The road freight industry, also known as the trucking industry, is integral to the Australian economy. Although it was not spared by the global financial crisis, it still maintained an annual growth rate of 2.4% in the last five years. Today, the industry has approximately 41,000 businesses, which employ more than 250,000 people and pay more than $13 billion in annual wages.
The industry looks very solid at the moment and getting into trucking business looks like a brilliant move. However, for serious investors, the present situation alone is not enough to invest a significant amount of money. You also need to have a good idea of how the trucking industry would fair in the future.
Today, there are more than 500,000 registered trucks running on the roads in all of Australia. But believe it or not, that number is still projected to increase. According to Centre for Automotive Safety Research, the number of heavy vehicles will grow because of the projected doubling of the national freight task by 2030. One reason is the growing demand for interstate trucking services. Because of that, the trucking industry will continue to be profitable in at least the next five years.
The trucking industry is the only sector capable of door-to-door service without a change of transport mode. Thus, it is still the most dominant and most profitable sector among other logistics and transport industries such as water, air and rail freight. It is expected to generate $60.2 billion in 2020-2028 as it commands the non-bulk freight market due to its advantages in price, convenience, speed and reliability.
However, much like the other transport industries, a number of concerns need to be addressed upon entering the trucking industry. One of them is the growing demand for workers, especially the truck drivers. The number of employees in the trucking industry is projected to increase over the next five years by more than 20,000. Some other concerns are the rising cost of fuel, the upward trend of the average wage, and rising insurance premiums. These are needed to be dealt with to ensure a successful trucking venture.
Still, it is clearly a good idea to get into trucking business based on these projected figures. If you want to go ahead and put a couple of trucks on the road, Aussie Truck Loans can give you a quick jump-start with our best trucking finance services. We offer commercial or personal finance with low-interest rates, both for new and used trucks. It does not matter if you have a good or bad credit, we have a variety of loan packages that will suit any financial status. Contact us now and let us find a solution to get your trucking business running without any disturbance.