CWC to drive India’s logistics cost reduction under national plan
The government has set an ambitious target to lower logistics costs from the current 13-14 percent to global standards of around 8 percent, with the Central Warehousing Corporation (CWC) playing a pivotal role in this transformation. Speaking at CWC’s 69th Foundation Day, Food Minister Pralhad Joshi highlighted the organization’s contribution towards streamlining supply chains under the National Logistics Policy and PM Gati Shakti Programme.
As a leading warehousing entity, CWC is expected to enhance infrastructure and operational efficiency to align with the government’s cost-reduction goals. Established in 1957, CWC has evolved into a key logistics service provider, operating over 700 warehouses with a total storage capacity of 148.29 lakh metric tonnes. Joshi emphasized that CWC’s modernisation efforts, combined with private sector participation and technological advancements, will bolster India’s logistics sector under the Atmanirbhar Bharat initiative.
He also lauded the corporation’s asset monetisation strategy, which has successfully generated ₹820 crore from 18 locations, enhancing infrastructure investment. With the rapid expansion of e-commerce and a strong focus on infrastructure development, warehousing and logistics are increasingly being recognized as major economic growth drivers.
Joshi underscored CWC’s critical role in supporting government initiatives such as the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) and Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA), ensuring the seamless storage and transportation of essential commodities like food grains, pulses, cotton, and groundnuts.
Ministers of State for Food and Consumer Affairs, BL Verma and Nimuben Jayantibhai Bambhaniya, also reaffirmed CWC’s commitment to national food security by strengthening warehousing capabilities. CWC Managing Director Santosh Sinha outlined plans for modernising traditional warehouses in Tier-I and Tier-II cities, expanding cold storage facilities through public-private partnerships, and fostering collaborations with industry stakeholders.
He noted that during 2024-25, CWC has added over 120 lakh square feet of storage capacity, facilitating the storage of 70 lakh cotton bales and 1.90 crore bags of groundnuts in the current season. As the government accelerates its push for logistics efficiency, CWC’s role in infrastructure development, digital transformation, and operational enhancement will be crucial in achieving long-term cost reductions and strengthening India’s supply chain ecosystem.
