Blue Dart looks for space

by Payload Asia

Indian Courier major Blue Dart Express is in talks with airport operators in Delhi, Mumbai, Bangalore, Hyderabad and Kolkata for dedicated cargo space to be shared with its parent, the DHL Group. In these major airports, the express company is looking at taking around 15,000-30,000 sq metre of space while in smaller ones like Kolkata, the space requirement would be below 5,000 sq metre, accordingto The Economic Times.

The move will help cut down on turnaround time for loading and unloading cargo and courier in airports, Blue Dart managing director AnilKhanna told ET.

In all the company plans to invest nearly 10 billion rupees in the next fi ve to eight years to expand its air andground infrastructure.

"We will be investing into aircraft, investing into facilities, into warehouses, into network hubs, into technologies," Managing Director Anil Khanna said.

"We are keen on dedicated cargo space in major airports with access to both air and city sides," he added. The private airport operators are receptive to our needs."

While Delhi and Mumbai airports are getting upgraded and modernised, Bangalore and Hyderabad will have new greenfi eld airports by middle of next year.

"This will be funded through our internal accruals," Mr Khanna said. Blue Dart plans to expand aircraft fl eet, ramp up ground handling facilities and double warehousing capacity from the current one million sq ft.

Its ground express service would cover 17,500 locations around the country from around 14,600 at present over the next fi ve years. "Currently we have a very modest 5.8 percent market share in the ground express segment. We plan to take it to about 20 percent in the next fi ve to eight years," Khanna said.

The company, of which DHL Express Singapore Pvt Ltd owns 81 per cent, currently operates four Boeing 737s and two Boeing 757s. It will add one Boeing 757 in the latter part of the year, Khanna said. He declined to provided the number of aircraft Blue Dart plans to buy during the eight-year period, saying it would depend on demand and customer needs.