Madhya Pradesh: Agreement Inked For State’s First Multi-Modal Logistics Park At Indore; Phase 1 By 2025


The special purpose vehicle (SPV) formed for developing the multi-modal logistics park (MMLP) at Indore inked an agreement with the developer GR Infraprojects on 19 June to build and operationalise the first phase by 2025.

The first MMLP of Madhya Pradesh is being developed in an area of 255.17 acre near Pithampur in Dhar district of Madhya Pradesh.

The concession agreement was executed by GR Logistics Park (Indore) Private Limited, a wholly owned subsidiary of the GR Infraprojects which won the rights to construct MMLP Indore in February 2023.

The project is being implemented on a design, build, finance, operate and transfer (DBFOT) basis wherein the concessionaire will develop and operate the MMLP at an estimated cost of Rs 1,110.58 crore.

Under the terms of the contract, the developer will complete the project within two years from the appointed date and will operate the MMLP for 45 years.


In order to develop the logistics park, a tripartite SPV has been formed amongst the National Highways Logistics Management Limited (NHLML), Rail Vikas Nigam Limited (RVNL) and Madhya Pradesh Industrial Development Corporation (MPIDC).

The SPV will provide land for the MMLP, external rail, road connectivity as well as water and power supply. The MMLP is being provided with a four-lane access from Mhow-Neemach four lane state highway and 6.5 km long rail siding from Sagore Railway Station.

Pratul Sinha, executive director, MPIDC said, “An agreement was signed on Monday with the developer GR Logistics Park Ltd appointed with a concession period of 45 years for developing and operating the MMLP and the SPV. The project will improve logistics efficiency and multimodal connectivity for enhanced efficiency and seamless movement of goods services as envisioned under PM Gati Shakti. MMLP will create employment opportunities as well as promote the growth of industrial activities.”

Phase-Wise Development

The MMLP will be developed in three phases — Phase I is targeted to be completed in two years, that is, by 2025, leading to commercial operations.

The MMLP will cater to 12.79 million metric tonne (MMT) cargo in the horizon period of 45 years and will give huge boost to the industrial zones in the catchment region such as Indore, Ujjain, Dewas, Dhar, Pithampur, Khandwa and Barwani.

This state-of-the-art logistics park will fulfill most of its energy requirement through ‘green energy’ and is expected to generate 10,000 jobs.

Reducing Logistics Cost

MMLP is an integrated facility within which all activities relating to logistics and the distribution of goods, both for national and international transit can be carried out across multiple modes of transport.

These mega establishments are targeted to reduce logistics costs to 8-9 per cent of the gross domestic product (GDP). Currently, logistics account for 14 per cent of GDP — making India far less competitive on the global stage.

The NHLML, which is a 100 per cent owned subsidiary of the National Highway Authority of India (NHAI) is the nodal agency for implementing the MMLP projects. The foundation stone of the country’s first MMLP at Jogighopa in Assam was laid in October 2020 and is slated to be completed by December 2023.