Road Transport
India has the second-largest road network globally, after the US. Around 6 million km of roads sprawl across the nation. This network transports 64.5% of the goods throughout the country. Due to the growth of connectivity, the movement via road transport has improved in the past few years.
The road logistics industry is expected to grow at a CAGR of 8% to reach $330 billion by 2025. eCommerce and the retail sales market playing catch up are pushing this growth in the road transport supply chain. Customers’ demands have transformed the face of the Indian supply chain. What began as a forced measure in 2020 became a habit. Customers now expect a doorstep delivery for everything from groceries to luxury cars at the earliest.
The Indian Roadways carry 60% of the country’s freight traffic. Besides, road transport brings several benefits
Reduced Capital Requirement
Less capital is needed to set up the business and run daily operations in road transport. The main requirement of a vehicle also costs significantly less than the other modes of transportation in air, sea or railway.
Enhanced Flexibility
Since road transport is a part of the domestic supply chain, it offers more flexibility. Schedules and their corresponding delivery persons can be changed without significant interruptions in estimated delivery timelines.
Reduced Risk of Transit Damage
Shorter distances, less travel duration and lesser number of hands exchanging the cargo leave little scope for transit damage.
Lower Packaging Expenses
Packaging for road transport is less capital intensive. It doesn’t need extra layers of protection that are necessary for air or sea cargo movement. Lesser quantity of special packaging is required to safeguard the orders.
Door Deliveries
You must have heard of deliveries to customer points in far-off towns and villages. Road transport is the only mode that facilitates door deliveries of cargo. This feature has pushed the online retail industry in India. From 2-3 day deliveries to one-day and now ten-minute deliveries have been made possible by this mode of transport.
Better Accessibility
Road transport boasts the best level of accessibility among all modes. With the extensive infrastructural development in the past few years, road transport has reached every nook and corner of the country. Moreover, tier-3,4 and 5 towns and villages are enjoying the reach of eCommerce and fast deliveries.
Speedy Coverage of Short Distances
Road transport is the fastest of all. This feature has enabled new coverage models of shorter distances and tier-1 and 2 cities. Furthermore, as mentioned earlier, the excellent accessibility of road transport has enabled ten-minute deliveries.
Uses Private Vehicles Too
The facility to deliver using private-owned vehicles makes road transport easy for freight forwarders. In addition, many distribution personnel associated with the eCommerce industry use their vehicle for local deliveries.
Feeds Other Modes of Transport
Road transport distributes the goods to different ports for railway, sea or air freight forwarding. They rely on this network for timely and safe deliveries.
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