Delhivery Expands Logistics Efficiency For FMCG and Auto Sectors

Delhivery, a leading third-party logistics provider, is revolutionising transportation for high-volume sectors such as automobiles and fast-moving consumer goods (FMCG) by introducing road trains—tractor units towing multiple trailers. This innovation aims to enhance efficiency and reduce costs, positioning the company at the forefront of logistics advancements.

Road Trains: Enhancing Cost Efficiency in Logistics

Delhivery has introduced its first road train in collaboration with Volvo Trucks. The model features a 24-foot containerised intermediate trailer linked to a 44-foot semi-trailer, resulting in a total cargo capacity of 144 cubic metres—50% higher than standard semi-trailers. The company has been piloting road trains along the Mumbai-Nagpur corridor since the road ministry sanctioned their use in 2020. These trials have demonstrated efficiency improvements of at least 10%, a significant advantage in the low-margin logistics industry.

By the end of 2025, Delhivery aims to expand its road train fleet to 10 units and extend operations to additional expressways. The company is working closely with Volvo and government agencies to identify suitable routes, including the NCR-Lucknow corridor via the Yamuna and Agra expressways, the Delhi-Baroda expressway, the Delhi-Dehradun expressway, and the Bangalore-Chennai expressway. Expressways are preferred due to their controlled access, absence of pedestrian crossings, and dedicated lanes, ensuring safer operations for longer vehicles.

Sustainability Drive with LNG Trucks

Alongside road trains, Delhivery is increasing its fleet of liquefied natural gas (LNG)-powered trucks to align with its sustainability objectives. Currently operating 20 LNG trucks, the company plans to add 30 more, bringing the total to 50 within the next three months. These vehicles, procured from Volvo in July last year, provide a cost-effective and environmentally friendly alternative to diesel.

LNG-powered trucks offer greater fuel efficiency and help mitigate diesel price volatility. The shift towards LNG also reflects the growing preference of companies for sustainable logistics solutions when awarding contracts. With this strategic expansion, Delhivery is reinforcing its commitment to innovation and efficiency in the logistics sector.

Delhivery Share Performance

As of February 25, 2025, at 12:40 PM, Shares of Delhivery are trading at ₹266.15 per share, reflecting a decline of 2.47% from the previous day’s closing price.

Conclusion

Delhivery’s investment in road trains and LNG trucks highlights its focus on cost reduction, efficiency enhancement, and logistics sustainability. By leveraging expressway networks and cleaner fuel alternatives, the company is positioning itself as a leader in modern transportation solutions.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.