The Indian eCommerce logistics industry has witnessed unprecedented growth since the boom in eCommerce trends and international trade in the past few years. The pandemic has further pushed the significance of global supply chains which stood the test of time and maintained the flow of goods and services across the globe. The Indian logistics market advantages of road transport in logisticsan estimated value of $250 billion in the fiscal year 2021. In 2025, it was predicted that this industry will reach 380 billion dollars with a 10 to 12 percent compound annual growth rate.
One of the major forces behind the rapid development of the logistics industry is the government’s initiative and infrastructure development schemes, which were successfully carried out during the pandemic. From FY 2016 to FY 2021, highway development in India increased at a CAGR of 17%. India managed to construct 13,298 km of motorways in FY 2021 despite the pandemic and many lockdowns.
It is anticipated that the India Road Freight Transport Market, which was valued at 139.02 billion USD in 2022, will grow at a CAGR of 6.53% to reach 203.21 billion USD in 2028. In 2022–2023, the National Highway Authority of India (NHAI) intends to build 25,000 kilometres of new national highways at a rate of 50 kilometres per day.
What are the Factors to Consider Before Choosing a Reliable Mode of Transportation in Logistics?
Transportation Cost
The budget is the most crucial factor to take into account when choosing the most suitable and effective mode of transportation for exporting goods. Depending on the kind and amount of goods that need to be transported, different costs apply.
It is crucial to remember that the cost of transportation affects the price of goods. Smaller loads travelling short distances are easily delivered by land, usually by truck, as it also saves on packing and handling expenses.
Dependability and Regularity of Service
Varying transport modes have different efficiency and regularity parameters. The choice of transport method is influenced by how quickly and promptly the products can be delivered. Bad weather, such as intense rainfall, snowfall, and storms, can disrupt all forms of transportation, including land, sea, and air, and can result in delays.
Safety
The safety and security of products in transit is an important consideration when choosing a mode of transportation. Because there are fewer losses in road transportation, it is preferable over railroad transit.
Flexibility
Motor or road transportation is the most adaptable means of transportation since it is not restricted by things like aircraft timings, cargo routes, or pre-scheduled timetables. Motor transportation provides the added benefit of being able to run day or night, at the user’s leisure, and to accommodate all time frames.
Advantages of Road Transport in Logistics
- Flexibility
The most favourable and adaptable method for moving goods is via the road. Road freight can allow last-minute route or timetable modifications, unlike rail, air, or marine freight. Many businesses that needed to quickly adjust to the changing demand and supply during the Covid-19 outbreak found roadway logistics extremely helpful, which enabled them to pause, reroute, or reschedule their transportation.
- Accessibility
Road freight provides almost limitless access because products can be delivered everywhere a vehicle can travel. Road freight is not restricted by ports, rail lines, or airline timetables, allowing many firms to convey products straight to the customer.
- Developing a brand
Road freight can be employed as part of a company’s customer service and brand reputation management because of the flexibility and access mentioned above.
Road freight logistics, if properly managed, can help your company establish a reputation for providing excellent and speedy service, even in the most remote locations. If you own or lease your vehicles, you can brand them to increase the visibility of your company to the general public.
Road freight can contribute in a variety of creative ways to your brand persona, but it must be carefully managed to prevent your brand from being portrayed in poor light.
- Fleet management
Fleet managers can have complete control over all road freight movements with the correct systems in place. A fleet manager may fully manage road freight, from driver analytics to real-time route and delivery updates.
- Fewer chances of damage to the products
As multiple cargo handling is reduced and sometimes eliminated in road transportation, the likelihood of products and goods getting damaged in transit gets reduced. This further saves a lot of resources for the eCommerce logistics company.
Conclusion
Given the pace at which road infrastructure is transforming in India, the future of roadway logistics looks promising. As an eCommerce logistics firm, you have ample opportunities to grow your business by choosing a cost-effective and flexible mode of transporting goods across the country i.e. via road.
Also, logistics aggregator companies such as NimbusPost provide highly integrated road freight logistics services, covering 29,000+ pin codes in India. They collaborate with leading courier partners such as Delhivery, Blue Dart, XpressBees, etc, to provide national and international shipping services, alongside tech-enabled warehousing and fulfilment solutions at the most competitive rates.