Trunk route Truck Rentals up 3%-4%: IFTRT

The current truck fleet has a 25%-30% idle capacity mostly on account of the increase in axle norms and the slowdown in economic activity.

Chennai: Truck rentals, which had bottomed out in August, has risen by 3%-4% in September. A report by Indian Foundation of Transport Research & Training (IFTRT) said that truck rentals are up on the back of improved consumer spending and a bumper apple crop.

Trunk route Truck Rentals up 3%-4%: IFTRT

“Trunk routes like Delhi-Mumbai-Delhi, Delhi-Kolkata-Delhi, Delhi-Hyderabad-Delhi and Delhi-Bengaluru-Delhi are up 4%. Delhi-Chennai-Delhi is up 3%,” said SP Singh, convenor, IFTRT.

Part of the reason for the increase is also the rise in fuel cost. The current truck fleet has a 25%-30% idle capacity mostly on account of the increase in axle norms and the slowdown in economic activity. The expected pre-buying of BS4 stock before the industry moves to BS6 has also not happened so far.

Typically the trunk route freight rates have gone up just over Rs 3,000. For example, the Delhi-Mumbai-Delhi route is up to Rs 86,500 on October 1, from Rs 83,500 on September 2 and the Delhi-Bengaluru-Delhi route has gone from Rs 1,21,000 on September 2 to Rs 1,26,400 on October 1, 2019.

Source: http://bit.ly/3390Z67