ADB-Funded SMILE Program to Boost India’s Logistics Efficiency, Cut Costs, and Strengthen Multimodal Infrastructure

 It supports the implementation of the National Logistics Policy and PM Gati Shakti National Master Plan by strengthening multimodal logistics, standardizing warehousing, and promoting digitalization in trade logistics.

The SMILE program aims to establish and operationalize a comprehensive policy framework to enhance logistics efficiency through (i) strengthening the institutional bases for multimodal logistics infrastructure development at the National, State, and City levels; (ii) standardizing warehousing and other logistics assets to strengthen supply chains and incentivize greater private sector investment; (iii) improving efficiencies in external trade logistics; and (iv) adopting smart systems for efficient and low-emission logistics. These would improve resilience of supply chains, especially for India’s manufacturing sector.

The SMILE Program is designed to study and identify policy, infrastructure, and digital interventions in various processes which are helpful in improving India’s competitiveness in Logistics Performance Index and resultantly increased job opportunities.

The SMILE program includes dedicated measures for gender inclusion. The program also aims to develop a mechanism for gender audit of land ports as part of the “gender inclusion in trade” mandate of the National Trade Facilitation Action Plan (2020-23), and assess operational integrated check posts in the country and ensure they satisfy minimum requirements of gender responsiveness.

The SMILE Program aligns with the Atmanirbhar Bharat (Self-Reliant India) initiative by strengthening domestic manufacturing, improving logistics efficiency, and enabling better integration into global trade network. This would enhance the competitiveness of Indian industries, reduce dependencies on inefficient logistics, and support the vision of making India a global manufacturing and supply chain hub. By fostering private investment and digital transformation, the program contributes to long-term economic resilience and growth.

This information was given by the Minister of State for Ministry of Commerce & Industry, Shri Jitin Prasada, in a written reply in the Rajya Sabha on Friday.(28 Mar ’25)