35 multimodal logistics parks (MMLP) to help India’s export sector become more competitive in the global market.
The MMLPs will be created on a PPP basis, with a capital cost of Rs 46,000 crore, according to Gadkari.