APM Terminals Pipavav receives domestic roro service call in innovative industry first

APM Terminals Pipavav welcomed the IDM Symex, which arrived with a cargo of 800 Hyundai cars loaded at the Port of Chennai on February 5th, in a pioneering use of economical and environmentally-friendly coastal transportation of Indian-manufactured automobiles. APM Terminals Pipavav, part of the APM Terminals Global Terminal Network, commenced export Roll-on/Roll-off (Ro/Ro) services in August 2015, after NYK Auto Logistics India (NALI) invested in a state-of-the art stock yard and pre delivery inspection facility.

The new cars destined for Western India dealerships originated at Hyundai Motor India Limited’s (HMIL) automotive manufacturing facility near Chennai, in Tamil Nadu State. HMIL, the Indian subsidiary of Korean-based Hyundai Motor Company, is India’s second-largest car manufacturer, and for the past ten years, India’s largest passenger car exporter. 

Link Shipping and Management Systems Pvt. Ltd. is pioneering this venture which demonstrates the value, automotive manufacturers can derive from this safe, efficient and more sustainable, environmentally-friendly mode of transportation going forward.

“We are proud to be a part of this historic and innovative intra-costal shipment of Indian automobiles, serving India’s growing automotive industry with safe, and environmentally sustainable logistics alternatives,” said APM Terminals Pipavav, Managing Director, Keld Pedersen.

The Indian Ministry of Shipping’s decision to relax cabotage regulations on special vessels enabled this first domestic consignment. Modal shift incentives currently under evaluation by the Government of India will further encourage shifting of domestic cargo from road to sea.  Coastal shipping is an environmentally- friendly alternative to overland transportation by truck, reducing diesel fuel consumption and emissions, as well as Indian roadway congestion.

India has been projected by auto industry analysts to overtake Japan as the world’s foremost producer of “Entry Level” automobiles within five years, growing its market share from 20% in 2015 to 28% by 2021, as India’s consumer class, along with other emerging market populations targeted by Indian automotive manufacturers, continues to expand. India, with a population of 1.2 billion, is forecast to reach a record 2.2 million new car sales in 2016. 

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