Avvashya CCI Logistics plans overseas expansion in UAE & Kenya

Posted by Daily Shipping Times on 04-12-2018        Tweet

MUMBAI : Avvashya CCI Logistics Pvt Ltd (ACCI), a unit of Mumbai-listed Allcargo Logistics Ltd, is venturing into United Arab Emirates (UAE) and Kenya as part of a larger plan to expand into overseas markets, said a top company official.

The company has drawn up a strategic roadmap to expand its operational footprint by establishing a market presence in Kenya (East Africa) and Jebel Ali Free Zone in the UAE.

ACCI will leverage its market capabilities to provide technically-advanced warehousing services to global automobile majors keen to set up vehicle assembly lines in Kenya.

Allcargo holds a 62 per cent stake in Avvashya CCI Logistics.

Given Kenya’s prime position as the largest economy in East Africa and one of the largest consumer automobile markets in the African continent, the Kenyan Government plans to develop it as a regional auto-manufacturing hub.

Jebel Ali Free Zone

ACCI is also expanding operations into the Gulf region by operating out of Jebel Ali Free Zone in Dubai.

The company aims to provide warehousing services to auto majors that have a presence in the zone and intends to tap into the vehicle & transport sectors that form a major part of the zone’s customer base.

Over the years, Dubai has emerged a leading logistics and distribution hub for the automobile industry in the Gulf region.

ACCI is also in discussions with the Government of Ras Al Khaimah to set up a warehousing facility at the Ras Al Khaimah Economic Zone.

The global expansion initiatives of ACCI will be led by Anoop Chauhan, who recently joined the company as Chief Operating Officer, ACCI Supply Chain.

“Emerging global market trends and trade insights point to the fact that the global economy is on a rebound. As headwinds ebb, key economic sectors and industries around the world will witness exponential growth and expansion.

“The global automotive sector will be the key pivot around which the international economic growth story will unfold. We foresee an uptick in demand for specialised warehousing and logistics solutions for the sector, as auto makers plan to set up vehicle assembly lines in automotive hubs around the world.

“This is the right time to scale up our operational capacities on a global level and to expand our footprint in emerging overseas automotive hubs,” said Adarsh Hegde, Joint MD, Allcargo Logistics.