Substack

Saturday, November 8, 2014

India transportation fact of the day

From FT
Indian truckers, it turns out, spend a quarter of their journey times waiting at checkpoints, state frontiers (there are 650 border posts) and city entrances, and another 15 per cent at toll plazas. In all, they spend only 40 per cent of the time driving, often in herds to comply with urban time restrictions. For the rest, the truck is not moving. They cover just 250km-300km a day on average, compared with 800km in the US.
And more,
At present the cost of logistics for Indian manufacturers is often more than the entire wage bill – more than double, in the case of textiles – and far higher as a percentage of sales than for international competitors. Halving the delays caused by roadblocks and other stoppages would cut freight times by 20-30 per cent and logistics costs 30-40 per cent, says the World Bank.

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