In the context of heightened inflation, demand for groupage transport has increased by 40% this year. It is a less expensive freight transport solution compared to other types of transport. This is why the most companies in Romania prefer groupage transport. Thus, Romanian companies reduce the costs of transport services and stock storage by up to 80%, according to an analysis by DSV Road, the third largest transport company in Europe.
DSV Global Transport and Logistics
DSV Road is one of the largest carriers in Romania and Europe. It is offering complete transport services – groupage regime, less than truckload and full truck load, but also transport services based on biofuel, as part of the company’s mission to reduce pollution. DSV Road is one of the legal entities of the DSV group. It is present in Romania since 1994, together with DSV Solutions and DSV Air&Sea. DSV Road is part of the Danish group DSV Global Transport & Logistics. The DSV company operates in 13 cities in Romania and owns 120,000 square meters of class A logistics centers on the local market.
Groupage transport is a type of freight forwarding service that consists in the loading of a single truck with the goods of several companies, for different consignees. Companies that do not have enough cargo to rent the entire space in a truck prefer the groupage solution. Through this, they can transport from a single parcel up to three pallets of products, i.e., between 10 kg and 2,500 kg.
Most companies in Romania prefer groupage transport
“The high level of inflation generated an avalanche of costs on the local market and beyond. This led Romanian companies to look for the most effective solutions to reduce business expenses. Thus, the interest in groupage transport has grown exponentially in 2022, considering the multitude of advantages offered, among them, optimization of transport costs, well-established transit times, daily pickups, reduction of storage space expenses, smaller stocks or even non-existent and reducing the CO2 footprint, a solution increasingly sought by companies”, explains Sergiu Iordache, Managing Director of DSV Road.
Companies can streamline operations with the help of group transport. It’s being preferred by all types of companies, small, medium, and corporate, regardless of the size of the business, from all fields – retail, e-commerce, IT&C, automotive, pharma and others.
In this context, groupage transport services represent approximately 60% of DSV Road’s business in Romania. It is followed by intermodal transport.
For 2023, the company estimates an increase in demand for groupage services of at least 20%. In 2022, given the growing demand for multiple transport services, DSV Road expects a 40% increase in business. It is compared with the last year, estimating a turnover of 70 million euros.