What is Uttarakhand State Logistic Policy 2025?

The Uttarakhand State Logistics Policy is a plan by the Uttarakhand government to improve how goods are transported within and outside the state. The main goal is to make the movement of goods faster, cheaper, and more efficient while reducing pollution and traffic congestion.

Key Points:

1. Better Roads & Transport – Improving highways, railways, and waterways so goods can move smoothly.
2. Logistics Hubs & Warehouses – Setting up storage and distribution centers in key locations to make deliveries quicker.
3. Technology Use – Encouraging digital tracking systems and automation to manage supply chains better.
4. Eco-Friendly Solutions – Promoting electric vehicles, reducing fuel use, and ensuring sustainable logistics practices.
5. Support for Businesses – Helping local businesses and industries by cutting transportation costs and delays.
6. Investment & Jobs – Attracting private companies to invest in logistics infrastructure, creating new jobs.
7. Linking to National Networks – Connecting Uttarakhand’s transport system with national highways and railway corridors for better trade opportunities.

Note: To write this data we have taken reference from Uttarakhand’s Official State Logistic Policy. Some Terms used in this Data is also driven from State Logistic Policy.

Uttarakhand State Logistic Policy 2025 – Preamble

Uttarakhand is a state in northern India, located at the foothills of the Himalayas. It shares international borders with China (Tibet) to the north and Nepal to the east. Within India, it is bordered by Himachal Pradesh to the west and Uttar Pradesh to the south. The state’s location near the National Capital Region (NCR) provides easy access to major markets and raw materials. 

Rich in Natural Resources & Export Potential

Uttarakhand is known for its abundant natural resources and has great potential for exports in industries such as: 

• Organic farming & processed foods
• Aromatic & medicinal plants
• Pharmaceuticals & health supplements (nutraceuticals)
• Tourism & wellness services

Industrial Growth & Investment-Friendly Policies

Since its creation in 2000, Uttarakhand has seen Rapid Industrial Growth due to supportive government policies. The State Industrial Development Corporation (SIIDCUL) has developed world-class industrial infrastructure and private industrial estates have also been encouraged. As a result, Uttarakhand has become an attractive destination for businesses and investors. 

Strong Economic Growth

• State’s Economy (GSDP) Growth: Grew at a rate of 48% per year over the last five years (2015-2020).
• Impact of COVID-19: The economy slowed down in 2020-21, but is expected to recover soon.
• Foreign Investment (FDI): Increased 10 times in two years, from ₹80.7 Cr in 2019 to ₹918 Cr in 2021.
• Exports Growth: Uttarakhand’s exports grew at 38% per year between 2014-2021, reaching $2.14 billion.

Business-Friendly State

• Ranked 11th in India’s Ease of Doing Business ranking (by DPIIT & World Bank).
• Top Performer in the Himalayan States category in the Export Preparedness Index (EPI) 2020 (NITI Aayog).
• Recognized for its business-friendly environment, strong infrastructure, and export potential.

Simplified Explanation of Uttarakhand’s Logistics Policy

The Uttarakhand Logistics Policy aims to improve the transportation, storage, and management of goods in the state. It focuses on better infrastructure, eco-friendly solutions, and efficient handling of cargo. Here’s a breakdown in simple terms:

1. Logistics Services Under Uttarakhand’s Logistics Policy

• Cargo handling & storage – Proper facilities for storing and managing goods during transportation.
• Efficient movement – Services for sorting, distributing, and transferring goods across different transport modes.
• Business & commercial spaces – Creating logistics hubs with all necessary facilities.

2. Eco-Friendly (Green) Logistics Under Uttarakhand’s Logistics Policy

• Eco-friendly transport – Using electric or low-emission vehicles.
• Recycling & waste management – Scientific disposal and use of biodegradable materials.
• Renewable energy – Solar power and other clean energy solutions.

3. Infrastructure Development Under Uttarakhand’s Logistics Policy

• Roads & communication – Smooth transport and better connectivity.
• Water & drainage systems – Ensuring proper waste management.
• Solar power & green spaces – Sustainable energy and environment-friendly logistics parks.

4. Inland Container Depots (ICD) Under Uttarakhand’s Logistics Policy

• Large storage & transport hubs (minimum 18 acres) – Facilities for handling international imports and exports, linked to railways, roads, and ports.

5. Air Cargo Complexes Under Uttarakhand’s Logistics Policy

• Better air cargo facilities – Located at airports or nearby areas to handle, store, and clear goods quickly.

6. Warehousing Facilities Under Uttarakhand’s Logistics Policy

• Large warehouses (minimum 10,000 sq. ft.) – Storage spaces with automated systems to improve efficiency.

7. Cold Chain Facilities Under Uttarakhand’s Logistics Policy

• Storage for perishable goods (minimum 5,000 sq. ft.) – Special storage for fruits, vegetables, dairy, meat, fish, and medicines.
• Advanced storage technologies – Quick freezing, temperature control, and mobile cooling vans.

8. Truck Terminals Under Uttarakhand’s Logistics Policy

Facilities for truck drivers & transport companies (minimum 5,000 sq. ft.) – These include:

• Parking & loading/unloading areas.
• Repair shops, fuel stations, and ATMs.
• Rest areas and food services for drivers.

9. Logistics Parks Under Uttarakhand’s Logistics Policy

• Large industrial areas (minimum 10 acres) – Built through Private/Public partnerships to improve goods transport and business operations.

10. Support for Transport Businesses Under Uttarakhand’s Logistics Policy

• Truck owners and fleet operators can get benefits if they buy at least 3 trucks (small, medium, or large).

11. Business Expansion Under Uttarakhand’s Logistics Policy

• Companies can expand their business if they increase investment in buildings, plants, or machinery by at least 25%.

12. Project Costs Under Uttarakhand’s Logistics Policy

• The cost includes land, factory buildings, and machinery but excludes working capital.

This Uttarakhand’s Logistics Policy aims to make Uttarakhand a logistics hub by improving storage, transport, and eco-friendly practices while supporting businesses and investment.

Uttarakhand Logistics Policy: Vision & Objectives in Simple Terms

1. Vision

The government aims to build a modern logistics system in Uttarakhand that is:

• Well-connected – Efficient movement of goods across the state.
• Cost-effective – Reducing transport costs for businesses.
• Eco-friendly – Using green and sustainable logistics practices.
• Technology-driven – Using new technologies for better efficiency.
• Business-friendly – Encouraging investment and job creation.

The goal is to create a Hub-and-Spoke logistics model that connects hilly areas with non-hilly regions, making it easier for goods to move across Uttarakhand and beyond.

2. Objectives

Make logistics easier & faster

1. The government wants to simplify rules and processes so that businesses can operate smoothly.

1. • Improve logistics infrastructure
   • Building new warehouses, cold storage, transport hubs, and rail-road connections to speed up the movement of goods.
2. Create a strong logistics network across the state
   • Connecting hills and plains to ensure smooth transportation of goods, helping businesses and local industries.
3. Promote green and sustainable logistics
   • Encouraging eco-friendly transport, renewable energy, and waste management in the logistics sector.
4. Encourage private investment
   • Attracting private companies and investors to set up logistics facilities in Uttarakhand.
5. Provide incentives for logistics companies
   • Offering financial and government support to businesses investing in logistics.
6. Support existing and new logistics operators
   • Helping both new and existing companies grow and improve their operations.
7. Collaborate with national & global organizations
   • Working with government and international agencies to improve Uttarakhand’s logistics industry.
8. Create a long-term logistics development plan
   • A well-structured plan to continuously improve logistics in the state with clear guidelines and policies.

By implementing this policy, Uttarakhand aims to boost trade, create jobs, and make the state a key logistics hub in India.

Strategies under Uttarakhand’s State Logistic Policy

1. Making Logistics Simple & Efficient

• The government will map logistics facilities across the state to find areas that need improvement.
• Identify problems in existing transport & logistics networks (like road and rail).
• Plan for future needs like better railways, airports, and logistics hubs.
• Follow guidelines from key industrial policies to support logistics growth.

2. Building & Improving Logistics Infrastructure

• Improve the use of existing logistics facilities (warehouses, cold storage, transport hubs) owned by private companies and the government.
• Evaluate how well current facilities are working and suggest ways to improve them.
• Work with stakeholders (businesses, transport companies, etc.) to make logistics more efficient.

3. Promoting Green & Smart Logistics

• The government will build an eco-friendly transport system by:
  • Using electric & hybrid vehicles for transport.
  • Reducing carbon emissions and waste.
  • Promoting recycling & renewable energy in logistics.
• Introduce smart systems at checkpoints to speed up cargo movement.
• Set up “Green Channels” for quick clearance of international (EXIM) and defense cargo.

4. Encouraging Private Investment in Logistics

• Promote Public-Private Partnerships (PPP) for logistics projects.
• Build better storage & handling facilities for key industries like pharmaceuticals, e-commerce, and agriculture.
• Improve air cargo infrastructure by identifying key locations for air freight stations & cargo terminals.
• Support e-commerce growth by setting up hubs near high-demand areas to reduce traffic congestion.
• Develop truck terminals, driver rest areas, and parking spaces along highways and industrial zones. This will:
  • Reduce traffic congestion in cities.
  • Provide safe waiting areas for trucks during restricted city hours.
  • Ensure better repair & maintenance facilities for trucks.

This policy aims to make Uttarakhand a top logistics hub, making logistics faster, cheaper, and more efficient while keeping it eco-friendly and business-friendly!

5. Encouraging Technology & Innovation in Logistics

• The Uttarakhand government will offer financial and non-financial incentives to logistics companies to help them grow.
• New technologies will be promoted to make logistics faster, more efficient, and cost-effective:
  • Robots & Automation for handling goods and reducing congestion at logistics hubs.
  • Blockchain for safe and transparent digital transactions and document exchange.
  • Digital Twin Technology for testing new layouts and machinery in a virtual environment.
  • Artificial Intelligence (AI) for better planning of transport routes, demand forecasting, and reducing errors.
• To promote innovation, the government will:
  • Encourage start-ups and companies to develop new logistics technologies.
  • Provide incentives for patent registrations of new logistics solutions.
  • Introduce annual awards for the best technological innovations in logistics.
• Special incentives will be provided for important new technology projects, as decided by the State Level Empowered Committee (SLEC).

6. Making Logistics Business Easier in Uttarakhand

• Uttarakhand is one of the top states in India for ease of doing business.
• The government aims to simplify the process of setting up logistics businesses by:
  • Reducing paperwork and approvals needed.
  • Digitizing processes so companies can apply, pay, track, and receive approvals online.
  • Using a Single Window System for all logistics-related approvals to speed up clearances.
  • Ensuring quick approvals by following fixed timelines.

7. Collaborating with National & Global Agencies

• The government will help businesses find export markets by connecting with trade centers in foreign embassies.
• Uttarakhand will use central government schemes like:
  • Trade Infrastructure for Export Scheme (TIES)
  • Micro & Small Enterprises Cluster Development Program (MSE-CDP)
• Partnerships will be established with export and logistics organizations like FIEO, IIFT, EEPC, SEPC, ECGC, and Tea Board.
• The government will set up camp offices of export councils in the state to assist businesses.

8. A Comprehensive Plan for Uttarakhand’s Logistics

1. To improve logistics in the state, the government will focus on four key areas:
   • Driver Welfare & Employment
     • Dedicated parking spaces and rest areas for truck drivers along highways.
     • Training programs to upgrade driver skills.
     • Highway rest centers with basic amenities for drivers.
     • Health & safety schemes for truck drivers.
2. Warehousing
   • Easier land approvals for setting up warehouses.
   • Relaxation of building regulations (like floor area ratio and height restrictions) for warehouses.
   • Single Window System for quick warehouse approvals.
   • Creation of an online warehouse directory for businesses.
3. Smart Road Enforcement
   • Reduce unnecessary truck inspections and stoppages on roads.
   • Identify and remove bottlenecks in truck movement.
   • Use smart technologies like:
     • CCTV cameras & WiFi for remote monitoring.
     • GPS tracking & FASTag integration for smooth transport operations.
     • Simplified road enforcement processes to make transport more efficient.
4. City Logistics & Last-Mile Delivery
   • Develop logistics parks with parking & warehouses near cities.
   • Improve transport and traffic planning for smooth last-mile deliveries.
   • Identify peri-urban areas for setting up e-commerce hubs to reduce city congestion.
   • Encourage eco-friendly transport options for moving goods.

Why to Invest in Uttarakhand?

1. Industrial Corridors

• Uttarakhand has a strategic location near Delhi NCR and is part of two big industrial corridors:
  • Amritsar-Kolkata Industrial Corridor (AKIC)
  • Delhi-Mumbai Industrial Corridor (DMIC)
• These corridors will boost infrastructure and support logistics activities in the state.

2. Improving Warehousing, Storage & Air Cargo Facilities

• To make logistics faster and more efficient, the government will:
  • Set up new dry ports (ICDs) in Haridwar and other industrial areas to improve cargo storage and customs clearance.
  • Develop a Land Customs Station (LCS) at Banbasa, Champawat, in partnership with the Land Port Authority of India (LPAI).
  • Upgrade existing ICDs at Kashipur and Pantnagar.
  • Improve Jolly Grant Airport’s cargo setup and develop a new cargo terminal at Pantnagar airport with cold storage.
  • Increase flight connectivity by introducing new flights to metro cities.
  • Improve roads and highways in industrial areas to make cargo movement smoother and reduce costs.
  • Expand rail connectivity across Uttarakhand.
  • Speed up major infrastructure projects, including:
• Rishikesh-Karnaprayag Rail Project
• All-Weather Char Dham Road Project
• Bharatmala Road Project

3. Industry Status for Logistics Sector

• Warehousing and logistics businesses that meet Government of India’s Infrastructure Status conditions will be given ‘Industry’ status in Uttarakhand.

4. Strengthening Dry Ports

• The government will expand dry ports and Inland Container Depots (ICDs) in high-business areas to improve trade.

5. Building More Storage Facilities

• The state will set up storage units in every district, focusing on supporting MSMEs and farmers.

6. Establishing Logistics Parks

• Logistics Parks will be developed with better infrastructure and transport facilities, supported by SIIDCUL (State Industrial Development Corporation).

7. Multi-Modal Logistics Park (MMLP)

• Uttarakhand is home to one of India’s seven MMLPs under the Sagarmala Program.
• This 38-acre logistics park in Pantnagar is already operational for domestic trade and will soon support international trade.
• The park serves major industrial areas like Rudrapur, Kashipur, Kichha, and Khatima and is connected to rail networks.

8. Public-Private Partnership (PPP)

• The state will encourage private companies to invest in and develop modern logistics facilities.

9. Skill Development for the Logistics Sector

• The Uttarakhand Skill Development Mission will introduce logistics courses to train skilled workers for the growing industry.

Why Invest in Uttarakhand?

• Prime location near Delhi NCR
• Strong industrial corridors & transport networks
• New logistics & cargo facilities
• Government support & incentives
• Public-private investment opportunities
• Skilled workforce for logistics.

Policy Implementation

1. Policy Duration

• The policy starts from the date of notification and will be valid for 5 years.
• After 2 years, the policy will be reviewed, and changes will be made if needed.

2. Who Can Apply?

• The following types of businesses can apply for incentives under this policy:
  • Proprietorships
  • Partnership firms
  • Cooperative societies
  • Companies
  • Trusts
  • Non-Government Organizations (NGOs)

3. Who Cannot Apply?

• State and Central Government departments are not eligible for incentives under this policy.

4. No Double Benefits

• If a unit has already received an incentive for the same asset under another state government scheme, it cannot apply for incentives under this policy.

5. Expanding an Existing Business

• As per the Uttarakhand MSME Guidelines (2015, amended 2020), an existing unit can get incentives if it increases its fixed capital investment.

6. Policy Changes

• The government may modify this policy when needed and notify the updates.

7. Committed Incentives Will Not Be Withdrawn

• If a unit has already been promised incentives under this policy, it will continue to receive them, even if the policy changes later.

8. Business Must Be Based in Uttarakhand

• To receive benefits, the unit’s billing address must be in Uttarakhand for both capital and operational expenses.

9. No Multiple Benefits

• If a unit has already received benefits from another Uttarakhand State policy, it cannot apply for incentives under this policy unless specifically allowed.

10. Extra Financial Support

• The financial assistance under this policy will be in addition to any benefits received from Government of India schemes.

Logistic Institutional Setup

1. State Logistic Cell

• To improve the logistics sector in Uttarakhand, the government will set up a State Logistics Cell and a State Logistics Coordination Committee.
  • The Secretary of Industrial Development will be the main officer responsible for developing the sector.
  • The Logistics Cell will track performance, analyze data, and help in better planning for future logistics projects.
  • It will also monitor available resources, such as warehouses, transport facilities, and infrastructure, to ensure efficient growth.

It is also proposed that a city logistics coordination committee would be constituted for key cities (to begin with) like Dehradun, Haridwar, Udham Singh Nagar, Haldwani, etc., involving municipal corporations, district authorities, etc., with the prime objective to improve urban freight efficiency and ease cargo movement and reduce bottlenecks.

Incentives for Logistic Units & Parks

Policy Vision & Strategy

Uttarakhand’s geography make logistics challenging, so this policy focuses on creating a “Hub-and-Spoke” model to improve transportation and storage across the state.

Hub-and-Spoke Model Explained

• Hubs (Level 1): These are key districts with strong infrastructure for logistics.
  • Locations: Haridwar, Dehradun, Udham Singh Nagar, & Nainital
  • Facilities Expected
    • Air Cargo Complexes
    • Inland Container Deports (ICD)
    • Warehouses & Cold Storage
    • Large Truck Terminals
    • Logistics Park
    • Fleet Operators & Aggregators
  • Medium Spokes (Level 2): Locations 75 Km or More from Level 1 hubs.
  • Small Spokes (Level 3): Location 50Km or more from Level 2 hubs.

Strategic Locations for Development

• Other Locations may be added based on:
  • Infrastructure availability (like roads and railways)
  • Land Availability
  • State Requirements for logistic Growth

Note: 1. These incentives will apply to all new and existing industries / logistic units and those units that undergo expansion, Government of Uttarakhand will regularly review the progress of this policy and take necessary steps to make it more effective and result-oriented

2. Over and above, all categories of incentives –

• Skill development Incentive (For new logistic provider- general or special)
• (Training Period (Min – 1 Month & Max – 3 Months)
• One-time support of INR 25,000/- or actual cost of training per person whichever is lower, upto max of 100 Employees to be claimed within a period of 2 Years from the starting date of Operations.
• Skill Development Institution to be accredited under NSDC/ UGC/ Government/AICTE.

Release of Incentive (Process)

Note: Post Notification of this Policy, Guidelines shall be issued for further implementation structure as applicable. The sanctity of this policy document shall prevail across the entire period of Policy applicability