Indian Foundation of Transport Research and Training said on Monday the country's truck fleet operators have enough cushion to absorb diesel price hike as key input costs have shown marginal incremental trends in the past few years compared to over priced rentals.
In its analysis of truck rentals and diesel prices in the country between September to November period, IFTRT said, the government's decision to reduce diesel price by Rs 2 per litre last year has not benefited the common man as freight rates have been maintained at high levels.
"The reduction of diesel prices did not get reflected in any reduction in truck rentals and therefore, the loss of PSU oil companies and that of the State Exchequer did not result in any benefit to the common man," IFTRT said.
It said truck freights have spiralled by 72 to 84 per cent between April 2002 and March 2007, whereas diesel prices have increased to Rs 30.45 per litre from Rs 16.5 per litre in April 2002,
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