In a major development Chennai port trust recently signed an agreement with KIA motors along with their Logistcs Partners M/s. Glovis India Anantpur P Ltd to provide tailor made facilities and concessional benefits for the export of KIA’s vehicles.
KIA motors which had set up its plant in Anantpur, Andhra Pradesh in record time, had rolled out its first car on 8th August 2019.
This long term agreement will be valid till 2029 and will assist KIAmotors to set its root deep in the South Asian market. KIA motors will exclusively use Chennai Port Turst for its export of vehicles manufactured at Anantpur plant said an official release from Chennai Port Trust.
The release further added that Chennai port agreed to provide not only safe berth for car carrier vessels at concessional rates but also paved & safe parking area for cars at reduced rates.
Chennai port has been one of the pioneer ports in Automobile handling on the Indian East Coast. It already has been exporting M/s Hyundai Motors India limited cars since 2005 in huge volumes wherein the port trust has a similar MoU with M/s HMIL valid till 2028.
It was further stated that Chennai port trust offered reduced commercial charges based on the export volume committed by KIA. Chennai Port trust in this current financial year up till August has already exported approximately 79,530 cars as against 52,948 cars during the same period last year. This marks a 50% increase in its car exports and with KIA now coming in this figure is set to increase further.
On the development front coastal berthing admeasuring 260 meters in length has been constructed with sufficient back up area while the bunkering berth is under construction and is said to be ready by March 2020.