Prime Minister Gati Shakti Scheme (PMGSS), also known as National Master Plan for Multi-modal Connectivity is an Indian megaproject worth 1.2 trillion USD (ONE QUADRILLION INR) to provide competitive advantage for manufacturing in India. On 15 August 2021, Narendra Modi, Prime Minister of India announced this project to boost Indian Economic Growth. The plan was launched on 13 October 2021 to provide multimodal connectivity infrastructure to all economic zones of India and approved on 21 October 2021 by the Cabinet Committee on Economic Affairs.

The plan encompassed all aspects of transportation in India and out of the country. The word ‘logistics’ includes transportation, storage, loading and unloading, transit insurance, trans-shipment, inspection prior and post. Transport includes road (truck, tempo, auto, bullock cart, hath gaadi, manual), rail (goods, passenger, dedicated), air, pipeline (for liquids and gas). Storage includes warehouses, in-transit, in-situ, temporary and inventory. There were several ‘unique’ features of this scheme. It ‘integrated’ (or, at least, sought to) the working of various ministries, which are all involved in the transportation of goods across the country. For example, the RTO, the NHAI, the Indian railways, road transportation, seaports authority, and many more, include the land details storage authority, which develops and stores cadastral maps of landholdings in rural areas. This integration was achieved through a single website where all the information is made available for decision-making. For example, if a port is proposed to be expanded or established newly, then the roads authority will check whether the necessary infra is available to pick up and transport the goods unloaded at the port. Similarly, if a company wants to set up a new unit, the land authority will check out the availability, and announce the allocation, based on which the other concerned ministries will make sure that the necessary facilities – like roads, electric power, water, trained manpower and such – are all attended to. A third aspect is the involvement sought from private sector parties, who are interested in setting up warehouses, build ports etc. Such parties could directly upload their proposals in the same website, and a response from the government will be given ASAP. This methodology is designed to prevent red tape, reduce bureaucratic delays and cut off possible corruption and favouritism in the sanction of decisions. And, the website provides transparency to all those who are registered and in the ‘loop,’ those who are awaiting a decision, etc. They can log in and check out the status of their proposal.

The website also displays the status of proposals accepted, sent back for revisions/ modifications. Those which have been rejected are informed of the decision. The PMGSS ‘is driven by ‘7 engines of growth.’ These are railways, airports, roads, ports, mass transport, waterways and logistics. Let us look at the progress achieved so far in each of these ‘engines’ of growth.’

The Indian Railways (IR) has introduced the Vande Bharat trains, which have largely been accepted by the users, and, in general, have improved the image of the IR. The first VB train was flagged of on February 15, 2019. While the ‘seater versions’ have been launched, the new and upgraded ‘sleeper version’ will start running from 2024. Both ICF and BEML, Bangalore, will be involved in the design and manufacture of these new trains. 75 VB trains were to be launched by August 15, 2023. Reportedly, the number has not been achieved, but, to catch up, 6 to 7 VB trains are being launched every month. ICF has really come into a ‘hyper active’ mode, after being kept in a state of coma for many years. 33 VB Orange trains have also been launched. The orange version is an improvement over the first ‘white’ version. Runs faster, better safety – in all, 25 improvements. Not a bad beginning, with a promising future.

The Airports Authority of India has not been left behind. “Our government has set a target of building 220 airports in the country by 2025,” said J Scindia, Minister of civil Aviation, on November 21, 2023. “We plan to build 33 new domestic cargo terminals and set up 15 new flight training schools for pilots, creating more jobs and giving thrust to the drone sector. The Airports Authority of India (AAI) and the private sector will invest Rs 1 lakh crore in the next 2-3 years. In the Greenfield area, four private-sector airports will be built at Mopa, Navi Mumbai, Jewar, and Bhogapuram. Rs 30,664 crore will be invested in the Greenfield sector by the private sector. Seven new airports in Delhi, Bangalore, and Hyderabad, and brownfield expansion in Lucknow, Mangalore, Guwahati, and Ahmedabad will be done. A total investment of Rs 34,000 crore will be made in brownfield airports,” he said.*

Roads are one area which has been in the limelight, thanks to the huge work done so far. Rural road building has been a great success. The current status is that 743,000 kms out of a sanctioned 814,000 have been completed. Similarly, 8,400 bridges out of a sanctioned 11,150 have been completed. Since 2014/15, 73,400 kms, out of a sanctioned 89,000 kms of national highways have been completed. In the last three years, the 32,000 kms have been completed, for a rate of 30 km plus of roads per day, which is the highest achieved so far.

Sagarmala is a prestigious project. Various projects of building highways, feeder roads, etc are under implementation. A total of over 24,000 kms are under construction, in various stages. Sagarmala is that part of PMGSS which deals with the improvement of all seaport activities, building of new ports, providing the infrastructure for cargo movements and so on. There are several streams of activities (see: https://sagarmala.gov.in/project/port-modernization-new-port-development). And the progress is impressive in some of these. For example, of a total of 232 initiatives taken up under the program ‘Unnati’, to improve port operations, 180 have been completed, 8 are on track, 20 have been delayed, and the balance 18 have been dropped. Under the ‘Ports Masterplan’ initiative to increase the capacity of Indian ports, 184 initiatives have been launched, at a cost of Rs 118,000 crore, which will increase the capacity by 1,424 MMTPA.

Of all the above, the railways projects are perhaps the most difficult to yield immediate results, as they involve a change in the culture of operations. Given that the railways have been run by the government all these years, and will continue to be so for the foreseeable future, the change will involve herculean efforts. Determination, tenacity and commitment form the governments top management is needed to make this change happen. Other than this sector, the others are already feeling the impact. Air travel is one which has really ‘taken off,’ with so many airports opening up for business. The engagement of the private sector participants has given this sector a big boost. As it was in the telecom industry a few years back. Hope this government will take steps to privatise the railways, and many other industries which are still in the government’s ambit. They will all shine like ‘Telecom India.’

R Jayaraman is the Head, Capstone Projects, at Bhavan's S P Jain Institute of Management & Research (SPJIMR). He has worked in several capacities, including Tata Steel, for over 30 years. He has authored over 60 papers in academic and techno economic journals in India and abroad. Jayaraman is a qualified and trained Malcolm Baldrige and EFQM Business Model Lead Assessor.