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Indian logistics market to reach revenue levels of $190-200 billion by 2020

Indian logistics market to reach revenue levels of $190-200 billion by 2020

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2013-01-17 19:08:12 - Indian logistics market to reach revenue levels of $190-200 billion by 2020

The Indian logistics industry continued to witness an increase in market activity during 2012. The demand for logistic spaces was not only limited to leading cities such as NCR (National Capital Region), Mumbai and Bangalore, but was also spread across leading tier II cities as well.In spite of all the odds, the Indian logistics sector witnessed a growth of 9.2% over the previous year in 2010 and accounted for revenue of $82.10 billion. For the period 2010-2020, the logistics market is expected to witness a consistent minimum annual growth of 8-9% to reach revenue levels of $190-200 billion by 2020. This growth will largely be due to an improving logistics infrastructure in the form of the development of freight corridors,



logistics hubs and warehouses, port development and technology up gradations.World-class and well-equipped seaports and airports are now attracting latest generation of ships and aircraft. This is promoting the carriage of bulk and heavy lift remarkably and it is a boon for investment in infrastructure projects and project logistics. It has also necessitated the demand for latest generation of storage facilities, onshore handling equipment, speedy and high-tech transportation system, double-stacked cargo box trains, dedicated (road, rail and coastal) freight corridors, and competent supply chain and warehousing. Although the sector is growing in value as well as in volume terms leading to sustainable opportunities in the logistics space, India´s logistics cost is among the highest in the world at almost 13% of its GDP. Logistics costs in India are estimated at over Rs 4.5 trillion, growing at a compounded annual growth rate (CAGR) of 8-12%. For more information on the Indian logistics market, see the latest research: Indian Logistics MarketFollow us on Twitter @CandMResearch

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