Logistics market in India is expected to be worth US$ 307 billion by the calendar year 2020, states a report released by Associated Chambers of Commerce and Industry of India. India spends around 14.4 percent of its Gross Domestic Product on logistics and transportation as compared to less than eight percent spent by the other developing countries, it adds. The above figures indicate that the Logistics Companies in India is growing at tremendous rate.
Cargo and Logistics Industry in India can expect to grow at Compound Annual Growth Rate (CAGR) of 16 percent in the coming years with an inflow of new investments that in turn will create new opportunities for the logistics sector.
Growth Drivers for Logistics Companies in India:
The growth in Indian logistics will be driven by the growth in the manufacturing, retail, Fast Moving Consumer Goods (FMCG) and e-commerce sectors. In India, road freight constitutes around 63 percent of the total freight movement consisting of 2.2 million heavy-duty trucks and about 600,000 light-duty trucks annually.
Road freight movement is expected to register a CAGR of 15 percent over the next five years. Sea freight consists of around nine percent of the total freight market and is mainly used as a major mode for imports and exports. Air freight comprises about one percent of the total freight market in India and is projected to register around 12.5 percent CAGR over the next five years.
Major Players in India’s Logistics
Understandably, this growth is a result of excellent logistic services provided by top Indian and foreign companies operating in this country. These logistic firms provide almost seamless service despite facing various odds such as poor road conditions, climatic aberrations, staff attrition and a plethora of licensing and tax laws.
Through this article, we pay tribute to the top 15 logistic companies in India. The listing we provide is random and does not signify any ranking or popularity.
Top 15 Logistic Companies in India
1. Indian Railways
Indian Railways Catering and Tourism Corporation (IRCTC) ranks among the world’s largest logistics companies. Indian Railways is also the world’s fourth-largest network. During the financial year 2015-2016, Indian Railways carried whopping 1.2 billion tons of freight across India only on its railway network that covers some 8,500 stations.
Indian Railways has the largest network of warehouses and yards across India.Additionally, it also provides logistics services for sea cargo containers. thus, it can be easily said that Indian Railways is one of the top Logistic companies in India.
2. House of Patels
The House of Patels is by far India’s largest homegrown logistics company. It began as a single-truck operation in 1959 as Patel Roadways. Today, House of Patels ranks among Asia’s topmost logistics providers. It consists of four different divisions. Patel Roadways, Patel Airfreight International, PILL Limited and Patel Logistics.
3. VRL Group
VRL Group ranks among topmost logistics providers of India. The company started as Vijayanand Road Lines (VRL) with a single truck bought by Dr. Vijay Sankeshwar in Gadag, Karnataka, in 1976. VRL Group has a fleet of nearly 4,000 goods transport vehicles.
It is the largest fleet owner of commercial vehicles in India and also owns 419 passenger vehicles. VRL Group is mentioned in the Limca Book of Records, for these distinctions. VRL Group has since expanded its operations to include courier service, priority cargo and air charters as well as Third Party Logistics (3PL).
4. Transport Corporation of India Ltd
Transport Corporation of India (TC) was established in 1958, as a “One Man, One Truck, One Office” company. In 2018, this company has an annual turnover of more than Rs.29 billion. It ranks among India’s leading integrated multimodal logistics and supply chain solutions provider. TCI has a network of over 1400 offices, 11million sq.feet of warehousing space and a team of nearly 7,000 employees.
5. Container Corporation of India Ltd
Container Corporation of India Ltd. (CONCOR) is an Indian government enterprise and was incorporated in March 1988 under the Companies Act. It began operations from November 1989 after taking over seven International Container Depots (ICDs) from the Indian Railways.
Today, CCI has the largest network of 68 ICDs and Container Freight Stations in India. CCI provides inland transport by rail for containers, management of ports and air cargo complexes in the country. It is actively involved in developing cold-chain logistics in India for frozen foodstuff. CONCOR is one of the ‘Navratna’ companies of India, meaning it plays a key role in India’s economic and industrial progress. Services can be availed by private and foreign clients too.
6. Gati Ltd
Gati Ltd was founded in 1989 and is today renowned as an express distribution and supply chain solutions provider. Gati Ltd has offices in the Asia Pacific region and neighbouring countries. Gati also boasts of a wide domestic presence for delivering small domestic, commercial and industrial freight.
It caters to some 19,000 postal districts in India and covers 672 of the 676 districts of this country. Additionally, the company also provides airfreight, sea cargo, rail carriage of freight and warehousing facilities, among other logistical services.
7. Ghatge Patil Transports Ltd
Ghatge Patil Transports Ltd is also one of the oldest and most renowned logistics companies in India. It was formed in 1949 in Kolhapur, Maharashtra, shortly after India’s independence and move towards industrialization. GPTL offers a wide range of logistics services to corporate and individual clients, including moving household items for relocation to large industrial machinery on part load, full load and parcel basis.
Additionally, GPTL has also tie-ups with various logistics companies across India for air, sea and rail carriage of cargo within India and to foreign destinations. In recent years, GPTL has ventured into passenger carriage.
8. Logistics Post
A formidable player in India’s logistics industry is rapidly emerging in form of Logistics Post. It is a division of India Post, the nation’s postal department. Logistics Post is involved in door-to-door logistics for the e-commerce industry, micro, small, medium and large companies as well as for individuals.
Logistic Posts can be availed directly or indirectly through some 150,000 post offices across India and delivers to all locations including remote villages. Logistics Post draws strengths from CCI, Indian Railways, various Indian air carriers and sea cargo lines that have agreements with the Indian government.
9. Eastern Cargo Carriers (Pvt) Ltd
Eastern Cargo Carriers (I) Pvt. Ltd is a major and homegrown Indian logistics company. It also ranks among the top International Air Transport Association (IATA) freight company of India ECC offers point-to-point handling solutions logistics requirement of various segments of the Indian industry.
It handles time-bound and life-saving cargo including vaccines and medicines. ECC has made a mark in unaccompanied baggage handling, transfer of diplomatic baggage and precious cargo such as gems and jewellery. The firm also specializes in handling pets and mortal human remains.
10. ABC India Ltd
ABC India Ltd began in 1963 as All Bengal Carriers, a local company based in Kolkata to provide logistics services to North East India, where transportation facilities were very limited in those years. However, the company today is a major player in India’s logistics market.
It has entered into a Joint Venture (JV) with Nissin Corporation of Japan to provide world-class logistics services in India. The recent focus on the development of North East states of India has seen the company gaining more clientele, due to decades of experience in operations in the region.
11. Aegis Group
Gas, Engineering Procurement and Commissioning, Liquids, Retail LPG and marine logistics are the strength of this renowned Indian company. Aegis Group is a very specialized logistics company in India. It plays a key role in keeping the nation’s supply of hydrocarbon fuels running and active for industrial and domestic consumers.
It has a customer base that includes every major state-run and private energy company. Aegis Group has made its mark in energy logistics by adopting very high standards of safety while transporting and handling highly inflammable fuels.
12. Allcargo Logistics Ltd
Allcargo Logistics Ltd is one of the global leaders in Less Than Container Load (LCL) ad Full Container Load (FCL) sea freight. Additionally, this major logistics company of India is actively involved in air freight and offers other end-to-end services like doorstep delivery of freight. According to the company’s website, Allcargo intends to boost its warehousing capacity across India by investing whopping Rs.10 billion at various logistics parks.
DTDC had a very humble beginning in 1990. It opened as Door-To-Door Courier (DTDC). DTDC offers logistics solutions, including incoming and outbound cargo and freight. It has a presence in Singapore, US, UK, Canada, UAE, China, and Australia with associates in Saudi Arabia, Oman, Kuwait, Nepal, Pakistan, Bangladesh, Sri Lanka, Malaysia, Hong Kong, Kenya, Myanmar, Thailand and Iran.
DTDC offers solutions including marketplace listing, multi-vendor management, tech development, warehousing and fulfilment, cross-border solutions, last-mile delivery, reverse logistics management, sample showrooms and operates India’s largest last-mile delivery network, claims its website.
Since launch in 1997, Safexpress has consolidated its position as a leading player in India’s logistics market. Safexpress services include express distribution, Third Party Logistics and consulting. According to the company website, Safexpress firm provides value-added logistics services for various different businesses ranging from delivery of e-commerce orders to the carriage of heavy engineering and fragile goods within and outside India.
15. Global Vectra Helicorp Ltd
Any list of India’s homegrown logistics companies will be incomplete without mentioning Global Vectra Helicorp Ltd. The company owns a fleet of over 25 helicopters of assorted makes. The company specializes in providing vital logistical support to India’s oil and natural gas installations such as offshore platforms and rigs such as airlifting vital equipment, food and medical supplies.
Onshore, the company has played a key role in providing helping medical services reach remote parts of the country. It has also played a major role in Indian democracy by airlifting ballot papers and Electronic Voting Machines to remotest constituencies in this country.
The outlook for India’s logistics companies is excellent thanks to the boom in e-commerce, development of remote areas and Make In India initiative that has seen several foreign firms enter the country to set up manufacturing bases. India’s homegrown logistics companies are indeed poised to give stiff competition to their foreign counterparts.