Hyundai Motor India limited extended its memorandum of agreement with Chennai Port Trust that will hold for next ten years. The new agreement has been designed mutual exclusively, so it will profit both stakeholders and company. According to the new agreement, HMIL will export minimum 50,000 cars annually and in spite of that port authority will offer 20 days of free storage of cars at the port and priority berthing of consignment without any extraneous charges.
Signing the MOA Mr. Y.K.Koo, MD& CEO, HMIL stated “We decided to renew our contract with Chennai Port trust as the Terms & Conditions and the facilities offered by them suit our requirements the best” he further added “It is from here that we began our export and have been rated as the top exporter of India for 12 long years!.
Chennai port is favourable for HMIL as it is only 45 km distant, that makes car carrying trucks drop and return possible in 6 hours only. Also, parking slots which are allotted to HMIL are close and in the vicinity of the berths which reduce the travel time while loading the cars, improves speed and operational efficiency, and a saving in the money spent. The Chennai Port also offer greater flexibility with them and is able to handle more than 1 Ro-Ro car-carrier at any point in time. This is particularly helpful to ease month end pressures. Besides, the port is equipped with a railway line, should HMI choose to transport cars by rail instead of the road.