India's Untapped Potential in Resource-Driven Transport

The Problem: Inefficiencies in India's Coal Logistics Ecosystem

In India's energy and manufacturing sectors, coal remains the backbone — fueling everything from power plants to steel and cement factories. But the logistics infrastructure supporting coal movement is riddled with inefficiencies, especially in Eastern India, where some of the largest coal reserves are located.

Key Challenges

• Transportation Costs Account for 35-45% of Total Coal Delivery Cost The cost of delivering coal is heavily transport-driven — making logistics the single most influential factor in coal pricing. Poor routing, inefficient loading/unloading, and lack of real-time optimization cause operational delays and inflate costs significantly
• Under-Optimized Logistics Ecosystem in Eastern India Despite being rich in natural resources, Eastern India lacks a streamlined, tech-enabled logistics network. The result? Frequent bottlenecks, infrastructure gaps, and fragmented supply chains that slow down movement and reduce supply reliability.
• Unreliable Coal Delivery for SMEs and Regional Industries (within 250 km radius) Small and mid-size factories — especially those located within a 200-250 km radius of mining zones — face inconsistent delivery, high last-mile costs, and uncertain lead times.
  These businesses are often too small to command priority service or secure long-term contracts with major logistics providers.
• Absence of Digitally-Connected, Accountable Logistics Partners Most players in the coal logistics space still operate with limited technology adoption, resulting in:
  • Zero real-time visibility
  • Poor communication
  • Lack of performance metrics or accountability
  • Inability to adapt to modern trade, compliance, and efficiency expectations

The Impact

These challenges lead to production disruptions, rising costs, and inefficiencies for industries that rely on timely, dependable, and affordable coal transportation — especially in mining-rich but logistics-weak zones.