Delhi to unveil Logistics Policy 2025 to ease traffic and cut pollution

Delhi is gearing up for a major overhaul of its freight and supply chain network, with the government preparing to launch its 'Logistics and Warehousing Policy 2025', a move aimed at decongesting the city, reducing pollution, and improving trade efficiency, The Times of India reported.

The draft policy envisions a city where dedicated logistics hubs, green freight corridors, and technology-driven solutions streamline goods movement. Delhi currently handles 10 lakh tonnes of freight daily through 1.93 lakh vehicles, nearly a fifth of which are merely passing through. Trucks transporting building materials, textiles, fruits and vegetables, and food products dominate freight movement, while even pharmaceuticals and automobiles contribute to the daily gridlock. The absence of organized warehousing zones forces these vehicles into the heart of the city, clogging arterial roads and worsening air quality.

Industries minister Manjinder Singh Sirsa said the draft aims to change that by relocating warehouses to the city's periphery and consolidating freight at modern Urban Consolidation and Logistics Distribution Centres (UCLDCs). "These measures will cut vehicular emissions and reduce congestion at hotspots like Azadpur, Ghazipur, Naraina and Karol Bagh, delivering a significant win for air quality," he told TOI. Last-mile deliveries, he added, would increasingly be shifted to electric and CNG vehicles.


The policy is anchored around 16 key action points, with measures such as 24/7 operations at logistics parks (enabled through amendments to the Model Shops Act), a digital delivery management system, and designated commercial parking areas with loading bays developed under the PPP model. UCLDCs will consolidate cargo to reduce trips, while clean fuel vehicles will ensure sustainable last-mile delivery.

Sirsa said the policy also addresses chronic bottlenecks like truck parking shortages and outdated freight handling, paving the way for an efficient, eco-friendly supply chain. To support industry players, it proposes subsidies and incentives, including land lease discounts for traders relocating warehouses out of congested zones, financial aid for upgrading cold chains and storage facilities, and green energy incentives such as solar-powered warehouses and energy-efficient designs.

Developed by the Department of Industries, the policy ties into the National Logistics Policy, integrating advanced technology and regulatory reforms to transform Delhi’s logistics landscape. If implemented effectively, it could reshape how goods move in the capital, easing traffic and cutting pollution while making business operations smoother.

With inputs from ToI