Logistics Port Performance Index (LPPI) for FY 2024-25
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Logistics Port Performance Index (LPPI) for FY 2024-25

SYLLABUS

GS-2: Government Policies and Interventions for Development in various sectors and Issues arising out of their Design and Implementation.

GS-3: Infrastructure: Energy, Ports, etc.

Context: The Union Ministry of Ports, Shipping and Waterways (MoPSW) recently released the Logistics Port Performance Index (LPPI) for FY 2024–25, as a national benchmarking framework to assess and improve the operational efficiency and logistics performance of Indian ports.

More on the News

  • The LPPI was launched by the Union Minister of MoPSW along with a set of maritime digital reforms aimed at improving governance, transparency, and ease of doing business in India’s shipping and logistics ecosystem.
  • Alongside the index, the government launched four key digital initiatives:
    • e-Samudra for online ship-registration services,
    • e-Navik 24×7 Grievance Redressal Module,
    • Digital Medical Practitioner Module, and
    • Ship Recycling Credit Portal.
  • The initiative aligns with broader maritime-sector reforms under: Maritime India Vision 2030, Sagarmala Programme, and PM Gati Shakti National Master Plan, which seek to improve logistics efficiency, multimodal connectivity, and port-led economic development.

About Logistics Port Performance Index (LPPI)

  • The Logistics Port Performance Index (LPPI), also known as Sagar Ankalan, is an indigenous performance-assessment and benchmarking framework developed by the Ministry of Ports, Shipping and Waterways to evaluate the efficiency, productivity, and logistics performance of Indian ports.
  • The index seeks to promote operational efficiency, transparency, competitiveness, service-quality improvement, and adoption of best practices across ports.
  • LPPI evaluates ports across three major cargo segments:
    • Dry Bulk Cargo,
    • Liquid Bulk Cargo,
    • Container Cargo.
  • The assessment is based on key performance indicators such as vessel turnaround time, pre-berthing detention time, berth productivity, cargo-handling efficiency, evacuation performance, and overall logistics integration.

Key Highlights of LPPI FY 2024–25

  • Cargo-Segment Wise Rankings
    • Paradip Port Authority secured the top position in the Dry Bulk Cargo category.
    • Sikka Port and Terminals emerged as the leading performer in the Liquid Bulk Cargo segment.
    • Mundra Port ranked first in the Container Cargo category, reflecting its position as India’s largest container-handling port.
    • Jawaharlal Nehru Port Authority (JNPA) secured the second position among major container ports, highlighting its continued importance as India’s leading major container port.
  • Improvement in Port Performance
    • India’s major ports handled around 855 million tonnes of cargo during FY 2024–25, reflecting sustained growth in maritime trade and logistics activity.
    • Key operational indicators showed substantial improvement:
      • Average Turnaround Time (TRT) reduced to about 49.5 hours, compared to around 96 hours in FY 2014–15.
      • Pre-Berthing Detention (PBD) declined to around 3.8 hours.
      • Output per Ship Berth Day (OSBD) increased to about 18,304 tonnes.

Significance of LPPI

  • Enhancing Logistics Competitiveness: Efficient port operations reduce logistics costs, improve cargo movement, and strengthen India’s integration with global value chains.
  • Improving Ease of Doing Business: Benchmarking port performance and introducing digital governance reforms help reduce delays, improve transparency, and facilitate smoother trade operations.
  • Supporting Port-Led Economic Development: The LPPI complements flagship initiatives such as Sagarmala and PM Gati Shakti by improving multimodal connectivity and logistics efficiency.
  • Strengthening India’s Maritime Position: Improved operational performance, higher cargo-handling capacity, and globally competitive port infrastructure can enhance India’s standing in international trade and maritime logistics networks.
  • Promoting Performance-Driven Governance: By linking rankings with measurable efficiency indicators, the LPPI encourages accountability, continuous improvement, and adoption of global best practices across Indian ports.

SOURCES
The Hindu
PIB
moneycontrol

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