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Transportation Industry in India

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TRANSPORTATION INDUSTRY SECTOR OVERVIEW-2020

Statistics, news & updates: everything you need to know about the Transportation Industry  in India

Snapshot

Sub-Industries

Summary

India’s natural coastline and vast river network give it a competitive edge in providing transportation and logistics services, both domestically and internationally. Transportation industry can be classified into ports and ports services, warehousing, transport – shipment services, e – logistics, inland waterways for freight and passengers, expressways and dedicated freight corridors. As a matter of fact, India’s logistics service sector itself is expected to grow from $ 115 billion to $ 360 billion by 2032.

 

Nevertheless, India should closely look into the development of the transportation industry. As we all know the potential and need for sustained large scale investment. Even though investments typically have a long gestation period. However, once the infrastructure is created, linkages to the rest of the economy provide significant multiplier effects.

Covid Impact

Going ahead, the slowdown will affect the container traffic in the automotive transportation industry and other container cargoes (imports of white goods and granite exports) for FY21 due to weak demand. India boasts of having the largest and most diverse transport sectors in the world, which caters to the needs of nearly 1.3 billion people. Public transportation services are one of the worst-affected economic sectors by the coronavirus disease 2019 or COVID-19. The sector has experienced a demand-cum-supply shock. There is an unprecedented reduction in travel and commercial activities. Consequently, the impacts have surged over transport activities more severely. In India, the Gross Value Addition (GVA) from the transport sector accounts for 4.8%, where a significant proportion is covered by road transportation (3.1%) followed by the railways (0.8%), airways (0.2%), and waterways (0.1%).

 

The statistics below are taken from Industry data available pre-Corona virus impact.

Map – Industry Clusters

Growth Drivers

Key Players in India

International

  • Mahindra Logistics
  • TCI Express
  • Container Corporation (Concor)
  • VRL Logistics
  • Blue Dart Express

National

  • Fed Ex
  • Gateway logistics
  • XPO Logistics
  • DHL
  • H. Robinson
  • Expeditors International

Market Stats

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