- Definition: A rail, road, ship, airplane based inter-modal traffic handling complex.
- Comprises container terminals, bulk cargo terminals, warehouses, banking, office space.
- Facilities for mechanized handling, sorting/grading, cold chain, aggregation/desegregation.
- Improvement in Supply Chain Efficiency:
- Reduces logistics costs (currently 18% of product cost in India).
- Serves four functionalities: Freight aggregation/distribution, Multi Modal freight transportation, Storage/Warehousing, Value-added services.
- Helps transition from point-to-point freight movement to hub and spoke model.
- Reduces transportation costs by using right mode.
- Reduces transit time, lowering inventory cost.
- Helps optimal utilization of assets (rail, roads, warehouses).