DHL picks India as one of the 3 key strategic markets in S Asia

DHL Worldwide Express, the worlds largest air express courier company with operations in more than 220 countries, has identified India among its three key strategic markets in Asia, the other two being China and Japan. “You would see substantial investment in future, not only brick-and-mortar but also in people. We have never realised the full potential of the Indian market so far,” DHL Asia Pacific area director Bryan Jamison told FE. Mr Jamison said of the 16 countries in South-east Asia, India is the largest market for DHL in terms of revenues. DHL is the market leader in the international air express market in the country, with a market share of more than 60 per cent. DHLs growth strategy revolves around investing in infrastructure, service offerings and people, Mr Jamison added. DHL has a 38 per cent share of the global air express services market and, last week the company had announced a sales alliance with Indias largest express courier company Blue Dart (which incidentally also has a 38 per cent share in the domestic market) for latters outbound requirements. So does a tie-up with Blue Dart open up the possibility of an equity alliance or a joint venture between the two companies? Mr Jamison was non-committal. “At the moment there have been no discussion on equity. The alliance opens up opportunities for the future,” was all Mr Jamison would say. On the benefits of the alliance for DHL in view of its own presence in India, Mr Jamison said it would help DHL to increase its penetration in the Indian market due to Blue Darts extensive distribution network in those places where DHL does not have a presence. DHL has been in the Indian market for two decades on its own and plans to consolidate its presence with fresh investments. Mr Jamison said the growth of Indian market has been in line with that of the Asia Pacific market, which recorded a double digit growth after the slowdown triggered by the terrorist attacks on the US on September 11 last year. Founded in the United States in 1969, DHL operates in more than 220 countries and territories. Mr Jamison said his company has over the years evolved from a courier to a carrier company and now as a solutions provider.

Copyright 2002 The Indian Express Online Media Ltd.. Source: Financial Times Information Limited.

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