Karnataka State Road Transport Corporation (KSRTC) is about to enter the logistics enterprise by deploying 20 fully-equipped trucks, with the goal of enhancing non-ticket income. Based on its intensive connectivity and assets, together with depots throughout Karnataka, the State-owned company will diversify into the logistics enterprise, Transport Minister Ramalinga Reddy advised The Hindu.
In 2021, the KSRTC launched ‘Namma Cargo’ companies, enabling State street transport firms, excluding the BMTC, to move parcels in buses as a revenue-generating initiative. Expanding upon this established cargo service, the KSRTC will additional get into the logistics sector by inducting trucks into its fleet.
“We used to outsource our parcel services to external agencies, generating approximately ₹4 crore in annual revenue. Then we introduced Namma Cargo, where we exclusively operate the service and offer a 20% commission to external agencies. We have achieved a monthly revenue of ₹1.10 crore. Now, as a pilot initiative, we are adding 20 trucks, with the anticipation of expanding the size of this fleet in the coming days. Our goal is to reach an annual income of ₹100 crore from the logistics business,” mentioned, Mr. Reddy.
According to the Minister, the KSRTC bought the trucks at a value of ₹17 lakh per car. (*20*) fully-equipped trucks, every with a 6-ton capability, are meant to cater to various clusters, reminiscent of fruits, greens, textiles, and prescription drugs.
