MUMBAI, Feb 5: The truck rental rates across major trunk routes in the country experienced a notable rebound in January 2025, attributed to the influx of winter fruits and vegetables. Some routes reported rental increases of up to 4 percent, as highlighted in an industry report.
The January-March quarter is usually a peak period, characterized by a spike in agricultural activities following the rabi harvest, along with a surge in manufacturing activities across various sectors, according to the Shriram Finance monthly bulletin.
This growth in activity has corresponded with a rise in sales of commercial vehicles, including goods carriers, cargo three-wheelers, as well as passenger buses, maxi cabs, and agricultural trailers in the previous month.
Specific to truck rentals, the Delhi-Mumbai-Delhi route noted a 4 percent increase, followed by a 3.7 percent rise on the Mumbai-Kolkata-Mumbai route. The Delhi-Hyderabad-Delhi and Kolkata-Guwahati-Kolkata routes each recorded a 3.3 percent month-on-month rental increase, as reported.
On a month-to-month comparison, goods carriers sales surged by an impressive 41 percent in January. Three-wheelers (goods) and passenger bus sales saw a 32 percent increase each, while maxi cabs experienced a remarkable 59 percent growth in sales, according to the report.
Furthermore, the rabi harvest season led to a 15 percent rise in agricultural trailer sales, motor car sales jumped by 54 percent, and two-wheeler sales climbed 27 percent month-on-month, as noted by Shriram Finance.
The electric vehicle (EV) sector also saw positive growth, with the previous month reporting a 21 percent month-on-month increase in EV two-wheeler sales and a 16 percent rise in EV car sales.
In addition, e-way bill generation data from December 2024 demonstrated consistent growth both intra-state and inter-state, with intra-state bill generation increasing by 8.7 percent and inter-state by 12 percent month-on-month.
The Managing Director and CEO of Shriram Finance Ltd, Y S Chakravarti, stated, “The increase in rental rates is a promising indicator for the logistics sector. This uptick can be attributed to the seasonal demand for transportation and storage services caused by the availability of winter fruits and vegetables.”
However, he mentioned that the ongoing cold wave conditions in various parts of the country have hindered vehicle movement, resulting in supply chain disruptions.
“As we approach a busy quarter, heightened activity is anticipated in the logistics sector. The recent union budget has presented a detailed roadmap for the economy, potentially driving further growth in this sector. Furthermore, the rise in sales of two-wheelers, passenger cars, and commercial vehicles reflects boosted consumer confidence and economic activity,” Chakravarti added.
In summary, despite the challenges posed by the cold wave, the logistics sector is set to perform strongly in the coming months, supported by seasonal demand and favorable economic policies, he concluded. (PTI)
