India plans to reduce its logistics costs to a single-digit percentage of GDP within the next five years, Union Road Transport and Highways Minister Nitin Gadkari announced during the 'Deloitte Government Summit.' He emphasised that the ongoing construction of highways and expressways will play a crucial role in achieving this goal.

Currently, logistics costs in India range from 7.8% to 8.9% of GDP, according to the National Council of Applied Economic Research (NCAER). Lowering these costs is expected to boost economic efficiency and improve the nation's global competitiveness.

Gadkari also outlined his vision for India's automobile industry, aiming to make it the largest globally. India, now the third-largest automobile market after the U.S. and China, has seen the industry's value jump from Rs 7.5 trillion in 2014 to Rs 22 trillion in 2024.

In his broader economic outlook, Gadkari stressed the importance of increasing farmers' purchasing power to drive growth and advocated for boosting exports while reducing imports. He also called for the development of 'smart villages' alongside smart cities.

Gadkari further underscored the importance of performance audits over financial audits in organisations to enhance efficiency and productivity. These initiatives form part of India's strategy to solidify its position as a leading global economy. (ET)