From the pages of CargoTalk: GST not collected by unorganised segment will remain a threat to economy: Chander Agarwal

Explaining the size of the market, Chander Agarwal, Managing Director, TCI Express, stated, “First, we must understand that Indian logistics is about 14 per cent of the GDP which is US$ 340 billion and as per the NITI Aayog this is supposed to double in the next five years. Even if it does not double, it will come up to approx. US$ 550 billion which is a substantial chunk of emerging business and 60 per cent of that will always remain road. So, if you look at 60 per cent of US$ 500 billion, it equals US$ 300 billion, as per the data by NITI Aayog, which will be road transportation in India. Here comes the important factor that 95 per cent of US$ 300 billion is going to be unorganised. The challenge is that the GST which is not being collected by the unorganised segment will always be a threat to the economy. The government has to find ways and figure out how they can counter that.”