August25 , 2026

    Delhi unveils groundbreaking city logistics policy to revolutionize freight transport

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    Delhi, the bustling capital city of India, recently welcomed the draft of a pioneering city logistics policy aimed at transforming freight transportation, tackling congestion, and bolstering economic prosperity. Crafted by the Industries Department, the policy encompasses a wide array of recommendations covering regulatory frameworks, land-use planning, infrastructure enhancements, operational improvements, and extensive technology integration.

    Focusing on vital sectors such as fruits and vegetables, textiles, and construction materials, the policy targets Delhi’s crucial role in trade and distribution. With the draft policy accessible for public feedback, it acknowledges the city’s challenges stemming from high population density and rapid urbanization.

    The policy identifies key issues affecting businesses and proposes micro and macro changes based on exhaustive research conducted by the Delhi Integrated Multi-Modal Transit System (DIMTS).

    Recommendations span policy enhancements, regulatory frameworks, infrastructure improvements, and capacity-building initiatives.

    Key suggestions include enhancing vehicular circulation, eliminating encroachments, establishing integrated freight data platforms, promoting logistics service aggregators, and relocating logistics infrastructure. The policy envisions the creation of freight villages along major highways, micro-delivery hubs, and the relocation of logistics facilities, strongly emphasizing fire safety infrastructure and amenities for drivers and support staff.

    Delhi’s substantial trade sector, witnessing a remarkable annual growth of 22 percent, underscores the urgent need for an efficient and sustainable logistics system. By making the policy publicly available, the government seeks input from traders, transporters, and logistic agencies, fostering a collaborative and inclusive approach to shaping the city’s logistics future.

    Furthermore, the policy aims to decongest Delhi by establishing a network of freight villages and microdelivery hubs while relocating logistics infrastructure to the city’s periphery. With approximately 1.93 lakh vehicles entering and leaving Delhi on a daily basis, and an estimated increase to about 5.13 lakh trucks by 2042, the need for such measures is evident.

    The draft ‘City Logistics Policy’ has been released by the Industries Department for stakeholder feedback before finalization and notification. It recommends setting up urban consolidation and logistics distribution centers (UCLDCs) or freight villages along key highways, equipped with modern facilities for handling, storage, sorting, and distribution of goods.

    Furthermore, the policy proposes the development of micro-delivery hubs across the city to cater to the growing e-commerce operations, aiming to enhance last-mile deliveries and streamline urban freight transportation. These hubs will offer storage, last-mile distribution, parking infrastructure, and EV charging stations, integrated into local shopping centers, community centers, district centers, and shopping malls.

    Delhi’s ambitious city logistics policy heralds a new era of efficiency, sustainability, and innovation in freight transportation, positioning the city as a leader in supply chain and logistics network optimization.