Odisha Governor flags global supply chain disruptions, calls for lower logistics costs to boost competitiveness at the 6th EC Meeting of FFFAI

Stating that global trade environment was facing major challenges due to geopolitical tensions, supply chain disruptions, rising freight costs and uncertainty in shipping routes, the Odisha Governor stressed the need for resilience, innovation and coordinated action in the logistics sector.      Addressing the 6th Executive Committee Meeting of the Federation of Freight Forwarders’ Associations in India (FFFAI) for the 2025-27 term in Puri, Kambhampati said, “The global trade environment today is passing through a challenging phase. Geopolitical tensions, supply chain disruptions, rising freight costs, war risk surcharges, container shortages, and uncertainty in international shipping routes have affected global commerce.”      He said these developments have increased pressure on governments and industries worldwide to build resilient and efficient supply chains.      “These challenges demand resilience, innovation and coordinated action from governments and industry,” he added.

Highlighting the government’s focus on logistics reforms, the Governor said the Ministry of Commerce and Industry has created a separate department dedicated to logistics, recognising the importance of reducing logistics costs in India.      “The Ministry of Commerce and Industry has opened up a separate department on logistics and it identified the cost of logistics in India is very high compared to many other countries,” he said.      “The emphasis of the Government is how the logistics cost can be reduced so that our goods will be internationally competitive,” Kambhampati said.      The Governor also appreciated the initiatives undertaken by FFFAI in areas such as skill development, digitalisation, women empowerment and youth participation in the logistics sector.      “FFFAI has taken commendable initiatives in skill development, digitalisation, women empowerment, and youth participation in the logistics sector,” he said.

The remarks come amid continued global trade uncertainties and ongoing efforts by India to strengthen logistics infrastructure, improve supply chain efficiency and enhance export competitiveness.