Overloading may reduce the growth and profitability of Indian Road Transport Sector

KOLKATA, India - June 14, 2013 - PRLog -- Overloading is a serious concern in Indian road transportation industry. It can directly affect the economy of the road transport industry.

In recent times we observe a significant crisis in the requirement of trucks as well as drop in export/import volume in the country. If a single truck carries goods beyond its capacity i.e carries goods similar to 3 trucks it may result in loosing work for other trucks.

The road transport industry is going through the pressure of recession as so many trucks remain idle and go out of business for not getting sufficient freight.

After effect of overloading also provide significant impacts on the economy. In order to keep their trucks running transporter and truckers are frequently involved with price war and become unable to get their basic operating cost. Besides, there are other factors like damages with the vehicles, tyres, roads etc.  Vehicle damage factors (VDF) on most of the national highways vary from 10 to 12 for Northern India and 7 to 8 for the southern part.

Some years ago Supreme Court had ordered a ban on overloading but it was not implemented properly in our country. In some areas especially intra-state movement it is still continuing illegitimately. After the passing of the order of Supreme Court, the overloading was completely stopped at that time. There were escalations in freight rates and the number of trucks remaining idle also reduced to a great extent.

Presently we notice a sluggish market in road transportation. In order to enhance the growth and profitability the overloading practices should be immediately stopped. Transporters now requesting the concerned authorities to identify the trucks who are engaged with this mal practice and also punish consignors who are accustomed to overloading.

The following initiative should be taken to educate the transporters and truck owners about the negative aspects of overloading and the transporters have to take measures themselves to stop this practice.

ü    Set up of WIM (Weigh-in-Motion) & Vehicle Overloading Management System (VOMS) through National Highway at selected locations to detect the violators.

ü    Enforcement official should start regular operation at various loading point ranging from industries, ports, mining areas etc.

ü    Initiatives should be taken for off-loading of surplus load at identified sites with proper charges. In this respect the transporter/consignors should have taken the liabilities for off-loaded goods.

ü    Steps should be taken to get rid of modifications in goods transport vehicles which may occur in adjusting tyre size, increasing number of leaf springs etc. If any modifications are occurred, these should be clearly shown in certificate of registration.

ü    Modifications should be made in Motor Vehicle Act for ensuring carrying of freight in covered containers/carriges mandatory. There may be relaxation for goods like equipments, big machines etc.

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Posted by Rajib Dey
Senior Executive
http://www.loadjunction.com/article/Freight-rate-for-major-cities-in-India.html
(An online portal for getting updates on daily truck freight rates in India)