Gujarat Pipavav Port bullish on car exports
A top company official has said, Gujarat Pipavav Port Limited (GPPL) plans to double its roll-on roll-off (RoRo) business over the next two years on the back of strong car exports from India.
A RoRo is a vessel with built-in or shore-based ramps that allow four-wheeled cargo like cars, to be rolled on and off the vessel, when it is in port.
Managing Director Keld Pederson said recently, “In May this year, the board approved plans for further expansion and land preparation at the Pipavav Port to support Pipavav’s ambition to double RoRo business over the next two years.”
Pederson said volume will be fuelled by the export of passenger vehicles.
The Gujarat-based port and shipping firm, managed by the Netherlands-based port operator APM Terminals, a unit of AP Moller-Maersk Group, accounts for a 10% share of the car export business.
Passenger vehicles exports from India—the second largest category after two wheelers—have been advancing at a compounded annual rate of 8.9% over the last six years.
Exports grew 10% to 758,830 units in fiscal 2016-17, the fastest in six years, according to Society of Indian Automobile Manufacturer (Siam).
The growth was primarily led by Ford India Private Limited, the second largest in the pecking order after Hyundai Motor India Private Limited. Ford’s overseas shipment jumped 43% to 158,469 units over a year ago period, according to Siam.
Pipavav is looking to ship around 100,000 units by the turn of the current fiscal, Pederson said, compared to 83,000 passenger vehicles shipped in FY 2017.
While Pipavav Port is working closely with carmakers such as Ford, it is also in talks with the local arms of others that have big export plans, he said.
Pederson said his firm is in talks with passenger vehicle makers such as Honda Cars India Limited and Maruti Suzuki India Limited, among others.
Tag Keyword: Gujarat Pipavav Port Limited , RoRo Business , Car Exports , Vessels , APM Terminals