MUMBAI: India could potentially save nearly Rs 7 lakh crore annually and create close to 1 crore jobs by transforming the way goods move across the country, with Dedicated Freight Corridors (DFCs) and Multi-Modal Logistics Parks (MMLPs) playing a key role in building a faster and more efficient freight network, according to IIM Mumbai Director Prof Manoj Kumar Tiwari.
Integrating DFCs with MMLPs can help connect rail, road and other modes of transport more efficiently, reducing transit time, improving supply-chain reliability and lowering logistics costs. “The DFCs and MMLPs would emerge as the real game-changer for India,” Prof Tiwari said, adding that the expansion of the logistics sector would create employment across transportation, warehousing, distribution and freight forwarding. According to the IIM Mumbai report Future Talent Requirements in Logistics: Vision 2047, led by Prof Tiwari, the logistics sector is expected to require around 1.15 crore additional professionals by 2030.
The observations come days after Prime Minister Narendra Modi inaugurated three key sections of the Western Dedicated Freight Corridor (WDFC), completing the corridor linking JNPT/Navi Mumbai with Dadri in Uttar Pradesh. The 1,506-km WDFC, built exclusively for freight movement, is expected to increase cargo capacity, reduce transit times and make freight movement more predictable.
Prof Tiwari described the WDFC as an important step toward transforming India’s freight and logistics network. “The WDFC is a significant step towards transforming India’s freight and logistics network. I see this as a great infrastructure project by the Government of India, with the potential to deliver substantial long-term benefits for businesses and the wider economy,” he said.
India’s logistics industry currently contributes around 13% to the country’s GDP, while the logistics market, estimated at approximately Rs 22.95 lakh crore in 2022, is projected to reach Rs 47.12 lakh crore by 2030, Prof Tiwari said.
Technology to drive next phase
The next phase of India’s logistics growth will depend not only on physical infrastructure but also on better coordination and technology. IIM Mumbai research highlights the need for coordinated infrastructure planning, streamlined GST and regulatory procedures, easier business processes and greater digital integration between different modes of transport.
Emerging technologies, including advanced analytics and Agentic AI, could further improve freight operations by providing real-time visibility, supporting decision-making and enabling more efficient multimodal movement. The expansion of DFCs, MMLPs and digital logistics systems could therefore help India build a more integrated freight network while reducing supply-chain costs and creating new employment opportunities.
