New Delhi: Rivigo, India’s leading technology company in the logistics sector that is revolutionizing goods mobility in India and a crowned unicorn, has relaunched the National Freight Index (NFI) to bring pricing transparency in freight rates for the progress of the sector.
Rivigo has relaunched the NFI today after more than two years to publish daily rates for container trucks, which will ensure transparency in the road-freight marketplace. The NFI, which is completely tech-driven, will serve the objective of providing easy access to daily freight prices for truck owners, transporters, and other stakeholders in the sector and further establish trust and transparency in the highly fragmented logistics and supply chain market. NFI is an open-source data portal based on a proprietary algorithm that collects inputs from multiple data sources to give out the most accurate daily rates.
Commenting on this, Deepak Garg, CEO and Founder of Rivigo said, “We are very optimistic about creating a platform for fleet owners and transporters, which will enable the growth of the logistics sector. Currently, we are at a stage where the growth of the economy is creating a balance between the supply and demand in the market, which will confidently lead to sustainable freight pricing and profitability for small fleet owners and road freight operations.
“By reintroducing our National Freight Index, we want to empower small freight owners, transporters, advisors, consultants, and the market at large, which relies on this data actively. Going forward, we plan to launch the National Freight Forum, a collaborative platform for stakeholders of the logistics industry. By introducing such platforms, Rivigo aims to uplift the industry with technology, digital tools and other supportive services that will bring trust and transparency in the sector”, he added.
The NFI portal operates on a machine learning algorithm where inputs are provided to the technological platform from multiple sources, which are further enriched based on different parameters before arriving at the final rates. The main purpose of the NFI is to provide an accurate view of freight prices across lanes, which will logically enhance the truck booking process in India, just like the Sensex, and provide a comprehensive barometer of the road freight spot market in India.
The insights gathered through NFI from January 2022 onwards reveal a 4-5% increase in April 2022 freight rates as compared to January 2022 on the back of rising input costs of fuel, toll, and commercial vehicles. While a dip was observed in freight rates ex-North owing to supply accumulation, a surge was noticed in South freight prices, which was higher than input cost increases, to counter the observed price dip in North on return loads ex-South and West.
The spot freight rates are displayed in Indian rupee per ton-km and would be updated daily on the NFI. It will also give historical spot price movements of the road freight industry. The NFI is published and will be accessible on the digital portal: www.nationalfreightindex.com