LEADS 2025 Report
Summary
The Union Minister of Commerce & Industry released the LEADS 2025 (Logistics Ease Across Different States) Report along with the LEAPS 2025 Awards in New Delhi. Now in its 7th edition, LEADS is the flagship annual benchmarking exercise of the Department for Promotion of Industry and Internal Trade (DPIIT) that evaluates all States and Union Territories on the quality of their logistics ecosystem.
The 2025 edition introduces a major methodological shift — moving from a 3-tier to a 4-tier classification framework (Exemplars, High Performers, Accelerators, Growth Seekers) and giving nearly 59% weightage to objective, measurable indicators instead of perception-based feedback. The report is closely aligned with the PM GatiShakti National Master Plan and the National Logistics Policy (NLP), 2022.
Background & Concept
What is the LEADS Report?
LEADS (Logistics Ease Across Different States) is an annual benchmarking exercise launched in 2018 by the Department for Promotion of Industry and Internal Trade (DPIIT) under the Ministry of Commerce & Industry. It is inspired by the World Bank’s Logistics Performance Index (LPI) but tailored to the Indian sub-national context.
The exercise assesses the performance of States and UTs in providing an enabling logistics ecosystem based on infrastructure quality, service efficiency, regulatory environment, and operational ease.
About DPIIT:
The Department for Promotion of Industry and Internal Trade (DPIIT) is a department under the Ministry of Commerce & Industry, responsible for formulating and implementing promotional and developmental measures for industrial growth, internal trade, and FDI policy. It also nodal for Startup India, Make in India, and the National Logistics Policy.
Methodology of LEADS 2025:
LEADS 2025 evaluates States and UTs on four broad pillars:
- Policy & Institutional Framework – existence of state logistics policy, single-window clearances, dedicated logistics cells.
- Infrastructure Quality – condition of roads, rail connectivity, warehousing, multimodal terminals, cold chains.
- Reliability of Services – timeliness, cargo damage rates, transit times.
- Operating Environment – ease of entry, safety, transparency, regulatory simplicity.
A key shift in 2025: about 59% of the score comes from objective, measurable data (transit times, infrastructure density, digital adoption), reducing reliance on perception surveys.
The New 4-Tier Performance Framework:
| Tier | Definition | Top Examples (LEADS 2025) |
|---|---|---|
| Exemplars | Gold-standard performers — sustained excellence across all dimensions | Tamil Nadu, Uttar Pradesh, Mizoram, Delhi |
| High Performers | Strong, consistent outcomes across most indicators | Gujarat, Kerala, Maharashtra, Telangana |
| Accelerators | Notable improvement momentum and reform-oriented trajectory | Andhra Pradesh, Odisha, Punjab, Karnataka |
| Growth Seekers | Foundational stage of logistics system development | West Bengal, Rajasthan, Sikkim |
LEAPS 2025 Awards
The Logistics Excellence, Advancement and Performance Shield (LEAPS) Awards felicitate top logistics service providers, technology innovators, and ecosystem players — recognising private-sector excellence alongside state-level performance.
Key Highlights of LEADS 2025
- Publisher: DPIIT, Ministry of Commerce & Industry.
- Edition: 7th edition; annual since 2018.
- Coverage: All States and Union Territories of India.
- Methodological Shift: From 3-tier to 4-tier classification to better capture the maturity of different logistics ecosystems.
- Objective Weightage: Nearly 59% of the score based on measurable indicators.
- Pillars Assessed: Policy & Institutional Framework, Infrastructure Quality, Reliability of Services, Operating Environment.
- Policy Linkages: PM GatiShakti National Master Plan, National Logistics Policy (NLP) 2022, Multi-Modal Logistics Parks (MMLPs).
- Companion Awards: LEAPS 2025 felicitate top-performing logistics service providers.
Implications
- Cooperative & Competitive Federalism: By benchmarking States, LEADS fosters healthy inter-state competition while encouraging best-practice sharing — a hallmark of cooperative federalism.
- Cost of Logistics: India’s logistics cost is currently estimated at ~13–14% of GDP, against a global benchmark of 8–10%. LEADS-driven reforms aim to bring this down to single digits, boosting export competitiveness.
- Ease of Doing Business (EoDB): Efficient logistics directly improve EoDB rankings and attract FDI in manufacturing, warehousing, and e-commerce.
- Boost to PM GatiShakti & NLP: Provides evidence-based feedback on which States are implementing the PM GatiShakti and NLP frameworks effectively.
- Make in India & Exports: Strong logistics ecosystems are critical for the success of PLI (Production-Linked Incentive) schemes and India’s $2 trillion export target by 2030.
- MSME & Farmer Benefits: Better warehousing, cold-chains, and last-mile connectivity reduce wastage of perishables and improve incomes of farmers and small producers.
India’s Logistics Story (Brief Context)
India is the world’s third-largest logistics market and has been steadily climbing the World Bank Logistics Performance Index (LPI) — rising to 38th rank in 2023 from 44th in 2018. The launch of the National Logistics Policy (2022), the PM GatiShakti National Master Plan (2021), and 35+ Multi-Modal Logistics Parks (MMLPs) under the Bharatmala Pariyojana form the backbone of India’s logistics transformation. The target is to reduce logistics cost to below 10% of GDP and feature in the top 25 nations on the World Bank LPI by 2030.
Keywords & Definitions
▸ LEADS (Logistics Ease Across Different States): An annual benchmarking report by DPIIT (since 2018) that ranks Indian States and UTs on the quality of their logistics ecosystem.
▸ LEAPS Awards (Logistics Excellence, Advancement and Performance Shield): Annual companion awards recognising private-sector logistics service providers and ecosystem players.
▸ DPIIT (Department for Promotion of Industry and Internal Trade): Department under the Ministry of Commerce & Industry; nodal for industrial promotion, FDI policy, Startup India, and the National Logistics Policy.
▸ PM GatiShakti National Master Plan (2021): A ₹100 lakh crore digital platform launched in October 2021 for integrated, multimodal infrastructure planning across 16 ministries.
▸ National Logistics Policy (NLP), 2022: Launched in September 2022; aims to reduce logistics cost from ~13–14% to below 10% of GDP, improve LPI ranking, and create an efficient, integrated logistics ecosystem.
▸ Multi-Modal Logistics Parks (MMLPs): Large-scale freight handling hubs integrating road, rail, and waterways under the Bharatmala Pariyojana — 35+ planned across India.
▸ Unified Logistics Interface Platform (ULIP): A digital backbone under NLP integrating 30+ systems across 10 ministries for seamless data exchange.
▸ Logistics Performance Index (LPI): A biennial benchmarking tool of the World Bank ranking countries on logistics efficiency (customs, infrastructure, shipments, services, tracking, timeliness). India ranked 38th in 2023.
▸ Bharatmala Pariyojana: Centrally-sponsored highways development programme launched in 2017, targeting ~65,000 km of national highways including Economic Corridors and MMLPs.
▸ Sagarmala Programme: Flagship programme launched in 2015 by the Ministry of Ports, Shipping & Waterways for port-led development and coastal economic zones.
▸ Inland Waterways Authority of India (IWAI): Statutory body (1986) under the Ministry of Ports, Shipping & Waterways, responsible for development and regulation of National Waterways.
▸ Cooperative Federalism: A model where the Centre and States work jointly on national priorities — LEADS and Aspirational Districts Programme are examples.
▸ Cold Chain: A temperature-controlled supply chain critical for perishables (agri-produce, vaccines, pharma).
▸ Modal Mix: The share of different transport modes (road, rail, waterways, air) in total freight movement.
▸ Make in India: A flagship initiative launched in 2014 to make India a global manufacturing hub.
▸ Production-Linked Incentive (PLI) Scheme: Sector-specific scheme providing financial incentives based on incremental sales/production to boost domestic manufacturing.
▸ Ease of Doing Business (EoDB): A measure of the regulatory environment for businesses; logistics is a critical sub-component.
▸ Green Logistics: Adoption of eco-friendly practices in logistics — electric vehicles, multimodal shifts, energy-efficient warehouses, and reduced carbon footprint.
▸ Atmanirbhar Bharat: “Self-Reliant India” vision launched in 2020 promoting indigenous manufacturing, exports, and reduced import dependence.
Question Section (MCQs)
Q1. The LEADS (Logistics Ease Across Different States) Report is published annually by which of the following bodies?
(a) NITI Aayog (b) Department for Promotion of Industry and Internal Trade (DPIIT) (c) Ministry of Ports, Shipping & Waterways (d) Reserve Bank of India
Q2. Consider the following statements regarding the LEADS 2025 Report:
- It is the 7th edition of the LEADS framework, published annually since 2018.
- It introduces a new 4-tier classification of States and UTs.
- Around 59% of the weightage is given to objective, measurable indicators.
Which of the statements given above are correct?
(a) 1 and 2 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3
Q3. In the LEADS 2025 classification, which of the following category represents the gold-standard performers with sustained excellence?
(a) High Performers (b) Accelerators (c) Exemplars (d) Growth Seekers
Q4. Which of the following States have been classified as ‘Exemplars’ in LEADS 2025?
- Tamil Nadu
- Uttar Pradesh
- West Bengal
- Delhi
Select the correct answer using the code given below:
(a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2, 3 and 4 only (d) 1, 2, 3 and 4
Q5. The PM GatiShakti National Master Plan, frequently linked with the LEADS framework, was launched in which year?
(a) 2019 (b) 2020 (c) 2021 (d) 2022
Q6. The National Logistics Policy (NLP) launched in 2022 aims to reduce India’s logistics cost to:
(a) Below 5% of GDP (b) Below 10% of GDP (c) Below 15% of GDP (d) Below 20% of GDP
Q7. Consider the following statements about the Logistics Performance Index (LPI):
- It is released biennially by the World Bank.
- India’s rank in LPI 2023 was 38.
- It assesses countries on parameters such as customs, infrastructure, and timeliness.
Which of the statements given above are correct?
(a) 1 and 2 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3
Q8. The Unified Logistics Interface Platform (ULIP), often discussed with the National Logistics Policy, is best described as:
(a) A central regulator for the trucking industry (b) A digital platform integrating data systems across ministries for seamless logistics (c) A subsidy scheme for warehouse construction (d) A grading system for cold chain operators
Q9. The LEAPS 2025 Awards, released alongside the LEADS Report, recognise:
(a) Best-performing States and Union Territories (b) Top-performing logistics service providers and ecosystem players (c) Best agricultural exporters (d) Top digital payment platforms in India
Q10. Match the following programmes with their nodal Ministry/Department:
| Programme | Nodal Body |
|---|---|
| A. LEADS | 1. Ministry of Ports, Shipping & Waterways |
| B. Sagarmala | 2. DPIIT, Ministry of Commerce & Industry |
| C. Bharatmala | 3. Ministry of Road Transport & Highways |
| D. PM GatiShakti | 4. Department for Promotion of Industry and Internal Trade (lead coordination via cabinet secretariat) |
Select the correct answer:
(a) A-2, B-1, C-3, D-4 (b) A-1, B-2, C-3, D-4 (c) A-2, B-3, C-1, D-4 (d) A-4, B-1, C-3, D-2
Answer Key with Explanations
▸ Q1 → (b) The LEADS Report is published annually by the Department for Promotion of Industry and Internal Trade (DPIIT) under the Ministry of Commerce & Industry. It has been published every year since 2018.
▸ Q2 → (d) 1, 2 and 3 All three statements are correct — LEADS 2025 is the 7th edition, introduces a 4-tier classification, and gives roughly 59% weightage to objective indicators.
▸ Q3 → (c) Exemplars ‘Exemplars’ is the top tier in the new 4-tier framework — representing States with sustained excellence across policy, infrastructure, and regulatory dimensions (e.g., Tamil Nadu, Uttar Pradesh, Mizoram, Delhi).
▸ Q4 → (b) 1, 2 and 4 only Tamil Nadu, Uttar Pradesh, and Delhi (along with Mizoram) are classified as Exemplars. West Bengal is classified as a Growth Seeker, not an Exemplar.
▸ Q5 → (c) 2021 The PM GatiShakti National Master Plan was launched in October 2021 as a ₹100 lakh crore digital platform for integrated, multimodal infrastructure planning across 16 ministries.
▸ Q6 → (b) Below 10% of GDP The National Logistics Policy (NLP), 2022 aims to reduce India’s logistics cost from the current ~13–14% of GDP to below 10%, bringing it closer to the global benchmark of 8–10%.
▸ Q7 → (d) 1, 2 and 3 All three statements are correct. The Logistics Performance Index (LPI) is released biennially by the World Bank, India ranked 38th in 2023, and the index assesses six parameters — customs, infrastructure, international shipments, logistics quality, tracking, and timeliness.
▸ Q8 → (b) The Unified Logistics Interface Platform (ULIP) is a digital backbone under the National Logistics Policy that integrates 30+ data systems across 10+ ministries to provide seamless and real-time information exchange in logistics.
▸ Q9 → (b) The LEAPS (Logistics Excellence, Advancement and Performance Shield) Awards recognise top-performing logistics service providers, technology innovators, and ecosystem players — complementing the State-level LEADS rankings.
▸ Q10 → (a) A-2, B-1, C-3, D-4 LEADS — DPIIT (Ministry of Commerce & Industry); Sagarmala — Ministry of Ports, Shipping & Waterways; Bharatmala — Ministry of Road Transport & Highways; PM GatiShakti — coordinated through DPIIT/Cabinet Secretariat for inter-ministerial integration.