Transport and logistics: Value chain, from upstream to the customer
Shipping, road, rail and air freight, warehousing and passenger transport operators
Value chain, from upstream to the customer
Criticality to the chain: 5 · Chokepoint 4 · Critical 3 · Important 2 · Supporting 1 · Commodity service Stage 1 Fleets and fuelBuild or lease the trucks, vessels, aircraft, locomotives and containers that carriers operate, often on long leases that spread capital cost.6,7
Why critical: Large jets come almost entirely from Airbus and Boeing, and Airbus alone had a backlog of 8,754 aircraft at end-2025, about 11 years of its 2025 output (calculated); 91% of ship tonnage completed in 2025 was built in China, Korea or Japan. Trucks are far more competitive. Technologies Diesel and LNG engines Battery-electric and CNG trucks Fuel-efficient hull and engine designs Operating-lease finance Depends on Commodities St SteelAl AluminiumRbr Natural rubberTi Titanium Chemicals Pnt Paints and coatingsLub Lubricant additives Energy HI Energy-intensive industry Industries Vehicles, ships, rail, aircraftFinance: banking, insurance, marketsExamples: Airbus, Tata Motors, Cochin Shipyard, AerCap, Triton InternationalRefine and deliver diesel, marine bunker fuel, jet fuel, LNG and electricity to carriers, the single biggest operating cost in most modes.2,4
Why critical: IATA forecasts fuel at 31.4% of airline operating costs in 2026, and fuel is 42.1% of Indian road-freight costs, so price spikes pass straight into freight rates. Technologies Refining and blending Bunkering barges Airport hydrant systems EV fast charging Sustainable aviation fuel blending Depends on Commodities Oil Crude oilGas Natural gas Chemicals HVO Renewable diesel and SAFFAME Biodiesel (FAME) Energy Ref Refining and reformingOP Oil and product pipelinesTk Tankers, barges and fuel trucksExamples: Indian Oil Corporation, Shell, BP, Reliance IndustriesRun berths, cranes and yards that load and unload ships and hand containers to rail and road, charging per container or tonne.1
Why critical: A country's deep-water capacity sits in a few ports; congestion or closure there delays trade for weeks and rerouting is limited. Technologies Ship-to-shore and yard cranes Terminal operating systems Automated gates and OCR Dredging Depends on Commodities St SteelCem Cement Chemicals Pnt Paints and coatings Energy Dist Distribution grids, mini-grids and interconnectorsICE Internal combustion engines and gensets Industries Construction and infrastructureMachinery and equipmentComputers and electronicsExamples: Adani Ports and SEZ, DP World, PSA International, APM TerminalsRun freight trains and container terminals on national networks and dedicated freight corridors, cheapest for bulk and long distance.5
Why important: Rail is usually a state monopoly on the track; India's dedicated freight corridors carried about 90 billion net-tonne-km in 2024-25, but road can substitute at higher cost. Technologies Electric locomotives Double-stack container wagons Freight operations information systems Inland container depots Depends on Commodities St SteelCu Copper Energy Rail Rail tractionRW Railway electrification and wireless power Industries Vehicles, ships, rail, aircraftConstruction and infrastructureExamples: Indian Railways, Container Corporation of India (CONCOR), Dedicated Freight Corridor Corporation of India, Union PacificRun airports, cargo terminals and ground handling for passengers and time-sensitive freight.2
Why important: Each city has one or two airports, but carriers can shift volumes between hubs within months. Technologies Cargo handling systems Cold rooms for pharmaceuticals X-ray screening Airport collaborative decision-making Depends on Commodities St Steel Chemicals HVO Renewable diesel and SAF Energy Bld Energy in buildingsPCM Latent heat and cold storage Industries Construction and infrastructureComputers and electronicsExamples: GMR Airports, Adani Airport Holdings, Menzies Aviation, SwissportOperate scheduled container services between ports, selling slots to shippers and forwarders on contract or spot rates.1,3
Why critical: MSC runs 21.5% of world container capacity and the top 10 lines about 85% (calculated, Alphaliner, mid-2026); Red Sea rerouting lengthened Asia-Europe voyages by about 30%. Technologies Ultra-large container ships Slow steaming and route optimisation Dual-fuel LNG and methanol engines Vessel-sharing alliances Depends on Commodities Oil Crude oilSt Steel Chemicals MeOH MethanolPnt Paints and coatings Energy Shp Ship propulsionLNG LNG chain Industries Vehicles, ships, rail, aircraftComputers and electronicsExamples: MSC, Maersk, CMA CGM, COSCO Shipping · MSC 21.5%, top 10 ≈ 85% of container capacity (calculated), mid-2026Carry full and part truckloads between factories, warehouses and cities, mostly small owners with a few trucks plus some large fleets.4,5
Why supporting: Extremely fragmented supply; shippers can find another truck within days, though rates swing with diesel prices. Technologies Telematics and GPS tracking FASTag electronic tolling Digital freight-matching apps e-way bills Depends on Commodities Oil Crude oilRbr Natural rubber Chemicals Ur UreaLub Lubricant additives Energy ICV Combustion road vehiclesEV Electric and hybrid vehicles Industries Vehicles, ships, rail, aircraftExamples: Transport Corporation of India, VRL Logistics, BlackBuck (Zinka Logistics, digital freight platform), J.B. HuntFly freight in bellyholds and freighters and run door-to-door express networks for documents, parcels and high-value goods.2
Why important: A few integrators dominate express, but many airlines sell bellyhold space; air is forecast to carry 71.7 million tonnes in 2026, at high cost per tonne. Technologies Freighter aircraft Hub-and-spoke sorting Customs pre-clearance Temperature-controlled pharma handling Depends on Commodities Oil Crude oil Chemicals HVO Renewable diesel and SAF Energy Jet Aviation propulsion Industries Vehicles, ships, rail, aircraftPaper and packagingExamples: FedEx, UPS, DHL Express, Blue DartBuy carrier capacity and arrange multimodal shipments, documents and customs clearance for exporters and importers.1
Why supporting: Thousands of forwarders compete; shippers can switch within weeks, though large global contracts take longer. Technologies Freight booking platforms Electronic customs filing Consolidation (LCL) planning Shipment visibility tools Depends on Energy Bld Energy in buildings Industries Software and IT servicesFinance: banking, insurance, marketsExamples: Kuehne+Nagel, DSV, DHL Global Forwarding, Allcargo LogisticsRun warehouses, packing and distribution for manufacturers and retailers under multi-year contracts.8
Why supporting: Many operators compete; moving a contract takes a few months but rarely stops the chain. Technologies Warehouse management systems Automated storage and sortation Barcode and RFID Electric forklifts Depends on Commodities St SteelTm Timber Chemicals LLDPE Polyethylene (LDPE, LLDPE) Energy Dist Distribution grids, mini-grids and interconnectorsLFP Lithium iron phosphate batteries Industries Paper and packagingReal estateExamples: Mahindra Logistics, TVS Supply Chain Solutions, DHL Supply Chain, GXO LogisticsSupply pallets, corrugated boxes, stretch film, straps and dunnage that protect freight in transit and storage.8
Why commodity service: Many local suppliers make standard items, so carriers and warehouses switch within days. Technologies Pallet pooling and rental Corrugated box making Stretch-wrapping machines Depends on Commodities Tm Timber Chemicals LLDPE Polyethylene (LDPE, LLDPE)PP Polypropylene Energy HI Energy-intensive industry Industries Paper and packagingWood productsExamples: CHEP (Brambles), TCPL Packaging, Smurfit WestrockSupply transport and warehouse management software, real-time tracking and national data exchanges that connect shippers, carriers and authorities.8
Why important: Several vendors compete, but swapping a core TMS or WMS takes months of integration. Technologies Transport management systems IoT trackers and telematics Route optimisation Unified Logistics Interface Platform (ULIP) APIs Depends on Commodities Cu Copper Energy DC Data centres Industries Computers and electronicsSoftware and IT servicesExamples: SAP, Oracle, project44, LocusSort and deliver parcels to homes and shops for ecommerce sellers and businesses, the customer-facing end of the chain.8
Why supporting: Several national networks and many regional ones compete, and large shippers split volumes across them. Technologies Automated parcel sorters Rider apps and route optimisation Electric two- and three-wheelers Cash-on-delivery reconciliation Depends on Commodities Li Lithium Chemicals LLDPE Polyethylene (LDPE, LLDPE) Energy EV Electric and hybrid vehiclesICV Combustion road vehicles Industries Vehicles, ships, rail, aircraftPaper and packagingComputers and electronicsExamples: Delhivery, India Post, Shadowfax, Xpressbees