Bax Global services for HyperCITY likely by Nov

Bax Global, the second-largest transportation and logistics company in the world, is setting up its cold chain supply channel in the country.

The company, which has a supply arrangement with domestic retail chain HyperCITY, will handle imports of perishables to the store from global destinations.

Sources said this was the first such cold chain system being set up in the country to cater to the fast-growing organised retail sector for imports of perishable products.

Bax Global's senior executives and HyperCITY's supply chain partner Waitrose, which is the top supermarket chain in the UK, are expected in the country to finalise the project this week. However, the total investment in the cold chain establishment is not known.

"Bax Global is in the process of identifying the infrastructure to transport reefer cargo. The company will set up a warehouse with refrigerated storage capacities to handle the import cargo," the sources said.

The company will have a facility of sorting, packaging, distribution and redistribution, along with transport chain with refrigeration facility.

Bax Global had earlier tied up with Vijay Mallya-promoted Kingfisher Airlines to set up cargo handling infrastructure, including reefer cargo, for latter's proposed dedicated cargo airline venture.

HyperCITY is expected to avail of the services of the Bax Global cold chain from November onwards to import perishable products except fruits and vegetables, said Andrew Levermore, chief executive officer of HyperCITY Retail.

The domestic supermarket chain will be sourcing the products from Waitrose.