Movin, a joint venture express logistics company between UPS and InterGlobe Enterprises launched in May, plans to double its operations by December, one of its board members said.
“One hundred days into the game; we have put on a scorching pace (of growth),” said JB Singh, who is also a director of InterGlobe Enterprises. “We are delivering express in 28 cities, across nine states, 2,000 pin codes. We set up 900 corridors or lanes and built a capacity of 2,000 tonnes per month.”
The company aims to double the number of cities it covers and more than double the lanes it transports cargo across by the end of the year, Singh told ET in an interview. He did not elaborate further on the expansion plan.
Rahul Bhatia-owned InterGlobe Enterprises operates in aviation, hospitality and travel-related businesses. IndiGo, the country’s largest airline, is part of the group.
“For many years, InterGlobe had been looking to diversify and was looking at other growth opportunities, where we could bring high-quality excellence in a space we would feel comfortable with,” Singh said.
“Almost four-five years ago, we started looking at logistics with interest. Typically, at InterGlobe, our DNA has been to look at something that is scalable, something that has a long-term prospect,” he said.
“Logistics is obviously a very large market. The National Logistics Policy values it in excess of $200 billion. One part of it, that was UPS’ strength and an emerging need in India, was express logistics,” he added.
Singh said for now, Movin would not look at providing consumer services or making acquisitions.
“Our philosophy of sticking to B2B is more strategic in nature. Because we see this as a big gap. Today industry manufacturing is suffering due to the speed of logistics at which goods and services are moving across the country,” said Singh.
Apart from other services, Movin will have something called ‘Next Flight Out’, in which it will transport cargo on airlines, and use services including of IndiGo. There won’t be a captive arrangement with IndiGo, said Singh. As part of its strategic expansion, Movin is also establishing its hubs across the country with the most recent one being in Bhiwandi, Maharashtra. It plans to develop 10 more hubs by the first quarter of 2023.
