 "Uttar Pradesh earmarks 17,000 acres for multimodal logistics parks")
The Uttar Pradesh government has earmarked 17,000 acres for developing multimodal logistics parks (MMLPs) across the state to feed its ambitious $1 trillion economy mission.
The state government is looking to offer a 30 per cent subsidy on land cost provided the company invests at least Rs 1,000 crore in such a project.
An MMLP integrates multiple transportation modes with warehousing and distribution at a single location. It fosters supply chain efficiency and reduces transportation costs.
The nodal agency, UP Expressway Industrial Development Authority (UPEIDA), has identified swathes of land for MMLP projects in the vicinity of expressways and major highways near big cities.
"The state industrial development department has also drafted a UP Multimodal Logistics Park Policy 2024, which will soon be tabled before the state cabinet for approval," a government official said.
The proposed policy will provide an array of incentives and sops to the private companies on land and capital investment.
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Leading domestic and international players, including from the US and the Gulf, have evinced interest in setting up MMLPs due to the growing network of expressways, airports, urban centres, and tourist hotspots in UP. The interested companies include Sumitomo Corporation, Sembcorp, DP World, and Rank Logistics, the official said.
The proposed MMLPs will comprise modern warehouses, cold storage, intermodal cargo containers, and cargo terminals. It will provide relevant services such as customs clearance, storage yard, warehouse management, testing centre, packaging, grading, and labelling under one roof.
UP’s first multimodal waterway terminal park is being developed on the banks of the Ganga in Varanasi, the parliamentary constituency of Prime Minister Narendra Modi.
The Yogi Adityanath government 2.0 is making big-ticket investments in roads and expressways to make the state a $1 trillion economy. The expanding road infrastructure coupled with a proliferating chain of airports and industrial clusters is fueling the growth of other sectors such as housing, realty, hospitality, and commercial vehicles.
With substantial investments in infrastructure, including roads and expressways, UP is among the fastest growing markets in India, said Viplav Shah Light Commercial Vehicle (LCV) Business head of Ashok Leyland.
He said the state will continue to witness traction in the commercial vehicles segment owing to big infra projects.
Meanwhile, UPEIDA has partnered with Swiss company ETH Zurich’s arm RTDT Laboratories AG to assess riding quality and comfort metrics of expressways in UP.