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Indian sea & road freight recovering

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India Ratings and Research’s credit news digest on India’s logistics sector shows a moderate recovery for sea and road transport after the easing of the Covid-19 lockdown restrictions. Air transport remains severely stressed.

Ports volumes recovered to 80-85 percent of the normal levels in June 2020, after the 21-23 percent YoY volume drop during April-May 2020. Imports have been severely affected but exports have recovered to the pre-Covid levels.

Road transport volumes may have recovered, indicated by the e-way bill collection and diesel consumption being at about 85 percent of the pre-Covid levels. Air transport is reeling under pressure; passenger traffic is practically at nil levels, and freight traffic at 60 percent of the normal levels in May 2020.