LEADS Report 2022

• The Logistics Ease Across Different States (LEADS) Report 2022 was recently released by the Ministry of Commerce and Industry.
• The LEADS is a data-driven index developed in-house to evaluate logistics infrastructure, services, and human resources across all 36 states and territories.
• LEADS continues to serve as a guiding and connecting mechanism for the identification of interventions that improve logistics efficiency at the state and territorial levels.
• It has a positive impact on international indices such as the Logistics Performance Index.
• In 2018, the first logistics report was published.

What are the most important findings?

• Unlike previous versions of LEADS, which used ranking systems for all states, LEADS 2022 uses classification-based grading, with states divided into four categories: coastal states, hinterland/landlocked states, northeastern states, and Union Territories.
• For determining how well a state or territory performed in comparison to the top state or territory within a given cluster.

There are three performance categories:

• Achievers: States/UTs with a percentage of 90% or higher.
• The achievers category includes Andhra Pradesh, Assam, Chandigarh, Delhi, Haryana, Himachal Pradesh, Karnataka, Maharashtra, Odisha, Punjab, Tamil Nadu, Telangana, Uttar Pradesh, Uttarakhand, and Gujarat.
• Maharashtra ranks first among the "Achievers" states.
• Fast Movers: States/UTs with percentage scores of 80-90%.
• Kerala, Madhya Pradesh, Rajasthan, Puducherry, Sikkim, and Tripura are among the states.
• Aspirants: States/UTs with percentage scores less than 80% have been selected.
• The LEADS 2022 survey report will help the PM Gati-Shakti National Master Plan (PMGS-NMP) and the National Logistics Policy (NLP) map logistics infrastructure, services, and the regulatory environment, allowing State Governments to identify and fill gaps and achieve data-driven multimodal connectivity.
• PMGS-NMP has the potential to save more than Rs. 10 Lakh Crore per year by improving logistics efficiency, and it will reduce logistics costs to single digits in the coming years.

What exactly is the Logistics Performance Index?

• The World Bank Group's Logistics Performance Index (LPI) is an interactive benchmarking tool designed to assist countries in identifying the challenges and opportunities in their trade logistics performance, as well as what they can do to improve it.

The LPI is the weighted average of the country's performance across six key dimensions:

• Efficiency of border control agencies, including customs, in the clearance process (i.e., speed, simplicity, and predictability of formalities).
• The standard of trade and transportation infrastructure (e.g., ports, railroads, roads, information technology).
• The ease with which competitively priced shipments can be arranged.
• Logistics service competence and quality (e.g., transport operators, customs brokers).
• Capability to track and trace packages.
• Shipments arriving at their destinations within the scheduled or expected delivery time.

In 2018, India was ranked 44th on the LPI. No new data has been published as of 2022.

Various Logistics Initiatives in India:

• Multimodal Transportation of Goods Act, 1993.
• PM Gati Shakti Scheme
• Multi Modal Logistics Parks
• LEADS Report
• Dedicated Freight Corridor
• Sagarmala Projects
• Bharatmala Project

Read Also: Leads Index