Logistics company stocks are up in the green today. Snowman Logistics is up almost 8% at Rs.101, Gati is up 7.5% at Rs.268, Allcargo is up over 6% at Rs.310, Gateway Distriparks is up 3% at Rs.340 and Container Corp is up 3% at Rs.1306.

All these companies have moved up today, reacting to the Cabinet clearing the Goods and Services Tax (GST) Bill.  This universal, nationwide tax is expected to be much easy, lower and will ensure faster movement of goods and inventories, which in turn will mean more business for logistics companies.

There is as such tremendous activity in the sector with most companies ramping up capacities, scouting around for PE and strategic investors to take advantage of this tax, which is expected to start from April 2016. IPOs from TVS Logistcis and Mahindra Logistics is also being widely anticipated.  And there are already major bigwigs from abroad, like Japan's NYK , Nippon Express, Europe's FM Logistics, Rhenus Logistics, Panalpina and Damco which have started talking to companies to get into a formal tie-up. Yes, next few months could see a bevy of activity in this sector.