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Tech-Enabled Intra-City Logistics Can Cut Costs and Boost Efficiency for MSMEs: IIT Delhi–CDEPR Report

January 21, 2026 4 min read
author Anamika Mishra, Sub Editor
The Centre for Digital Economy Policy Research, in partnership with IIT Delhi, has released a report analysing how technology-enabled intra-city logistics can help reduce costs and improve operational efficiency for Micro, Small and Medium Enterprises (MSMEs). Titled ‘Study of Technology-Enabled Intra-City Logistics for MSMEs’, the report was launched on January 16 at the India Habitat Centre in New Delhi. The study evaluates the role of digital goods transportation services in supporting the daily business needs of MSMEs by addressing key challenges such as high transportation costs, inconsistent vehicle availability and delays in the movement of goods within urban areas. It is based on interactions with MSMEs, logistics service providers and analysis of aggregated data from technology-enabled logistics platforms. The report was released by Praveen Khandelwal, Member of Parliament and Secretary General of the Confederation of All India Traders, along with Ashwini Mahajan, Co-Convener of the Swadeshi Jagran Manch. MSMEs contribute close to 30 per cent of India’s GDP and around 45 per cent of industrial output, yet continue to face persistent challenges related to intra-city logistics. The study finds that technology-enabled goods transportation services have emerged as a key enabler for small businesses, helping them manage day-to-day operations more efficiently. Speaking at the launch, Praveen Khandelwal said reducing logistics costs for MSMEs is vital for

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