Slump drives transport sector into crisis in Vijayawada

Vijayawada: Transport sector is in deep crisis in Andhra Pradesh due to the impact of slowdown which is affecting the economy. Out of nearly 3 lakh trucks in the State, about 50 per cent trucks remain idle in the absence of demand, according to lorry owners.

With the purchasing power declining, the demand for transportation of goods too came down, they said. Most of the shopping malls in the cities like Vijayawada, Visakhapatnam, Guntur and Tirupati have been gradually losing their charm due lack of business.

General Secretary of the Andhra Pradesh Lorry Owners Association Y V Eswara Rao said nearly 50 per cent of trucks remained idle due to the impact of economic slowdown.

He said the problem began after the demonetisation of currency s and late implementation of GST. He said the increase in prices of diesel, petrol, tyres, insurance premiums, toll plaza fee had badly affected the transport sector in the State. New Motor Vehicle Act 2019 rules were intimidating the truck operators and transport companies.

Though the Andhra Pradesh government was not implementing the new MV Act, some states were enforcing them. The Andhra Pradesh truck operators were forced to pay high penalties in some States for violation of rules.

Eswara Rao said the truck operators have to pay road tax, insurance premium though the vehicles remain idle and there is no business. On the other hand, the truck operators are waiting for the harvesting season for the Kharif crop.

At least, transportation activity would be resumed with the transportation of paddy, maize, irrigated dry crops after October, said K Suresh, a truck operator in Vijayawada. He said most of the truck operators in the State depend on the transportation of agriculture produce, consumers goods, poultry products and fish.

So far, transportation of consumer goods drastically declined. Moreover, transportation of clothes, petroleum products, footwear, electronic goods and provisions also came down due to the impact of economic slowdown.

Most automobile showrooms particularly the cars, two wheelers and other passenger vehicles had stopped giving orders due to decreasing demand in the state. This also affected the transport sector in the State.

Eswara Rao said many truck operators had sold their vehicles to get rid of from multiple problems being faced by transport sector. Some of them still remain in the sector due to lack of alternative business.