Market Analysis of Customs Brokers
The relevance of research
In the modern world, the relevance of customs brokers is difficult to overestimate. Such specialists solve almost all issues related to cargo clearance, which eliminates errors and loss of financial resources. The activity of a customs broker is to represent the customer at customs, and he also regulates the solution of all issues between the customs authorities and the consignee. It performs a huge list of functions: obtaining expert assessments, opinions, permits, payment of customs duties, or cargo certification
Purpose of the study
Analysis of the state of the market of customs brokers in India, assessment of the market size, analysis of competitors, as well as identification of factors affecting the market of customs brokers
Content
Part 1. An Overview of the Indian Customs Brokerage Market
1.1. Definition and Characteristics of the Indian Customs Brokerage Market
1.2. Dynamics of the Indian market of customs brokers, 2016-2020
1.3. Market structure by type of service provided in India
1.4. The structure of the market of customs brokers in the Union Territories
1.5. Assessment of current trends and development prospects of the studied market
1.6. Assessment of factors affecting the market
1.7. Analysis of sectoral indicators of financial and economic activity
Part 2: Competitive Analysis in the Customs Brokerage Market in India
2.1. Major players in the market
2.2. Market shares of the largest competitors
2.3. Profiles of major players
Part 3. Analysis of the consumption of customs brokers
3.1. Estimated volume of consumption of customs brokers per capita
3.2. Market Saturation and Estimated Market Potential in India
3.3. Description of consumer preferences
3.4. Price analysis
Part 4. Assessment of factors of investment attractiveness of the market
Part 5. Forecast for the development of the customs broker market until 2025
Part 6. Conclusions on the prospects of creating enterprises in the study area and recommendations for current market operators
Research excerpt
Part 1. An Overview of the Indian Customs Brokerage Market
1.1. Definition and Characteristics of the Indian Customs Brokerage Market
A customs broker is a legal entity participating in foreign economic activity on behalf of and on behalf of …
The range of services provided by such a company can be ...
...
From July 1, 2010 to the present, a customs broker has been called a customs representative. A customs representative is ... A customs representative makes ...
The customs representative has the right to restrict ...
The relations of customs representatives with declarants or other interested parties are built by ...
...
The customs agent may pay customs duties, ...
When declaring goods and (or) releasing them, the customs representative bears ... the obligation to ...
The status of a customs representative is confirmed by a certificate of ...
Conditions for inclusion of a legal entity in the register of customs representatives:
...
1.2. Dynamics of the Indian market of customs brokers, 2016-2020
Let us consider the dynamics of the volume of the market for customs brokerage services.
The dynamics of the market for customs brokerage services in India has … character – an indicator annually.... In 2014, the growth amounted to almost …% compared to the previous year. The devaluation of the rupee, which had the greatest impact on the economy of the state, the decline ... led to ... the market for customs brokers. The increase in monetary terms …% was due to …
Recovery by …% in 2016 is mainly due to ... In 2017-2019, … growth rates remained unchanged, annually …%. The market is back...
The economic crisis of 2020 and another decrease in the volume of foreign trade operations led to ... The market volume amounted to … billion Rs.
Note that the assessment of the market size is much more difficult due to ..
1.3. Market structure by type of service provided in India
When forming the structure of the market by type, the criterion of ""universality"" of the company was taken as a basis. Almost ... (...%) of the customs brokerage market is occupied by ""universal"" companies - companies with ... Such companies specialize in ...
It is noteworthy that, firstly, companies with a share of customs representation services in the revenue of more than or equal to …% (that is, highly specialized) occupy about …% of the market according to GidMarket. This suggests that companies are trying ...
1.4. The structure of the market of customs brokers in the Union Territories
The undisputed leader in the structure is … Union Territories, during the period occupying a share of at least …%, which is mainly due to ... The second place is annually occupied by … Union Territories with a share of at least …%, it tends to ...
In third place is … the Union Territories with a share of …% in 2020. The rest of the Union Territories occupy shares of less than …% each.
It should be noted that the calculation of the shares of the Federal Districts in the total market volume was carried out for participating companies according to ...
In general, there is an upward trend in the provision of services in the regions, except for …Union Territories and …Union Territories: if in 2013 these 2 districts occupied …% in the structure, then in 2020 it decreased to …%.
Diagram 3. Structure of the provision of customs brokerage services in India by Union Territories in 2013-2020, %
1.5. Assessment of current trends and development prospects of the studied market
The customs brokerage market in India has the following trends and outlook:
- After the crisis of 2015-2016, the market …
- The growing popularity of customs brokerage services is due to ...
- More than …% of revenue from the provision of services by customs brokers is provided by companies from …
- There is an upward trend...
- The competition that has developed in the market today, ...
- There is a trend...
1.6. Assessment of factors affecting the market
Macroeconomic factors influence the dynamics of all sectors of the Indian economy, including the customs broker market under consideration. The main groups of factors are: economic, political, social and technological.
Economic
GDP (gross domestic product) is used to determine the rate of economic development of any state. GDP is a macroeconomic indicator that reflects the total value of goods, works and services that were produced and provided in the country in a year. Gross domestic product is...
Chart 4 shows India's GDP growth rate from 2007 to 2020 at comparable prices (at 2016 prices).
The impact of the crisis, which began in 2008, led to a decrease in GDP by …% in 2009, but then the growth rates were ...
Further, until 2014, the growth rate was …, but constantly …, and in 2015 it was … In 2015, which was the peak of the crisis in the state, the decline in GDP was …% compared to the previous year is directly proportional to the well-being of citizens, then this indicates ...
In 2016, GDP stagnated, at the end of 2017 this indicator shows a positive trend, namely, an increase of …% compared to the previous year.
...
The volume index of gross domestic product in 2020 amounted to …% compared to 2019.
Thus, experts disagree on the forecast for the medium term: in 2021-2023, the economy is expected to recover ... - by 1 ...%.
Currently, the factor of the decline in GDP in 2020 is ...
...
Demographic (social)
...
technological
...
Political
...
Table 3. STEP-analysis of factors influencing the market of customs brokers
In general, the impact of macro factors on the market of customs brokers can be assessed as … of medium strength. Negative influences are... Positive influences are...
A group of … factors has a negative impact on the market, other groups of factors have … an impact.
1.7. Analysis of sectoral indicators of financial and economic activity
...
Important data for analyzing the state of the industry is the dynamics of such indicators as profitability, liquidity, and business activity.
For the period under review from 2014 to 2018, the gross margin indicator in the industry of providing services by customs brokers as a whole showed … dynamics. From the value of …% in 2014, it is …% in 2016 and up to …% in 2020. This speaks of…
In total, all sectors of the Indian economy show negative dynamics in the period from 2014 to 2017, so the gap between the industry in question and the final indicator ... In 2017, this gap was ...%. In 2018, the gross margin indicator for all sectors of the economy showed … dynamics, and then slightly …, the difference with the profitability for the industry under consideration increased to …%, which is a … trend.
Diagram 11. Profitability before tax (profit of the reporting period) in the field of customs brokerage services in comparison with all sectors of the Indian economy, 2014-2020, %
From 2015 to 2019, profitability before tax in the customs brokerage industry …% to …%. In 2016-2019, the work of the industry can be called the most ... At the end of 2020, the difference between the industry in question in terms of profitability of the reporting period and the average for all sectors of the economy ... p.p., however, it remained ...
Let's consider liquidity indicators in the industry of customs brokerage services. The indicator of current liquidity is a measure of the solvency of the organization, the ability to repay the current (up to a year) obligations of the organization.
The estimated indicator of the current liquidity of a normally operating solvent legal entity must be at least 1, i.e. it is necessary that the total value of current assets be greater than the amount of short-term liabilities.
For the industry under consideration, during the period from 2014 to 2020, the dynamics of the total coverage indicator ... The nature of the change in this value ... In 2014, 2016, 2017 and 2019, there was ... current liquidity compared to the previous year, the minimum value was reached in ... year and amounted to ... According to the results of 2020, the increase compared to 2019 amounted to …%, liquidity amounted to … times. The annual value of current liquidity …
A more stringent liquidity criterion is the absolute liquidity ratio. He shows, …
During the period under review, the overall indicator for all sectors of the Indian economy did not fall below ..., which indicates ... In the customs brokerage industry, this indicator was ... until the end of 2018, the minimum was observed in ... year - ... At the end of 2020 absolute liquidity amounted to ... times that ...
Business activity is...
The dynamics of the average term of receivables turnover in the period from 2014 to 2020 had … character, the minimum was observed in … year – … day days, and the maximum in 2017 – … day days. In general, in 2018-2020, the indicator ...
...
The equity ratio characterizes ...
The final working capital ratio for all sectors of the economy in 2015-2016 shows a trend towards …, in 2017-2018 it …, and in 2019 and 2020 it exceeded ..
In general, for the period under review, the industry of customs brokerage services showed … dynamics. In addition to 2015, the values of the indicator for the services of customs brokers were ... than for all sectors of the economy. In addition to 2017, in other periods, the indicator ...
Thus, the dynamics and / or level of financial stability, business activity, liquidity are characterized by ...
Part 2: Competitive Analysis in the Customs Brokerage Market in India
2.1. Major players in the market
In this study, 5 largest private companies providing customs brokerage services (specialize in providing such services) and included in the Indian register of customs representatives are considered. The market is ... and ..., especially in ...
The largest specialized companies in the market under consideration in 2020 were: LLC “…”, LLC “…”, CJSC “…”, LLC “…” and LLC “…”.
2.2. Market shares of the largest competitors
Diagram 15. Shares of the largest competitors in the market of customs brokers in 2020, %
The top 5 participants in the customs brokerage market include: LLC “…” with a share of …%, LLC “…” with a share of …%, … In total, these companies occupy about …% of the market. Other firms account for …% of the customs brokerage market in India. The market is extremely...
...
2.3. Profiles of major players
OOO ""…""
...
Chart 16. Dynamics of the total revenue of the largest customs broker market operators (TOP-5) in India, 2016-2020, billion Rs.
The dynamics of the total revenue of the largest private companies in the customs brokerage market in India has … character. The highest growth rate was observed in … and … years and was associated with active ... The average growth rate for the period amounted to …% annually. Since the top 5 market players occupy extremely small shares, the dynamics of their total revenue ...
Part 3. Analysis of the consumption of customs brokers
3.1. Estimated volume of consumption of customs brokers per capita
The nature of the dynamics of the per capita consumption indicator ... - the volume annually ... If in 2014 there were ... rupees per inhabitant of the country, then in 2020 it is already almost ... rupees of consumption. The value has grown...
3.2. Market Saturation and Estimated Market Potential in India
...
3.3. Description of consumer preferences
...
3.4. Price analysis
The table shows the dynamics of prices for customs brokerage services in India in the form of annual CPI.
The dynamics of the cost of services of customs brokers is mainly determined by the level of …, and until 2014 inclusive, the prices for services of customs brokers grew by … than in general for services to the population (in 2014 by …%). Further deviation was ...
To maintain the level of demand, market companies maintained the price level set in 2018 throughout 2019 as well. Further, in 2020 and early 2021, the price growth rate was …
Table 13. Average prices in the market of customs brokers across the Union Territories in 2021, RUB
The table contains data on prices for the services of customs representatives (with revenue in 2020 of more than 500 million Rs.), presented on their official websites (if prices are available on the website). Part of customs brokers…
Some companies provide prices for the preparation of the declaration and additional sheets to it, some post information on the cost of a comprehensive ...
The vast majority of companies indicate the value of ""..."".
According to market operators, customs and other operations carried out by a customs representative depend on the content ...
The final cost of a broker's services often depends on the following factors:
- Type of customs procedure...
- The nature of the cargo. …
- Customs...
- Quantity …
- ...
Part 4. Assessment of factors of investment attractiveness of the market
A comprehensive assessment of the factors of investment attractiveness is ... points - ... investment climate. … factors of the investment climate of the market of customs brokers dominate over .... This means that within the industry under consideration, the prospects and potential for development …
The most significant positive factors. …
The most significant negative factors. …
Part 5. Forecast for the development of the customs broker market until 2025
...
Part 6. Conclusions on the prospects of creating enterprises in the study area and recommendations for current market operators
...
Diagrams
Diagram 1. Dynamics of the market volume of customs brokers, 2014-2020, billion Rs.
Diagram 2. Market structure of customs brokers by types in 2020, %
Diagram 3. Structure of the provision of customs brokerage services in India by Union Territories in 2013-2020, %
Diagram 4. Dynamics of India's GDP, 2007-2020, % to the previous year
Chart 5. Monthly dynamics of the US dollar against the rupee, 2015-2021 (Jan-Mar), Rs. for 1 US dollar
Diagram 6. Dynamics of real incomes of the population of India, 2011 - 2020, % to the previous year
Diagram 7. Population dynamics in India as of January 1, 2010-2021, million people, %
Diagram 8. Population forecast in India for the period 2021-2024, million people
Diagram 9. Dynamics of the volume of imports and exports in 2014-2020, billion dollars
Chart 10. Dynamics of the size of the average interest rate on loans, 2015-2020 (Jan-Nov), years, %
Diagram 11. Profitability before tax (profit of the reporting period) in the field of customs brokerage services in comparison with all sectors of the Indian economy, 2014-2020, %
Diagram 12. Current liquidity (total coverage) in the field of customs brokerage services for 2014-2020, times
Diagram 13. Business activity (average period of receivables turnover) in the field of customs brokerage services, for 2014-2020, days days
Diagram 14. Financial stability (security of own working capital) in the field of customs brokerage services, in comparison with all sectors of the Indian economy, 2014-2020, %
Diagram 15. Shares of the largest competitors in the market of customs brokers in 2020, %
Chart 16. Dynamics of the total revenue of the largest customs broker market operators (TOP-5) in India, 2016-2020, billion Rs.
Chart 17. Consumption of customs brokerage services per capita, 2014-2020, Rs./person
Diagram 18. Forecast of the market volume of customs brokers in 2021–2025, billion Rs.
Tables
Table 1. Forecasts of various sources for real GDP in India in 2021-2023 (data for January-May 2021), %
Table 2. Weighted average interest rates of credit institutions on credit operations in rupees, excluding PJSC Sberbank (% per annum), 2015-2020 (Jan-Nov)
Table 3. STEP-analysis of factors influencing the market of customs brokers
Table 4. Gross margin of the customs brokerage industry compared to all industries in India, 2014-2020, %
Table 5. Absolute liquidity in the customs brokerage sector compared to all sectors of the Indian economy, 2014-2020, times
Table 6. Main companies participating in the customs brokerage market in 2020
Table 7. Basic information about participant No. 1 of the customs broker market
Table 8. Basic information about participant No. 2 of the customs broker market
Table 9. Basic information about participant No. 3 of the customs broker market
Table 10. Basic information about participant No. 4 of the customs broker market
Table 11. Basic information about participant No. 5 of the customs broker market
Table 12. Consumer price indices for customs brokerage services in India in 2014-2021 (Jan.-Mar.), %
Table 13. Average prices in the customs brokerage market by Union Territories in 2021, Rs.
Table 14. Assessment of factors of investment attractiveness of the market of customs brokers
Table 15. Main indicators of the forecast for the socio-economic development of India until 2024 (base case), units rev.
Table 16. Forecast indicators for import and export of goods in 2021-2024, units rev.
All reports