preview

Road Transport

Better Essays

NATIONAL ROAD TRANSPORT POLICY Introduction
1.1 Road transport is vital to economic development, trade and social integration, which rely on the conveyance of both people and goods. Reduction in transport costs promote specialization, extend markets and thereby enable exploitation of the economies of scale. Global competition has made the existence of efficient transport and logistic systems in delivery chain an absolute imperative. Easy accessibility, flexibility of operations, door-to-door service and reliability have earned road transport an increasingly higher share of both passenger and freight traffic vis-à-vis other transport modes. Road transport has emerged as the dominant segment in India’s transportation sector with a share of …show more content…

Over the short term, the sensitivity of demand for vehicles to changes in GDP and in vehicle price is somewhat elastic as their purchase can often be delayed, but in the long term it has low elasticity, indicating that personal mobility is considered by many as essential to everyday living and that it has few substitutes. Thus, other measures are required as well to restrain growth in personal motor vehicle and associated negative externalities.

2

Need for Policy
3.1 Of all infrastructure sectors, the products and markets of the transport industry are most varied. Road Transport sector consists of two distinct segments; (a) Transport services that serve the public or commercial customers directly, and; (b) Transport infrastructure that is used by the transport service providers. Transport services are mainly privately owned and operated. In contrast, privately-owned transport infrastructure (particularly road networks) is not common. 3.2 Passenger and freight movement by road is expected to rapidly expand in the coming years in view of number of factors which amongst others include (a) substantial investment in improvement in national highway network which will facilitate speedy, reliable, door to door services (b) freight movement by road offers a holistic logistic solution that

Get Access