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UPS, AFL form strategic alliance

Our Bureau

Mumbai Nov. 29 Atlanta-headquartered UPS, a global supply chain service provider, announced a strategic alliance with domestic logistics services company AFL, which will give Indian customers access to a broader international network.

The alliance will take effect from January 1, 2008, the day when AFL’s six-year alliance with DHL ends. AFL and DHL had entered into an almost similar alliance in 2002 for a period of six years.

Synergies

Mr Dan Brutto, President of UPS International, told presspersons that the alliance would create significant synergies between the two partners. “While UPS will now have access to AFL’s domestic network, AFL customers can benefit from UPS’s international express delivery service,” he said.

UPS Jetair Express will continue to operate as an international express delivery service provider connecting India with the global marketplace, while AFL will continue to function as a domestic service provider connecting businesses across India.

Global shipments

The strategic alliance also allows AFL to pick up international export shipments on behalf of UPS destined for more than 200 countries where the global major has a network. Similarly, UPS’s access points for customers with international delivery requirements will increase from the present 22 cities to more than 200 locations across India with the alliance.

AFL, which started operations in 1945 with air freight forwarding service, launched the first international air express service in India in 1979, moved into third party logistics and domestic air express service later.

Mr Cyrus Guzder, Chairman and Managing Director of AFL, said after the alliance took effect, new services, like handling of larger consignments and packaging, would be introduced.

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