Gati Shakti & the Digital Freight Future: How Logistics Startups Can Fuel India’s $160B Vision
India’s logistics sector is at the cusp of a digital revolution. With initiatives like PM Gati Shakti and the National Logistics Policy (NLP), the government aims to streamline the movement of goods across the country and reduce logistics costs from 13–14% of GDP to 8–9%. This transformation is crucial to achieving the country’s target of a $160 billion logistics economy.
At the heart of this revolution lies digitization, supported by logistics startups that are building scalable, tech-driven freight systems. These startups are helping bring transparency, efficiency, and inclusivity—especially for India’s rapidly growing base of SMEs.
PM Gati Shakti: The Infrastructure Blueprint
Launched in 2021, PM Gati Shakti – National Master Plan is a digital platform that unifies planning across 43 ministries to coordinate and fast-track infrastructure projects. It integrates road, rail, port, air, and warehouse development on a GIS-based dashboard, making logistics planning smarter and more aligned with economic growth.
Over 400 key infrastructure projects have been identified, with ₹11.17 lakh crore committed to their execution. The plan also supports the creation of Multi-Modal Logistics Parks (MMLPs), cargo terminals, and better last-mile connectivity—giving logistics companies the foundation they need to scale operations nationally.
Making Logistics Accessible & Affordable for SMEs
Small and medium enterprises (SMEs) form the backbone of the Indian economy, contributing over 30% to GDP. Yet, these businesses often struggle with unreliable and expensive logistics.
Common logistics challenges faced by SMEs:
• Limited access to organized freight networks
• Opaque and fluctuating freight pricing
• Lack of shipment tracking
• Manual documentation and poor service transparency
Digital logistics startups are solving these issues by:
• Offering instant truck bookings via web/app platforms
• Providing GPS-enabled live tracking for consignments
• Enabling ePOD (electronic Proof of Delivery) and digital invoicing
• Offering transit insurance and automated billing
• Aggregating fleet from small operators to ensure availability and scale
This democratizes access to efficient logistics and allows even small businesses in Tier 2 and 3 cities to move goods with confidence and predictability.
Digitization: Unlocking Efficiency and Monetization
Improved digitization in logistics operations doesn’t just make movement faster—it makes it measurably cheaper. According to the Economic Survey of India, better digital adoption can reduce logistics costs by up to 2% of total GDP, saving billions.
Here’s how:
1. Faster Fleet Mobilization: Digital freight platforms connect demand (shippers) and supply (truckers) in real time, reducing truck idling time. Empty return trips—one of the biggest inefficiencies in logistics—can now be minimized with load-matching algorithms and predictive demand systems.
2. Better Route Planning: Data-driven route optimization allows for more deliveries per
truck per month, reducing fuel costs and carbon emissions. Truckers can use live traffic data and delivery slots to avoid congestion and improve turnaround times.
3. More Monetization for Fleet Owners: With better utilization, truckers run more trips and improve earnings. Reduced dependence on brokers increases margins. Additionally, digital payment and billing systems ensure faster settlement cycles—critical for small operators.
Startups: Powering the Digital Freight Movement
The rise of logistics startups is aligned closely with the Gati Shakti vision. Startups like Delhivery, Shiprocket, Porter, and Trukky are playing a key role in modernizing how goods move across the country.
These startups are:
• Building data-driven freight platforms
• Offering AI-powered pricing and route selection
• Reducing information asymmetry between shippers and carriers
• Supporting digital adoption among small fleet owners
• Feeding valuable operations data back into government platforms like ULIP (Unified Logistics Interface Platform)
Trukky’s Role in the Transformation
Trukky, a leading digital freight startup, is actively aligning with new policies like NLP and Gati Shakti. It empowers thousands of SMEs by providing on-demand freight booking, instant pricing, and transparent service models across major logistics corridors. Their tech platform helps formalize informal players—enabling small truck owners and operators to become part of India’s integrated digital supply chain.
Conclusion: The Road to $160 Billion is Digital
The combination of infrastructure push under PM Gati Shakti and technology-led execution by startups is changing the face of logistics in India. The goal is not just to build roads or ports—but to create a seamlessly connected ecosystem where trucks don’t wait, routes are optimized, shippers trust the system, and even the smallest business can ship nationwide.
Startups like Trukky are showing how the vision can be implemented on the ground—enabling India’s freight economy to be smarter, faster, and more inclusive.
As India marches toward its logistics vision, digital freight is no longer a luxury—it’s the foundation.