ICRA projects 6-9 percent revenue growth for Indian road logistics in FY25, fueled by key sector demands.
The Indian road logistics industry is poised for a revenue growth of 6-9 percent in the ongoing fiscal year, according to a recent report by ICRA. The organised sector recorded a 4.6 percent growth in FY24, achieving revenues of ₹23,273 crore. The industry is expected to see steady growth in FY25, driven by strong demand from sectors like e-commerce, FMCG, retail, chemicals, and pharmaceuticals.
ICRA has maintained a stable outlook for the road logistics sector, citing supportive government policies and continued demand across various industries. Srikumar Krishnamurthy, Senior Vice President & Co-Group Head, Corporate Ratings at ICRA, noted that FY24’s growth was impacted by high inflation, uneven monsoons, and a sluggish festive season. However, he added that profit margins for organised players are projected to remain at 11-12 percent in FY25, even amid inflationary pressures.
