Japanese logistics companies are racing to step up their operations in India to cash in on the rapidly growing South Asian market, with Suzuyo & Co. and MOL Logistics (Japan) Co. establishing local subsidiaries, while Nippon Express Co. opened a new warehouse.
Japan’s logistics companies are increasingly turning to India as the Chinese economy is losing steam and the Japanese economy expands only moderately, as the Indian economy is expected grow faster than China and Japan in real terms. The International Monetary Fund predicted in its latest global economic outlook on April 18 that the Indian economy will grow 7.2 percent in 2017 and 7.7 percent in 2018, while the Chinese economy will grow 6.6 percent in 2017 and 6.2 percent in 2018.
As a result, Suzuyo has established a local subsidiary called Suzuyo India Private Ltd. in Gurgaon, Haryana state, near New Delhi. Suzuyo India plans to set up a branch office in Chennai in the near future to expand its operations across the country.
Meanwhile, MOL Logistics (Japan) established a local subsidiary called MOL Logistics (India) based in Mumbai that MOL Logistics (Japan) said will meet a wide variety of customer needs by making full use of its global network and logistics expertise, such as air and ocean transport, cross-border transport with neighboring countries, domestic transportation, warehousing, customs clearance, moving services, and plant and project cargo transportation.
MOL Logistics (India) has business footholds in five other locations: Delhi, Chennai, Ahmadabad, Bangalore, and Pune.
Lastly, Nittsu Logistics (India) Private Ltd., Nippon Express’ Indian subsidiary, recently completed and put into operation a new multifunction warehouse inside the Sri City industrial park in Andhra Pradesh state, 43 miles north of Chennai.
Sri City Logistics Center was built to meet growing demand for warehousing, distribution, packing and other logistics services in the area. It is Nittsu Logistics (India)’s sixth warehouse in India and adds to warehouses in Chennai, Oragadam, Bengaluru, Pune, and Neemrana.
Nittsu Logistics (India) will continue to enhance its domestic transport network in India, utilize various logistics services available from other Nippon Express Group companies in developing new transport services, and strengthen its logistics functions to meet the full range of customer needs, Japan’s largest international freight forwarder said.