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Dhaka’s road congestion remains one of the most significant barriers to logistics efficiency in South Asia. Last-mile delays now average 3–5 hours during peak hours. Logistics costs have surged to over 18% of GDP—well above regional peers (World Bank +2, Prothom Alo +3). Without strong traffic and freight movement reforms, digitization alone won’t close the competitiveness gap.

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Infrastructure Spotlight: Expressways and Ring Roads

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• The Dhaka Elevated Expressway Phase 1 became operational in early 2025, promising to cut travel time by 30%. However, integration with freight hubs is still lacking (The Business Standard +2).
• Suburban Freight Zones Still Absent – Absence of designated truck terminals outside city limits contributes to central city congestion.

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Policy Outlook: National Transport Grid Alignment

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The 2024 roadmap calls for coordinated multimodal freight corridors across road, rail, and waterways. Experts urge real-time logistics data, unified licensing, and establishment of a central logistics authority. Inconsistent policies and weak local execution continue to slow progress. Stakeholders also suggest fast-tracking customs simplification and offering tax breaks for automated warehousing to reduce inefficiencies and enhance export competitiveness (The Financial Express +3).

The Dhaka Elevated Expressway Phase 1 became operational in 2025, offering a 30% cut in travel time across select routes. However, integration with major logistics hubs and industrial zones remains weak (The Business Standard +2). Plans for the Outer Ring Road remain in preliminary stages, with no clear freight prioritization.