Logistics Sector

Multiples PE buys minority stake for $35 mn in logistics firm INSTANT-XP

NSTANT-XP, founded by brothers Rajbir Singh and Jasveer Singh, leverages proprietary technology to streamline services for customers, consignors, truckers, and drivers

Logistics cost in India to come down to 9% in next 2 years: Nitin Gadkari

Union minister Nitin Gadkari on Wednesday said the logistics cost in India will come down to 9 per cent within two years. Speaking during bauma Conexpo India, the Road Transport and Highways Minister said that "presently our logistics cost is 14-16 per cent... I assure you that within two years... our logistics cost will be 9 per cent. So we will be more competitive in the international market." In China, the logistics cost is 8 per cent and in the US and European countries it is 12 per cent, the minister said. The minister further said the automobile industry is one of the important industries that is giving maximum revenue as part of GST to the state governments and the Centre. The role of the automobile industry is very important to make India a USD 5 trillion economy, he said. The construction equipment, he said, is also part of this automobile industry. The government is developing infrastructure of international standards, he said, adding that water, power, transport and ..

After festive rush, truck rentals dip in November: Shriram Mobility report

Truck rental rates (round trips) on key trunk routes like Delhi-Chennai-Delhi and Delhi-Bengaluru-Delhi declined by 1.4 per cent

Shadowfax Tech swings to profit in FY24 with adjusted PAT at Rs 2 crore

Third-party logistics provider Shadowfax Technologies on Tuesday said it has recorded an adjusted PAT (profit after tax) of Rs 2 crore in FY24, against a loss of Rs 123.8 crore in the preceding fiscal. Adjusted PAT includes costs related to Employee Stock Ownership Plans (ESOPs). Revenue grew 33 per cent from Rs 1,415 crore in FY23 to Rs 1,885 crore in FY24, according to a company statement. The Bengaluru-headquartered firm said it has "significantly diversified" its revenue streams and a major contributions now come from value-added services (VAS). "These services include Prime solutions (same day and next day delivery), reverse logistics, hand-to-hand exchange, and the rapidly expanding quick commerce (10-minute delivery). Shadowfax holds a leadership position or controls upwards of 50 per cent market share in each of these services, establishing itself as one of the most diversified 3PL (third-party logistics) players in the market today," the statement said. It further said ..

Urban freight reforms key to cut emissions, boost logistics efficiency

Estimates by the National Council of Applied Economic Research show that India's logistics costs ranged from 7.8 to 8.9 per cent of gross domestic product in 2021-22

Q-com enablement firms pick up speed as D2C brands eye faster deliveries

As D2C brands embrace quick commerce for faster deliveries, logistics firms are scaling up operations and securing funding to meet rising demand in a rapidly growing market

7% workforce growth expected in H2 driven by logistics, e-comm: Report

With 59 per cent of employers planning to increase headcount in October-March FY25, 7.1 per cent workforce growth is expected during the period, driven by logistics, e-commerce, and manufacturing sectors, a report said. According to TeamLease Services 'Employment Outlook Report for October 2024 to March 2025', an additional 22 per cent will maintain their current staffing levels. The report is based on primary and secondary research, taking inputs from 1,307 employers across 23 industries in 20 cities. These findings reveal a dynamic hiring landscape where industry-specific demands and macroeconomic factors are significantly shaping employment trends, the report added. This growth will mainly be driven by sectors including logistics, EV & EV infrastructure, agriculture and agrochemicals, and e-commerce, which are heavily investing in infrastructure and technological advancements, it said. Logistics, for instance, stands out with a 14.2 per cent net employment change, as 69 per ...

Shiprocket loss widens to Rs 595 cr in FY24 on restructuring costs

Logistics aggregator Shiprocket has reported widening of loss to Rs 595 crore in the financial year 2024 on account of one-time restructuring cost, employee stock ownership plan and investments in emerging business. Shiprocket had posted a loss of Rs 340 crore in the fiscal year 2022-23. "Rs (-) 595 crore profit after tax is attributed to: One-time restructuring and integration costs of Rs 244 crore related to acquired businesses, significant ESOPs worth Rs 192 crore during the year, investment in emerging businesses," Shiprocket said in a statement. Shiprocket said that the company has reduced cash flow burn by almost half to Rs 100 crore in FY'24 from Rs 191 crore in FY'23 and is on path to full profitability in the current fiscal year. "The company also announced that the first two quarters of this financial year ending September 2024 are already profitable, positioning it well ahead of its goal to achieve full profitability by FY 2025," the statement said. The revenue of the .

India's logistics cost will come down to single-digit in two yrs: Gadkari

Union Road Transport and Highways Minister Nitin Gadkari on Thursday said India's logistics cost will come down to single-digit within the next two years. Addressing an event organised by NITI Aayog, Gadkari said the ministry is constructing several highways and expressways, which will help reduce India's logistics cost. "Within two years, we are going to reduce our logistics cost to 9 per cent," he added. According to quick estimates of the economic think tank National Council of Applied Economic Research (NCAER), logistics cost in India ranged between 7.8 per cent to 8.9 per cent of GDP for the fiscal 2021-22. Gadkari said there is huge potential for India to export alternative fuels and biofuels. He also pointed out that low-quality coal is useful for making methanol. The minister further said he aimed to make the Indian automobile industry number one in the world. Last year, India had overtaken Japan to become the third-largest automobile market in the world, only behind the

Logistics automation firm Elixia raises $1 mn in funding round led by JIIF

Logistics automation startup Elixia has raised USD 1 million (about Rs 8.4 crore) in a funding round led by JITO Incubation and Innovation Foundation (JIIF). Other investors include Motilal Oswal (Motilal Oswal Financial Services), Vimal Shah (Bidco Oil), Sparsh Jain (JG Group), Vinod Dugar (RDB Group) and Vimal Khinvasara (WMA Group), Ashok Shah (vtransgroup) and Amit Chandwar (K M Trans Logistics). The company aims to use the new funding to expand in the Middle East, offering advanced logistics solutions for local businesses. This investment will also enhance their product offerings by integrating Generative AI and Machine Learning to boost multimodal visibility and operational efficiency, the company said in a statement. *** Robotics startup Perceptyne raises USD 3 mn * Deeptech robotics startup Perceptyne has raised USD 3 million (about Rs 25 crore) in a funding round led by Endiya Partners and Yali Capital. Whiteboard Capital and other angel investors also participated in t

Domestic road logistics industry revenues likely to grow up to 9%: ICRA

The domestic road logistics industry is expected to register a growth of up to 9 per cent in revenues in the ongoing 2024-25 financial year, according to Icra. The organised road logistics sector had witnessed a growth 4.6 per cent in the 2023-24 fiscal year, the ratings agency said in a report. As per Icra, the industry logged a revenue of Rs 23,273 crore in FY24. "Icra expects the revenues of the Indian road logistics industry to grow by a moderate 6-9 per cent year-on-year (y-o-y) in FY25," it said. The agency further said it also maintains a stable outlook for the sector, fuelled by various government measures and policies in favour of the sector on expectations of good demand outlook from segments like e-commerce, FMCG, retail, chemicals, pharmaceuticals, and industrial goods. Srikumar Krishnamurthy, Senior Vice President & Co-Group Head Corporate Ratings, Icra Ltd, said, "In FY24, the growth was subdued on account of a relatively muted demand amid high inflation, an uneven .

Number of Indian women seafarers in workforce rise 7-fold: Maersk

Integrated container logistics firm Maersk on Friday said the number of Indian women seafarers in its workforce in India has grown more than seven-fold to over 350 in the last three years, driven by its 'Equal at Sea' initiative launched in 2022 to bring gender equality in the country's maritime sector. The programme brings different stakeholders across the industry on a common platform, which serves as a hub for exchanging ideas, understanding industry challenges, learning from each other, and implementing the best practices, according to Maersk. "With recent cadet inductions, the number of Indian women seafarers has surpassed the 350 mark, from a mere 41 in 2021, contributing significantly to improving the diversity," the company announced here on Friday. It also said that with 45 per cent of the nautical and engineering cadets onboarded in 2024 being women, the company has inched closer to its 2027 target of equal gender representation amongst its cadet intake. The primary ...

Adani Ports sign MoU with Rorix Holdings for trade, logistics purposes

Adani Ports and Special Economic Zone Limited (APSEZ) is India's largest port developer and operator

Govt to transform India Post into logistics firm, eyes 60% revenue increase

The government is looking to transform India Post into a logistics company and increase the revenue of the department by 50-60 per cent in the next 3-4 years, Union Telecom Minister Jyotiraditya Scindia said on Wednesday. Speaking at a Public Affairs Forum of India event in the national capital, the minister said about 25,000 villages in the country that do not have mobile networks will be connected by next year. "Postal department is moving leaps and bounds. Today, our turnover is close to about Rs 12,000 crore per annum. I'm looking at possibly trying to increase that by 50-60 per cent over the next 3-4 years," Scindia said. The postal department has the potential to take services to the doorsteps of people in rural and remote areas, he said, adding that he will be looking at all potential services to increase the revenue of India Post. "We need to transform ourselves from just a mail business and a letter business. We need to transform ourselves into a logistics company. We have

Experts cite logistical, Red Sea crisis as issues impacting India's exports

The Red sea crisis and logistical challenges have severely impacted the country's exports in August, which contracted 9.3 per cent, according to exporters and experts. Think tank GTRI said the contraction of petroleum product exports' by 37.56 per cent to USD 5.95 billion in August is linked to the ongoing disruptions in the Red Sea. These exports were USD 9.54 billion in August 2023. "This dramatic decline has significantly impacted India's overall merchandise trade, leading to a 9.33 per cent reduction in August 2024 compared to the previous year," Global Trade Research Initiative (GTRI) Founder Ajay Srivastava said. Interestingly, he said, crude oil prices remained relatively stable between these two periods, suggesting that the drop in petroleum product exports is "linked to ongoing disruptions" in the Red Sea. The yearlong ongoing disruptions have forced shipping routes to take longer paths around the Horn of Africa and the Cape of Good Hope, rendering exports to Europe less

Automation, emerging technology help Indian ports to scale up capacity

India has committed to invest Rs 80 trn for port development. It has built a digital platform called Ulip that allows industry to access logistics datasets on govt systems

Western Carriers collects Rs 148 cr from anchor investors ahead of IPO

Out of the total allocation of 8.597 mn equity shares to anchor investors, 3.993 mn equity shares were allocated to 4 domestic mutual funds, which have applied through a total of 6 schemes

Allcargo Logistics Q1 results: Net profit down 97% at Rs 3.36 crore

Allcargo Logistics standalone net profit nosedived 97 per cent to Rs 3.36 crore in the June quarter of the current fiscal. The company's net profit was Rs 198.26 crore in the corresponding period of last year, according to a regulatory filing. Income from operations for the quarter under review, however, rose 46 per cent year-on-year to Rs 526.47 crore from Rs 360.26 crore in Q1 FY24, as per the filing. Global events coupled with high demand across trade lanes during the second quarter of 2024 (calendar year) have led to improved volumes and increased freight rates, the company said. The demand is expected to continue through the peak season until the end of the year, the company said in a statement. The LCL (less-than-container load) volume for the June quarter stood similar to the same quarter last year at 2.25 million CBM (cubic meter) while FCL (full container load) volume stood at 1,56,000 TEUs, up 9 per cent on a y-o-y basis, it said. The company said its contract logistics

Logistics operator Blue Dart expands direct reach to over 300 pin codes

Logistics operator Blue Dart on Tuesday said it has expanded its direct reach to over 300 pin codes, which represents a significant increase in the company's direct coverage capabilities. By leveraging Blue Dart's connectivity to these additional pin codes, businesses can enhance their supply efficiency through faster, safer, and more cost-effective movements, the company said. Besides, the customers will also benefit from improved transit times, reliability, and access to a broader network. "By expanding our direct reach to more pin codes, we enhance accessibility and empower SMEs and MSMEs to connect and expand their business to both domestic and international markets," said Balfour Manuel, Managing Director at Blue Dart. Blue Dart offers an extensive service network covering over 56,000 locations nationwide. ***** *IHCL inks pact for greenfield resort in Rajasthan Indian Hotels Company (IHCL) on Tuesday announced the signing of a 200-key greenfield resort in Sawai Madhopur, .

Global Distriparks Ltd results: Net profit declines 23% to Rs 49 cr

Logistics operator Global Distriparks Ltd (GDL) on Thursday said its net profit declined 23 per cent to Rs 49 crore during the June quarter over the corresponding quarter of last year. The company had posted a profit of Rs 63.72 crore in the first quarter of FY 24, GDL said. According to the company, total revenue for the quarter under review stood at Rs 357.65 crore, down 4.59 per cent from Rs 374.85 crore in Q1FY24, it said. Revenue from rail vertical dropped 2.86 per cent year-on-year to Rs 289.90 crore while CFS (container freight stations) revenue slipped 11.32 per cent year-on-year at Rs 67.75 crore, the company stated. CFS revenue includes an adjustment of reduction of Rs 8.42 crore on account of a change in accounting method for Q1FY25, the company said. During the June quarter, GDL said, it handled a total container traffic of 171425 TEUs, which was 4.71 per cent lower compared to 170897 TEUs handled in the same quarter of last year. The rail vertical traffic stood at 82