Tata Motors ‘Specialises’ For E-Commerce: To Launch 14 Customised Vehicles For Efficient Logistics

On Tuesday (14 January) Tata Motors launched thirteen customised commercial vehicles (CVs) to cater the logistics need of the growing e-commerce market in the country, reports The New Indian Express (TNIE).

“We have vehicles that meet hub-to-hub-to-spoke transportation and end-to-end delivery requirements,” said RT Wasan, vice-president-CVBU, Tata Motors.

“The e-com industry thrives on the logistics part to fulfil its commitment of timely delivery. So, like the e-com industry, the logistics industry is also growing at a very fast pace in terms of vehicle requirements,” he added.

Commenting on the industry's growth potential, Girish Wagh, president, Tata Motors, added India's e-commerce sector is likely to grow at 35-40 per cent in the next four-five years and Tata Motors expects 8-9 per cent of its cargo vehicle sales to take place through the sector.

While some models will facilitate last-mile distribution, others will be used for hub-to-spoke transportation requirements. Vehicles in the former category will have customisable payloads and deck lengths and allow for temperature-controlled transportation of perishable goods such milk and milk products, fruits and vegetables, and meat.

On the other hand, hub-to-spoke models will come fitted with CCTV cameras, OTP locks, load sensors and telematics systems.

Rapid E-Com Growth

India’s e-commerce market is predicted to grow more than fourfold to $150 billion by 2022, fuelled by rising incomes and a surge in internet users. During the corresponding period, the size of India’s middle-class is also estimated to be 540 million, rising from 380 million in 2017.

The Union government, on 26 December, notified sweeping changes to India’s e-commerce policy and barred companies engaged in the marketplace model of e-commerce to access foreign direct investment. This policy change is expected to level the playing field between giant e-commerce firms like Amazon and Flipkart and local offline retailers.

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