HomeLatest NewsOpinionUnion Budget 2025 should be blueprint for AI-driven sustainable logistics

Union Budget 2025 should be blueprint for AI-driven sustainable logistics

Union Budget 2025 must prioritise AI, IoT, automation, and green tech in logistics to boost efficiency, sustainability, and cement India’s position as a global tech leader.

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By Pali Tripathi

As India continues to position itself as a global leader in technology-driven industries, the logistics sector presents a unique opportunity to unlock massive growth and innovation. The upcoming Union holds the potential to propel India into the forefront of logistics technology by supporting the integration of emerging technologies like AI, IoT, robotics, automation, and 5G.

We believe that strategic investments in these technologies will revolutionise the logistics ecosystem, making more efficient, sustainable, and globally competitive. To achieve this, we urge the government to prioritise the development of a National Technology Strategy for Logistics, enabling the seamless integration of cutting-edge technologies into the sector.

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Establishing a National Logistics Technology Council will ensure coordination between the government, industry, and academia, facilitating the creation of a robust framework that aligns with global standards.

A key focus should be on building technology-driven infrastructure, including smart logistics parks, IoT-enabled transport systems, and advanced port and highway technologies. This will not only improve operational efficiency but also reduce the carbon footprint of logistics operations, contributing to the nation’s sustainability goals.

Additionally, by enhancing Dedicated Freight Corridors (DFCs) with automation and real-time , we can significantly reduce transit times and costs, further boosting India’s logistics competitiveness. Tax incentives and subsidies for logistics companies adopting AI, IoT, and robotics will accelerate the adoption of these technologies across the sector.

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A government-backed logistics technology innovation fund will support startups and SMEs, empowering them to develop new solutions and bring innovations to market faster.

We also advocate for fostering Public-Private Partnerships (PPP) to drive the development of autonomous vehicles, drone-based delivery systems, and real-time predictive analytics. These collaborations will help position India as a global testbed for logistics technologies, offering regulatory sandboxes for innovation while ensuring safety and compliance.

In addition, skill development is critical. The budget should focus on launching specialised training programs to equip the logistics workforce with expertise in emerging technologies like AI, robotics, and automation. This will ensure that India remains at the cutting edge of logistics innovation.

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Lastly, we call for increased investment in green technologies and sustainable logistics solutions, such as electric and hydrogen-powered vehicles and AI-based route optimization to reduce emissions. By focusing on these areas, India can position itself as a global hub for sustainable and efficient logistics.

We look forward to the Union Budget creating a comprehensive roadmap to position India as a global leader in logistics technology, driving innovation, efficiency, and sustainability for the future.

The author is CEO of Taabi Mobility Limited (RPG Group). Views are personal.

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