Removal of challenges such as complex indirect taxation structure and poor road infrastructure, together with rapid growth of online retail sales and the manufacturing sector, is driving realignment in the logistics sector, creating efficient, technology driven, large-scale networks.
Express parcel delivery, though small in size at present, is driving this change, Credit Suisse has said.
The express parcel market was about 2 bn shipments in FY21, of which about 40% was handled by third-party players.