Trucks move faster, costs fall thanks to GST: Eco Survey
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New Delhi: The Goods and Services Tax (GST) has played a remarkable role in bringing down the country’s logistics cost, Economic Survey on Monday said. The ‘One Nation, One Tax’ regime has ensured that trucks do not have to wait for hours on state borders, which has brought down the travel time by up to 30 per cent.
“This has reduced the logistics cost and increased the average distance trucks travel from 225 km before GST to 300-325 km,” the Economic Survey 2023-24 tabled in Parliament said. This has been a great value, adding to the ease of doing business and the growth of manufacturing in the country, it added.
The National Council of Applied Economic Research (NCAER) study of December last year has shown that the logistics cost in the economy has declined 0.8 to 0.9 percentage points of GDP between FY14 and FY22.
