Uttar Pradesh’s Multi-Modal Logistics Park Policy 2024 targets making the state India’s top logistics hub with a Rs 1,000 crore investment. The policy focuses on streamlining supply chains, reducing logistics costs, and boosting global connectivity. It includes modern infrastructure, job creation, and incentives for investors, aligning with India’s National Logistics Policy to enhance trade efficiency and economic growth.
Uttar Pradesh Unveils Ambitious Logistics Park Policy for Economic Growth
The Uttar Pradesh government has launched the Multi-Modal Logistics Park (MMLP) Policy 2024, a strategic move to position the state as India’s leading logistics hub. With a minimum investment of Rs 1,000 crore, the policy aims to revolutionize supply chain management, enhance trade efficiency, and drive economic growth. Chief Minister Yogi Adityanath has emphasized its role in aligning with India’s vision of a $5 trillion economy.
The policy, notified in December 2024, draws inspiration from global models in the USA, China, and the UAE, ensuring a world-class framework. It mandates a minimum investment of Rs 1,000 crore for projects to qualify for incentives, targeting significant ventures that contribute to economic development. A key feature is the single-window clearance system, which streamlines approvals, reduces bureaucratic delays, and enhances transparency to attract both domestic and international investors.
The logistics park will integrate multiple modes of transport—road, rail, air, and waterways—to optimize freight movement. This aligns with India’s National Logistics Policy (NLP), which seeks to reduce logistics costs from 13-14% of GDP to 8-10% by 2030. Uttar Pradesh’s strategic location, with proximity to the Delhi-Mumbai Industrial Corridor and eastern waterways via the Ganga, positions it as a critical node for trade in northern and eastern India.
Infrastructure development under the policy includes modern warehouses, cold chain facilities for agriculture and pharmaceuticals, transport terminals, and advanced technology integration using automation, IoT, and AI. These facilities aim to minimize transit times, reduce carbon emissions, and improve tracking and traceability of goods. The policy also offers financial incentives, including a 30% upfront land subsidy for projects on land allocated by state authorities, tax exemptions, and support for industrial corridors.
The initiative is expected to create thousands of jobs during construction and operations, boosting local economies and allied sectors like transportation and warehousing. By enhancing export capabilities and reducing logistical bottlenecks, the logistics park will make goods more affordable and accessible, benefiting manufacturers and exporters. The policy has already attracted interest from global players, including companies from the US and Gulf countries, due to UP’s growing network of expressways, airports, and urban centers.
Recent developments, such as the issuance of Letters of Comfort to two investment proposals in Varanasi and Unnao, highlight the policy’s momentum. OWM LogiPark LLP plans a Rs 33.2 crore project on 8.9 acres in Varanasi, while KMRA Associates LLP will invest Rs 44.5 crore on 12 acres in Unnao. These projects underscore UP’s commitment to fostering logistics infrastructure.
The policy also emphasizes sustainability, with measures to reduce carbon emissions through eco-friendly transport solutions. By integrating with national initiatives like PM Gati Shakti and Bharatmala, the logistics park will enhance connectivity and support India’s goal of ranking among the top 25 countries in the World Bank’s Logistics Performance Index by 2030. India’s logistics sector, valued at $215 billion in 2020, is projected to reach $360 billion by 2032, with UP poised to lead this growth.
Disclaimer: This article is based on information from recent news reports, government announcements, and industry sources. The data is accurate as of August 2025, but readers are advised to verify details through official channels for the latest updates.