UPS expands investment in India
25 / 10 / 2018
UPS has taken full ownership of its express service joint venture in India. It previously held a majority stake in the unit which exclusively serves UPS’s international express small package shipping business in the country.
UPS says the move to obtain full ownership, along with planned network upgrades, demonstrates the company’s commitment to invest strategically in high-growth international markets and countries with expanding economies such as India.
"The World Bank tells us that the global economy will expand by $6.5 trillion between 2017 and 2019. India will be the third-highest growth country with its gross domestic product (GDP) expected to account for 8.6% of this expansion,” said Rami Suleiman, UPS president for Indian subcontinent, Middle East and Africa. “In recent years, India has emerged as a key player in the shipping and logistics sector and UPS is poised to play a leading role in supporting international trade and supply chain related needs."
UPS recently inaugurated a facility at Hyderabad to provide integrated services for small package, supply chain solutions and contract logistics. In April, it opened another integrated logistics facility in Ahmedabad from where customers are provided a 48-hour delivery timeline to markets in the US and Europe. This is especially attractive for businesses in Gujarat – which contributes a quarter of India’s goods exports.
"This investment is a catalyst for growth and will support further expansions," said Rachid Fergati, managing director, Indian subcontinent. "With full ownership, we consolidate our position after thirty years of existence in India. We are well-positioned at the intersection of connectivity, technology and efficiency to help businesses realise their growth potential."