FedEx enters domestic cargo business in India
Twelve years after setting up its base for international air cargo operations in India, FedEx has begun domestic express service for the Indian market, reports Hindustan Times. The article continues:
The company said the growing opportunities in the Indian market and the rising GDP prompted it to start the service. It said its superior service, which guarantees consignment delivery reliability would be the main differentiator.
Its subsidiary FedEx India would handle the domestic operations and to begin with it would offer delivery to 50 major Indian cities from 14 key cities.
“To start with, we will cater to all important centers which constitute 60% India’s GDP. We will soon expand. India is a high growth market and it is driven by domestic consumption,” said Indranil Sen, managing director (marketing for Middle East, Indian subcontinent & Africa), FedEx.
With this, India has become the fourth place outside North America where FedEx provides domestic services. The three other countries are China, UK and Mexico.
By commencing domestic operations, FedEx would lock horns with BlueDart, the Indian arm of DHL. It would also compete with Captain GR Gopinath’s Deccan 360 as well as QuickJet, the yet to be launched domestic express cargo venture which has funding from the Tatas as well as AFL of Cyrus Guzder.
