<p>Cumulative electric vehicle sales in India crossed the 1,50,000-unit mark for the first time last month, with two and three wheelers making the bulk of these purchases, thanks to growing adoption from fleet, cargo and transportation providers, who often face credit and accessibility issues. Third-party logistics providers like Greaves Retail are bridging this gap through clean mobility solutions and innovative end-to-end procurement for these automobiles, as their own market is expected to touch $88.8 billion by 2028, according to the company’s CEO <span class="bold">Narasimha Jayakumar</span>. In a conversation with <span class="italic">DH</span>’s <span class="bold">Anjali Jain</span>, he further touched upon India’s growing appetite for electric vehicles, the growth prospects for three wheeler vehicles, and the ways in which the supply and assembly chains can be more India-centric. Edited excerpts.</p>.<p><strong><span class="bold">Q) What would India require to achieve an indigenous electric vehicle supply chain and what is Greaves Retail’s contribution to the same?</span></strong></p>.<p>Various companies are undertaking several projects to scale up EV battery manufacturing in India, in order to reduce the dependence on China. Indian companies are also investing in emerging battery technologies. Through its Spares vertical, Greaves Retail already sources batteries from various domestic EV battery manufacturers and distributes them throughout India in the aftermarket segment. Greaves "Power Raja" batteries target the small commercial transportation segment (e-rickshaws). Greaves Retail targets a strong growth in "Made in India" EV parts and distribution across our network of 200+ distributors, 20,000+ mechanics and 9000+ retailers.</p>.<p><strong><span class="bold">Q) What are the growth prospects for the L3 & L5 three-wheeler vehicle markets?</span></strong></p>.<p>L5 vehicles are 3-wheeled motor vehicles with maximum speed exceeding 25kmph, and L3 or e-rickshaws have speeds less than 25kmph. Such vehicles are constructed or adapted for carrying goods/passengers by providing a separate load body or compartment.</p>.<p>The total number of vehicles sold in year-end March 2023 was around 7 lakh, of which L3 was more than 50% at 357,000. Currently, CNG (at 61%), diesel (21%) and petrol (6%) are the most popular fuel types powering these vehicles. However, there is a considerable growth of EVs, and by FY27, EV share will be close to 40%. What is also interesting to note is that L3 vehicles are going to outpace the growth of L5 vehicles driven by demand for last-mile and shared mobility needs.</p>.<p><strong><span class="bold">Q) How can India's small businesses leverage clean mobility solutions provided by third-party logistics providers like Greaves Retail?</span></strong></p>.<p>Our AutoEVMart is a multi-brand e3W retailing network that sells a curated set of e-three wheelers and electrified small commercial vehicles (SCVs) to small businesses and entrepreneurs to transport cargo and people. India's third-party logistics (3PL) market is estimated to be $62.3 billion in 2023 and is expected to reach $88.8 billion by 2028, growing at a CAGR of 7.3%. The market is expected to be driven by the growth in manufacturing, FMCG, retail and e-commerce sectors. Indian companies are demanding new logistics capabilities and complex solutions from the 3PL service providers to help them successfully manage supply chain processes, bring down conventional logistics costs and handle more complicated tasks.</p>.<p><strong><span class="bold">Q) What are the company’s plans to tap India’s growing appetite for electric transportation?</span></strong></p>.<p>We are growing our access points, our portfolio of EV products and our service network to cover more than 500 towns and cities. Out of 289 million households, nearly 45% of them are in the "next half-billion" segment with income ranging from Rs 1.5 lakhs to Rs 5 lakhs per annum. Many of these customers will be adopting EVs to lower their personal transportation costs and also for running livelihood businesses such as last-mile transportation Greaves Retail serves these livelihood earners with services that span the entire lifecycle of the "asset", ranging from sales to spares to various value-added services. Through its financing partners, Greaves Retail also provides convenient vehicle financing and insurance services to these customers, many of whom are deprived of formal credit by banks and other financial institutions.</p>
<p>Cumulative electric vehicle sales in India crossed the 1,50,000-unit mark for the first time last month, with two and three wheelers making the bulk of these purchases, thanks to growing adoption from fleet, cargo and transportation providers, who often face credit and accessibility issues. Third-party logistics providers like Greaves Retail are bridging this gap through clean mobility solutions and innovative end-to-end procurement for these automobiles, as their own market is expected to touch $88.8 billion by 2028, according to the company’s CEO <span class="bold">Narasimha Jayakumar</span>. In a conversation with <span class="italic">DH</span>’s <span class="bold">Anjali Jain</span>, he further touched upon India’s growing appetite for electric vehicles, the growth prospects for three wheeler vehicles, and the ways in which the supply and assembly chains can be more India-centric. Edited excerpts.</p>.<p><strong><span class="bold">Q) What would India require to achieve an indigenous electric vehicle supply chain and what is Greaves Retail’s contribution to the same?</span></strong></p>.<p>Various companies are undertaking several projects to scale up EV battery manufacturing in India, in order to reduce the dependence on China. Indian companies are also investing in emerging battery technologies. Through its Spares vertical, Greaves Retail already sources batteries from various domestic EV battery manufacturers and distributes them throughout India in the aftermarket segment. Greaves "Power Raja" batteries target the small commercial transportation segment (e-rickshaws). Greaves Retail targets a strong growth in "Made in India" EV parts and distribution across our network of 200+ distributors, 20,000+ mechanics and 9000+ retailers.</p>.<p><strong><span class="bold">Q) What are the growth prospects for the L3 & L5 three-wheeler vehicle markets?</span></strong></p>.<p>L5 vehicles are 3-wheeled motor vehicles with maximum speed exceeding 25kmph, and L3 or e-rickshaws have speeds less than 25kmph. Such vehicles are constructed or adapted for carrying goods/passengers by providing a separate load body or compartment.</p>.<p>The total number of vehicles sold in year-end March 2023 was around 7 lakh, of which L3 was more than 50% at 357,000. Currently, CNG (at 61%), diesel (21%) and petrol (6%) are the most popular fuel types powering these vehicles. However, there is a considerable growth of EVs, and by FY27, EV share will be close to 40%. What is also interesting to note is that L3 vehicles are going to outpace the growth of L5 vehicles driven by demand for last-mile and shared mobility needs.</p>.<p><strong><span class="bold">Q) How can India's small businesses leverage clean mobility solutions provided by third-party logistics providers like Greaves Retail?</span></strong></p>.<p>Our AutoEVMart is a multi-brand e3W retailing network that sells a curated set of e-three wheelers and electrified small commercial vehicles (SCVs) to small businesses and entrepreneurs to transport cargo and people. India's third-party logistics (3PL) market is estimated to be $62.3 billion in 2023 and is expected to reach $88.8 billion by 2028, growing at a CAGR of 7.3%. The market is expected to be driven by the growth in manufacturing, FMCG, retail and e-commerce sectors. Indian companies are demanding new logistics capabilities and complex solutions from the 3PL service providers to help them successfully manage supply chain processes, bring down conventional logistics costs and handle more complicated tasks.</p>.<p><strong><span class="bold">Q) What are the company’s plans to tap India’s growing appetite for electric transportation?</span></strong></p>.<p>We are growing our access points, our portfolio of EV products and our service network to cover more than 500 towns and cities. Out of 289 million households, nearly 45% of them are in the "next half-billion" segment with income ranging from Rs 1.5 lakhs to Rs 5 lakhs per annum. Many of these customers will be adopting EVs to lower their personal transportation costs and also for running livelihood businesses such as last-mile transportation Greaves Retail serves these livelihood earners with services that span the entire lifecycle of the "asset", ranging from sales to spares to various value-added services. Through its financing partners, Greaves Retail also provides convenient vehicle financing and insurance services to these customers, many of whom are deprived of formal credit by banks and other financial institutions.</p>
