Kerala-based logistics service provider Driver Logistics has launched its multi-client warehouse and partial truckload operations in Karnataka. It plans to invest Rs 525 crores over the next five years in tandem with the expansion.
With their investment, the logistics company plans to drive technological advancements to benefit shippers, logistics service providers, and the local job market. Driver Logistics will also hire more than 150 individuals for its Karnataka operations, focusing on young graduates.
As part of its expansion strategy in the state, the company is set to offer Warehousing, Full Truckload (FTL), and Partial Truckload (PTL) services and plans to increase its warehouse count from 53 to over 100 in the next 18 months.
Established in 2019, Driver Logistics operates across seven Indian states: Kerala, Karnataka, Tamil Nadu, Andhra Pradesh, Maharashtra, Telangana, and Gujarat. Karnataka is their biggest 3rd Party Logistics (3PL) market.
The company said Karnataka is a pivotal hub that will enable the consolidation of operations in Kerala, Tamil Nadu, Telangana, and Andhra Pradesh. Their strategic vision is to position Karnataka as their gateway through South India to the rest of the nation. Driver Logistics currently has a fleet of over 200 vehicles.
Aqil Ashique, CEO of Driver Logistics, said, “When we set out to build a 3PL first company, a lot of our customers asked for services like partial truckloads, smaller deliveries, and milk runs. With the advent of e-commerce, even off-end markets demanded faster deliveries. We saw an opportunity and, roughly 18 months ago, built our network in Kerala for PTL. Our existing customers gave us partial loads to deliver across Kerala”.
The 3PL company also announced its plans to expand beyond the national boundaries and into Southeast Asia, commencing with operations in Thailand. Trying to emulate what they have done in India, Driver Logistics will set up a subsidiary in Southeast Asia in the next quarter.
Speaking about the company’s launch in Karnataka, he said, “We look at Bangalore and Karnataka as a whole as a corridor for our entire logistics operation in terms of the entire network today. Approximately, 35 per cent of our entire revenue out of the seven states comes out of Karnataka. We realized early on that whenever we wanted to build a fully integrated network, especially in express logistics or PTL, we wanted to make Karnataka, especially Bangalore, our 3PL market.”
