Thursday, February 11, 2021

India Road Freight Market, India Road Freight Industry, Market Revenue: Ken Research

How is India Logistics and Warehousing  Market Positioned?

Overview: India has been ranked at 4th position in the world in railway freight traffic after China, US and Russia. Under the land freight corridors, ~% of domestic freight volume carried through road; high compared to ~% in developed countries. India Logistics Market has witnessed an average CAGR during FY14-FY19 due to favorable policy reforms from the government, continued investment in infrastructure by both the government and the private sector; influx of foreign players in the market in recent years, increasing consolidation, and investing in innovative technologies has stimulated the growth in the market.

Development strategies and infrastructure enhancements are only being done with help of Public Private Partnerships by the Companies.

Market: The logistics market has seen significant growth in the last few years, recording a CAGR of ~% during FY14-FY19 primarily due to increasing infrastructure investment, e commerce and cold chain facilities in India. The Logistic sector performance is still not very good in comparison to other South Asian countries such as Indonesia and Thailand, Vietnam but has improved in the past 5 years, currently holding a LPI Score of 3.18.

The freight forwarding sector is the leading segment towards the revenues of the logistics industry, followed by warehousing and courier & parcel activities. The other sectors include value added services, e-commerce deliveries and 3PL market.

India Logistics and Warehousing Market

By Service Mix: Freight forwarding segment has dominated the logistics industry of India and has grown at a five-year CAGR of ~% during the period FY14-FY19. This is primarily due to increased highway construction per day, increasing foreign trade with Countries such as EU, China and SEA Countries. The demand of cold storages is increasing in many states such as UP, Maharashtra, Gujarat, Madhya Pradesh, Haryana and others accounting for ~ % of total capacity available in India Primarily  due to rising demand of meat, seafood and other perishable products and also due to the additional Government Subsidy Provided on Cold chain Solutions.  Warehousing and CEP sector is even expected to boost by e commerce companies opening their fulfillment centers across India. VAS is being popular with all companies providing VAS as part of their service portfolio to give all possible services to their clients under one roof.

India Road Freight Market Size

Road freight market is expected to reach INR ~ Billion in 2019 from INR ~ Billion in 2014 with a CAGR of   ~% during the period 2014-2019P. This has been due to the Improvements in the Road connectivity and projects such as Bhratamala Pariyojana and the Sagarmala projects and the Eastern and Western Dedicated Freight Corridors, Improving trade relations with many countries such as Europe, US, and Neighboring Countries, revision in GST, Axle norms and scrappage policy by Government. Very high Road freight movements can be seen near Mumbai and Chennai Ports with Western Coast handling ~% of total Volume.

India Road Freight Market Segmentation

By Mode of Service: India freight forwarding market is dominated by Road freight with share of ~% in terms of revenue followed by Rail freight.

By Road Freight

The road freight is done domestically and internationally with its neighboring countries. The number of trucks is increasing at ~ rate between 2014-2019P. The average freight rate is ~ per ton per km.

By FTL/LTL: Majority of the Volume transported by road is done on FTL basis by Revenue and Volume with Average prices charged in case of LTL is higher than FTL basis.

Cost Component Analysis

Out of the total operating cost, ~ % is held by Fuel, ~% is held by salary and ~% by EMI, ~% margin by trucking companies.

Key Segments Covered:-

Freight Forwarding Market

By Mode of Transportation

Road Freight (Fleets, Volume, FTK, Price/ton/km and Revenue)

Sea Freight (Volume, Price/ton/km, Revenue and Inland Coastal Shipping Price/ton/km)

Air Freight (Volume, Price/ton/km and Revenue)

By Road transportation

Less than Truck load (Revenue)

Full truck load (Revenue)

By Type of Fleets (Number of Fleets)

Less Goods Carrier Vehicles

High Goods Carrier Vehicles

Companies Covered:-

GATI-KWE

VRL Logistics

TCI

OM Logistics

DGFC

Varuna

Express Logistics

Aggarwal Packers and Movers

NTC Logistics

FSC

Associated Road Carriers

KerryIndev Logistics

Coastal Roadways

Stellar Value Chain

Sical Logistics

VTrans

CEVA

Anand Roadlines

Southern Cargo

Andhra Bangalore Roadways

DHL

CTC Freight Carriers

Mahindra Logistics

ALL Cargo

TVS

Key Target Audience:-

Freight Forwarding Companies

E Commerce Logistics Companies

3PL Companies

Consultancy Companies

Logistics/Warehousing Companies

Time Period Captured in the Report:-

Historical Period – FY14-FY19

Forecast Period – FY20-FY24

For More Information on the research report, refer to below link:-

India Road Freight Market

Related Reports:-

Philippines Road Freight Market Outlook To 2024 – Driven By Government Spending On Road Infrastructure and Technological Advancements

Philippines Logistics And Warehousing Market Outlook To 2024 - By Freight Forwarding (Air, Sea, Land), Domestic And International Freight Flow Corridor; By Warehousing (Industrial/Retail Freight, Container Freight, Cold Storage, Agriculture And Others), Express And E-Commerce Logistics, Balikbayan Box, Third Party Logistics

Contact Us:-
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249

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