UP, Indian Railways sign MoU to build logistics hubs

UP state government has entered into a strategic partnership with Indian Railways to establish multi-modal logistics hubs across the state, enhancing connectivity and facilitating efficient movement of goods. The MoU was signed between Invest UP, the state’s investment promotion agency and the Northern Railway’s Lucknow division. The agreement outlines the development of logistics hubs, dry ports and multi-modal parks, positioning Uttar Pradesh as a leading industrial state.  A key provision of the MoU mandates that at least one leg of transportation either raw materials or finished goods must utilise railways. This initiative promotes cost-effective and sustainable logistics, reducing dependency on road transport and minimizing carbon emissions. To incentivise private investment, Indian Railways will offer its land to logistics and warehousing investors on a 35-year lease at a concessional rate of 1.5% of the prevailing industrial or circle rate. This move aims to attract significant private sector participation in the development of logistics infrastructure. The partnership also focuses on integrating available railway land data into the Pradhan Mantri Gati Shakti National Master Plan Portal. This integration will simplify investor access to land-related information, streamlining the approval process and encouraging investment in logistics projects.