Port of Chennai is trying to win over Kia Motors, who recently announced their plans to enter the Indian market. The South Korean automaker is setting up their Indian base at Anantpur in the South Indian state of Andhra Pradesh.
The port is attempting to win the auto giant’s contract to fulfil the import of machineries, while the production plant is being set up. Once the facility is functional, the port authorities are also willing to provide services with regards to the export of vehicles produced at the said plant.
The Chennai Port Trust (ChPT) handles exports of Hyundai Motors India, which is a sister company of Kia. ChPT has the necessary infrastructure to manage automotive logistics, which gives the port an added advantage compared to its competitors.
ChPT is also mulling to provide incentives to the automaker to sweeten the deal. Some of these incentives include making berth available on priority to ships carrying Kia cargo, concessional rates on berth hire and storage and so on.
The port is also constructing a concrete yard for storage and parking of cars. At around 70,000 sq.m, the yard will be an essential infrastructure and will be placed close to the berth. The yard will also provide facilities such as washing, pre-delivery inspection as well as security.
The other ports that are in contention to win this contract from Kia are Kamarajar, Katupalli and Krishnapatnam.