Hanjin to establish own company in India
South Korea’s Hanjin Shipping will invest $900,000 to establish a wholly owned subsidiary in India, due to open April.
Hanjin Shipping India PVT Ltd. will directly operate its own sales organization from a branch office in Mumbai and sales offices in Delhi and Chennai. Confreight Shipping, Hanjin’s existing agent in the country, will continue to serve as the sales agent for the Calcutta, Cochin, and Tuticorin regions.
Hanjin expects to handle about 80,000 TEUs of import and export cargo traffic in India this year, up by about 16 percent from last year.
The Seoul-based carrier has operated one intra-Asia service and one Asia/Europe loop calling at Mumbai and Nhava Sheva. In November, Hanjin, together with United Arab Shipping Co and its CKYH Alliance partners K” Line and Yang Ming, will start a weekly Singapore/India/U.S. East Coast SINA service.
“The new local company is designed to secure a strategic foothold in the large Indian market with a huge growth potential, and proactively respond to the expanding market from a long-term perspective, and make logistics operations more efficient,” Hanjin said in a statement.
“Hanjin Shipping India PVT Ltd. is also in line with Hanjin’s strategy to continue to expand its direct sales network in Europe and Asia where improved business competency and customer service will be needed to handle the growing volume in the future.”
Since 2005, Hanjin has established local companies in Valencia, Spain, Ho Chi Minh, Vietnam, Bangkok, Thailand, and Colombo, Sri Lanka.