Container Corporation of India is focused on improving first and last mile connectivity for its customers. | Photo: Concor website
State-owned Container Corporation of India Limited (Concor) is set to resume coastal cargo transportation as part of its multimodal logistics strategy, according to a report by Business Today. The measure aims to provide a cost-effective, fast and environmentally friendly transport solution.
This development follows the signing of a Memorandum of Understanding (MoU) between Concor and the Shipping Corporation of India (SCI) in June this year. The agreement seeks to explore business opportunities by leveraging each other’s infrastructure and expertise, thereby offering cost-effective, end-to-end logistics services through a single platform.
The MoU will facilitate SCI’s ocean freight services to expand Concor’s reach to international destinations while also making inroads into coastal and riverine trade, thereby providing a wide range of customized logistics solutions for broader business benefits.
Concor had initially launched coastal shipping services in January 2019, establishing routes from Gujarat to the southern regions of India. However, these services were suspended in 2020 due to the Covid-19 outbreak.
“We have partnered with the Shipping Corporation and will soon resume coastal shipping from Gujarat to South India and also from the south to the eastern parts of the country. We look forward to hearing about our coastal movement initiative in the near future,” Sanjay Swarup, CEO of Concor, recently told investors.
Coastal routes will carry a variety of commodities including waste paper, ceramic tiles, sanitary items, soft drinks, cotton bales and consumer goods.
Concor FMLM Initiative
Concor is focusing on improving first- and last-mile connectivity for its customers, and coastal shipping will be a crucial component of this strategy. In addition, the company has introduced a logistics application to support first- and last-mile services.
“The First Mile, Last Mile (FMLM) initiative has been a huge success. In Q1 FY25, we achieved a revenue of Rs 82 crore from this segment, which is a year-on-year growth of 35 per cent,” Swarup added.
The company has set a growth target of 50 per cent by fiscal year 2025. “We are optimistic that the nationwide launch of the app and other strategic measures, including educating customers about its benefits, will drive this growth,” he concluded.
First published: September 2, 2024 | 16:05 IS
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