Logistics firm DHL Express is planning to set up its third air cargo terminal facility in Mumbai, as it seeks to increase its market share in the domestic air cargo business.

Two facilities

The company, which has two such facilities at Delhi and Bengaluru airports, currently has a share of about 50 per cent in the domestic air cargo market, handling one million shipments a month.

Its air network comprises five dedicated inter-continental freighters, making 19 flights a week and six freighters for domestic connectivity through its group company Blue Dart. In addition, it uses belly space of over 60 commercial flights daily.

A forecast by IATA, late last year, said India was the second fastest growing air cargo market after the Middle East, projecting that it would emerge among the 10 largest international freight markets by 2018, when its volume may touch 2.2 million tonnes.

“We are looking for space at Mumbai airport for such an airside terminal. We recently started a courier clearance in Ahmedabad, which will enable us to achieve better efficiency to facilitate the growing international trade from Ahmedabad and Western India,” RS Subramanian, managing director DHL Express India, told BusinessLine .

Key locations

Its proposed terminal in Mumbai and at other key locations are part of the ₹2,097 crore investment plans in India over the next few years. “We have a five-pronged strategy for India aimed at developing free trade houses, create specialised industry verticals, offer products specific to small enterprises, cross-sell DHL brands and invest in talent,” he said. To strengthen these operations, DHL is also expanding its network of service centre facilities, opening such units in Chandigarh, Faridabad, Ludhiana, Mysore and Sriperumbudur in the last 18 months.

“We will soon be opening a new service centre in Benguluru, which will be the third facility in the city,” Subramanian said. DHL, which has developed expertise in fashion logistics by delivering fashion week events across 11 countries, is supporting the Lakme Fashion Week that is currently on.

In style

“Fashion logistics is a complex affair. The dress or ensemble that one sees on the ramp passes through so many hands across countries and continents, before it takes the final shape. The entire collection has not only to arrive in time for the show, but afterwards has to be packed again and sent for the next fashion week in Europe and Tokyo,” Subramanian said.

This season, it will be presenting designers Kunal Rawal and Nishka Lulla at an exclusive show.

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