FedEx drives expansion in India
FedEx Corp. has signed an agreement with Hindustan Petroleum Corp. Ltd. to open cargo collection centers at its retail gas stations.
Under a revenue sharing agreement, FedEx will initially open 100 centers in eight cities by Dec. 1.
“This is part of our expansion drive in India,” Jacques Creeten, managing director for the Indian sub-continent, said in Mumbai. He said FedEx currently has 36 locations in India, and with the new initiative, it can focus on small- and medium-size companies by offering them convenient access to its services.
Big express companies have traditionally focused on urban and large institutional customers. The retail segment is estimated to account for about 11 percent of the express business in the country and is valued at 2 billion rupees ($41 million).
FedEx earlier announced new service agreements with Prakash Air Freight Ltd. for pickup and delivery services, and with Jeena & Co. for customs clearing services. Since Sept. 1, FedEx has offered increased capacity on its MD-11 freighter departing Mumbai daily.
