Concor may set sail for shipping

Container Corporation of India (Concor), rail public sector undertaking and multimodal logistics company, may foray into shipping business.

The company, which was the only container carrier by rail, is working out various modalities to enter into shipping.

Concor is operating 58 inland container depots (ICDs) terminals, better known as dry ports, across the country including 8 domestic and 50 international terminals.

Sources said this logistics company has synergy in shipping operations as it has presence in container carriage by rail, ICDs, Container Freight Station and port management.

The size of the shipping fleet and investment has not been finalised yet. "It could be either coastal operator or international services. The idea is own a full fledged shipping fleet to supplement Concor's other activities," they added.

Concor Director (Domestic Division) Anil Kumar Gupta said that the company has not firmed up plans on that adding "however we will welcome any activity which is related to our core functions." Yash Vardhan, Executive Director, Concor said though shipping is an area of natural progression, "it is too premature to comment."

This multimodal logistics company has forayed into port management by teaming with Danish shipping major Maersk for operating third container terminal at Jawaharlal Nehru Port Trust (JNPT).

To add, Concor has recently ventured into aircargo and cold chain business. Fresh & Healthy Enterprises has been incorporated as a subsidiary for cold chain business project in a phased manner.

Concor has also tied up with Hindustan Aeronautics (HAL) for handling aircargo at Nasik. Earlier, it had joined hands with French shipping major CMA CGM Global India for an ICD at Dadri near Delhi. Recently, the Railways had opened up container carriage to private players and 13 firms have licence to run such trains, that was Concor's monopoly.

"Concor is gearing up its meet competition from private players by signing memorandum of understandings with them. It is also reorienting business processes while diversifying into cold chain and port management," industry analysts added.