Truck rentals rebound in January with pickup in winter crops: Report

New Delhi [India], February 5 (ANI): Truck rentals across key routes in India staged a smart recovery in January due to the arrival of winter fruits and vegetables, which has boosted the need for transportation and storage services, according to a bulletin from Shriram Mobility.
The Delhi-Mumbai-Delhi route witnessed a 4 per cent increase, the Mumbai-Kolkata-Mumbai route rentals increased by 3.7 per cent, and the Delhi-Hyderabad-Delhi and Kolkata-Guwahati-Kolkata routes saw a 3.3 per cent increase each on a month-on-month basis, as per the bulletin.
The January-March quarter is typically a very busy period, with agricultural activity picking up after the rabi harvest, as well as an increase in manufacturing activities across multiple sectors.
This uptick in activity has resulted in a surge in the sales of commercial vehicles like Goods Carriers, Three Wheeler (Goods), Passenger Buses, Maxi Cabs and Agricultural Trailers in January 2025, Shriram Mobility said.
On a month-on-month basis, Goods Carriers sales saw a significant 41 per cent growth in January. Three-wheelers (goods) and Passenger Buses sales each saw a 32 per cent increase, while Maxi Cabs registered a massive 59 per cent growth in sales. Additionally, the rabi harvest season contributed to a 15 per cent increase in agricultural trailer sales. Motor Car sales witnessed a 54 per cent growth, and Two-wheeler sales grew by 27 per cent on a month-on-month basis.
In the electric vehicle (EV) sector, January saw a 21 per cent month-on-month increase in EV 2-wheeler sales and a 16 per cent increase in EV car sales. E-way bill generation in the month of December 2024, both intra-state and inter-state, showed consistent growth, with intra-state bill generation rising by 8.7 per cent and inter-state by 12 per cent on a month-on-month basis.
Y S Chakravarti, Managing Director and CEO, Shriram Finance Ltd. said, "The rise in rental rates is a positive sign for the logistics sector. This increase can be attributed to the arrival of winter fruits and vegetables, which has boosted the need for transportation and storage services. However, the cold wave conditions prevailing in most parts of the country have adversely affected vehicle movement, causing some disruptions in the supply chain."
"As we move into a busy quarter, the logistics sector is expected to see heightened activity. The recent union budget has laid out a comprehensive roadmap for the economy, which is likely to further stimulate growth in this sector."
As India moves into the next quarter, the outlook for the truck rentals and sales of vehicles across all categories remains positive. The upcoming Kharif sowing season is also expected to boost the sales of agricultural vehicles. The EV segment, while facing challenges, is likely to see further growth with new policy measures and potential price reductions, the bulletin added.
Shriram Finance Limited, the flagship company of the Shriram Group, publishes the monthly Shriram Mobility Bulletin. The Shriram Mobility Bulletin aims to provide stakeholders with a picture of India's statistical data about the logistics and automobile sector through its nationwide network of fleet owners & vehicle dealers and analyses it to identify trends for its stakeholders. (ANI)