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Indian Logistics Industry Surface Transport
CYGNUS Business Consulting & Research, May 2007, Pages: 90
The global logistics industry was valued at US$3.5 trillion in 2005, whereas US logistics industry size was around US$900 billion, 25% of the global logistics industry. Logistics costs in India are estimated to be around 13% of the GDP, which comes to around US$94 billion in 2005-06. However, India’s spending on logistics industry is much higher than the developed economies like the US (9.5%) and Japan (10.5%).
Transport sector’s contribution to India’s GDP is estimated to be around 6.6% in 2005-06, and road transport has a dominant role in this contribution with a share of 4.7% in India’s GDP. India has the second largest road network in the world. The aggregate length of roads in India increased from 0.4m km in 1950-51 to 3.34m km by the end of 2006.
Indian Railways network is one of the largest railway networks in the world with total 63,465 route kilometres at the end of 2005-06. Indian Railways has handled total 666.5m tonnes of cargo and around 5,832m passenger traffic in 2005-06.
According to the Planning Commission, the Indian economy is expected to grow at an average 9% per annum during the 11th Five Year Plan (from 2007-08 to 2011-12). Considering the GDP growth rate of 9%, it is expected that the road freight industry will be growing at a CAGR of 9.9% from 2007-08 to 2011-12. Road freight volumes have been targeted at 1,231 billion tonne kilometres (BTK) by 2011-12.
- The report covers the overview of Indian logistics industry, market size, cost components, overview of surface transport system (both road and railways) in India,
- The report also examines road freight traffic trends, growth drivers, demand-supply scenario, technology and innovation and future outlook of Indian road and railways transport sector.
- Five major players in the sector have been profiled with information on their business profile. Regulations governing the industry have also been covered.
- This report analyses the factors that drive the growth of the logistics industry, challenges faced by the logistics companies and the critical factors that will determine the success of these companies in the future.
Useful for:
- Industry analysts,
- Road transport companies,
- Banks and financial institutions,
- Investor consultants
- Logistics companies
- Custom house agents.
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