Truck Rentals Fell 3-4% On Key Routes During First Half Of July: IFTRT

India's vast trucking sector is navigating a challenging mid-July, facing significant declines in truck rentals and sales. According to the Indian Foundation of Transport Research and Training (IFTRT), truck rentals on trunk routes dropped by 3-4% during the first half of July. This downturn is largely attributed to a 10-15% fall in dispatches from Micro, Small, and Medium Enterprises (MSME) factories.

While a 15-20% higher arrival of food items, fruits, and vegetables into APMCs (Mandis) has provided some compensatory load, preventing an even steeper 10-12% nationwide drop in freight charges.

The stress on the sector was amplified by increased waiting times for return loads from industrial hubs, which stretched to 4-5 days on several routes, up from 2-3 days in early June. This extended waiting period has resulted in a gross monthly revenue drop of 10-12% for truckers, the report said. The ongoing peak monsoon period has further compounded the difficulties for operators.

Specific data highlights the rental slump on key routes:

• Delhi-Mumbai-Delhi: Open market truck rental fell from Rs. 2,06,000 to Rs. 1,96,800, a 3.9% decline.

• Delhi-Kolkata-Delhi: Dropped from Rs. 2,29,000 to Rs. 2,20,000, a 4.2% decrease.

• Delhi-Hyderabad-Delhi: Saw a fall from Rs. 2,42,300 to Rs. 2,35,000, down 3.1%.

• Delhi-Raipur-Delhi: Decreased from Rs. 2,44,000 to Rs. 2,34,000, a 4.05% drop.

The Indian Foundation of Transport Research and Training (IFTRT), tracks approximately 75 trunk routes across the country and monitors various freight segments, including rail freight.