Arshiya International, the supply chain and logistics solutions company, plans to start setting up free warehousing trade zones (FWTZ) in the eastern and the southern regions of the country by the end of 2011.
While the company is yet to finalise locations in these two regions, the logistics company has been holding talks with various players over the past few months.
“We have been talking to Pipavav port, Vizag port and Cochin port to build our FWTZs. However, we are yet to decide on one port where we would like to set them up,” Ajay Mittal, chairman and managing director, Arshiya International, said.
Sources said that the logistics firm is currently in talks with the Malkapuram port in Vizag.
Mittal, however, said that they hold talks with the port authorities on regular basis and that nothing has been finalised yet.
For setting up these two zones, Arshiya has set a total capex of Rs 1,000 crore in the second phase and is yet to decide on the investment for the first phase.
“We are looking for 120 acres of land for it and are planning to set up investment of Rs 400-500 crore each for these two zones in the second phase,” Mittal said.
Apart from these two, Arshiya is building three more FWTZs in Mumbai, Delhi and Nagpur.
“The one in JNPT in Mumbai will be operational by 2010, Khajura in New Delhi by July 2010 and Nagpur will start operations by the end of 2010,” Mittal said.
The company has invested Rs 2,210 crore in the first phase of the expansion of these three zones. It plans to invest Rs 10,000-12,000 crore in the next 5-7 years for expanding its rail segment.
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