With Centre’s focus on infrastructure development, warehousing and logistics sector is seen as a key driver of economic growth: Union Food Minister Shri Pralhad Joshi Government of India aims to cut logistics costs with National Logistics Policy and PM Gati Shakti initiatives: Shri Joshi

With the rapid expansion of e-commerce and the government’s focus on infrastructure development, the warehousing and logistics sector is seen as a key driver of economic growth. This was stated by Union Minister of Consumer Affairs, Food and Public Distribution & New and Renewable Energy, Shri Pralhad Joshi on the 69th Foundation Day of the Central Warehousing Corporation (CWC) today in New Delhi. Recognising its pivotal role in India’s logistics and supply chain infrastructure since its inception in 1957, he further commended the corporation’s efforts in operational efficiency, transparency, and accountability through integration of digital initiatives.

Shri Joshi emphasised CWC’s crucial role in government initiatives such as Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) and Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA), ensuring efficient warehousing, handling, and transportation of essential commodities, including food grains, pulses, cotton, and groundnuts.

Underlining the government’s commitment to reducing logistics costs, the Minister said, “With the launch of the National Logistics Policy (NLP) and the PM Gati Shakti Programme, we aim to bring down logistics costs from the existing 13-14% to global standards of around 8%. CWC, as a leading warehousing organization, is poised to support these objectives through modern infrastructure development and efficiency enhancements.”

Speaking on the occasion, the Minister highlighted CWC’s transformation from a conventional warehousing entity to a dynamic logistics service provider, stating, “CWC has evolved into a symbol of efficiency, innovation, and reliability, with an extensive network of over 700 warehouses and an operational storage capacity of 148.29 lakh metric tonnes.”

Reflecting on India’s historical legacy in warehousing, Shri Joshi remarked, “India has a rich history of storage solutions, dating back to the Indus Valley Civilization and Patliputra in the Mauryan and Gupta empires. Today, modern technology-driven warehousing has revolutionized the sector, with India’s warehousing market expected to grow at a remarkable 15% CAGR, reaching $35 billion by 2027.” The Minister acknowledged CWC’s significant contribution to infrastructure development and stated that CWC has expanded its storage capacity by an additional 21.65 lakh square feet in FY 2023-24 with a record capital expenditure of ₹613 crore. He added that its e-commerce capacity has grown twelvefold since 2021 to approximately 80 lakh square feet in 2025.

He praised the asset monetization of CWC’s assets at 18 locations mobilizing an investment of ₹ 820 crores under the asset monetization plan. Under the Atmanirbhar Bharat Mission, CWC shall aim is to foster self-reliance by having an efficient and substantial supply chain by encouraging the private sector participation, investment in technology advancement and creating a conducive environment.

Union Ministers of State for Consumer Affairs, Food and Public Distribution Shri B.L. Verma and Smt. Nimuben Jayantibhai Bambhaniya also graced the event.

Both Ministers during their address reiterated CWC’s commitment towards ensuring food security of the nation by enabling seamless storage supply. Noting the decision undertaken by Hon’ble Prime Minister, Shri Narendra Modi to raise the Minimum Support Price (MSP) for all mandated Rabi crops for the 2025-26 marketing season, they underscored the government’s efforts for the welfare of farmers.

The event commenced with a presentation on the overview of CWC performance by Shri Santosh Sinha, Managing Director, CWC. He emphasized upon the modernization of conventional warehouses in Tier-I and Tier-II cities, development of cold storage facility under PPP model and emphasizing on leveraging partnership with stakeholders. CWC has added new capacities with more than 120 lakhs sq ft capacity hired during 2024-25, storage of 70 Lakhs Cotton Bales and 1.90 crore bags of groundnut in the current season. On account of superior performance and consistent team efforts, the Corporation has been recently awarded ‘Navratna Status’ during April, 2024.

 

 

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Abhishek Dayal/Nihi Sharma/Asmitabha Manna

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