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Logistics Sector in India is Highly Unorganized & Fragmented | WOLF OF DALAL STREET

Logistics Sector in India is Highly Unorganized & Fragmented

Organized players have only 3.5 percent market share.

85% of players in Road Transport own less than 20 trucks.

Similarly, 90% of warehouses are < 10,000 sq feet in size.

Organized players are expected to grow at 35% per anum


4PL model for Logistics beginning to take off in India.

In a 4PL model, the Logistics company takes full charge of the supply chain including design + daily operations

Eg: Asian Paints recently partnered with Mahindra Logistics to strengthen supply chain in Eastern India.

CONCOR (CONTAINER CORPORATION OF INDIA) is a direct beneficiary of the Dedicated Freight Corridor project

But rail freight in India is very small when compared to road transport + 50% of all rail transport is transporting coal from one point to another

For logistics, bet on players offering express services.


Regards,
KIRAN SHETH (WOLF OF INDIA).
www.WolfOfDalalStreet.com