After China, Allcargo sets sights on the US

After expanding into China, Allcargo Global Logistics, a leading domestic logistics services provider, plans to establish presence in the US.

The company is currently considering various options to take this expansion plan forward.

Shashikiran Shetty, chairman and managing director, Allcargo Global, said the company is looking at a possibility of expanding presence in the US markets in the multi-modal transport operations business.

“We are examining options available for the expansion. US is an important market, as the volumes moved between China and America in substantial. At this point of time, starting in US would be fairly as easy decision. However, we want to compare the available options,” Shetty said at an analyst meet on Tuesday.

Last month, the company announced acquisition of two Hong Kong-based companies with presence in the non-vessel-operating common carrier business in China and other parts of eastern regions. Officials said with this acquisition the company has been able to achieve presence across the main cities in China, except for a couple of highly competitive cities.

The company is also looking at doubling its container freight station capacity near Jawaharlal Nehru Port Trust in Mumbai. The current capacity is around 144,000 twenty-foot equivalent units.
“For the current financial year, Allcargo plans to cross as Ebidta of around `300 crore,” a company source said.