Agreement for export of 60,000 cars per annum valid for 10 years

Nissan Motors India Private Limited (NMIPL) on Saturday entered into a Memorandum of Understanding with Ennore Port Limited (EPL) that would facilitate export of 60,000 cars per annum. The earlier MoU was signed in 2008 with three years validity.

The new MoU, signed here by NMIPL, Managing Director and CEO, Kenichiro Yomura and EPL Chairman-cum-Managing Director M.A. Bhaskarachar, is valid for 10 years.

Shipping Minister G.K. Vasan was present on the occasion.

As per the MoU, Nissan would enjoy concessions in the wharfage (a fee collected by the port for handling cargo), free parking for the first 15 days and priority in handling of automobile units in the port.

Mr. Bhaskarachar said EPL had developed a general cargo-cum-terminal on 35 acres, at a cost of Rs.140 crore, facilitating parking of 10,000 cars and this was the biggest car-parking yard amongst the major ports.

Besides, EPL would provide a special berth space of 1.40 lakh square metres to Nissan for parking vehicles with priority to use the newly-developed marine facilities. The berth, which is under construction, will begin operations soon.

Since September 2010, NMIPL exported 2.44 lakh cars to various countries, including Africa, Europe and Middle East. In the current year, Nissan exported about 14,000 cars. Till date, about 3.36 lakh cars, including that of Toyota, Ford, Honda and Ashok Leyland, were exported from EPL.

Mr. Yomura said NMIPL was targeting to increase its market share from 1.2 per cent to 10 per cent. Besides, Nissan would continue to explore opportunities for widening the export base for India-built cars.

EPL had commenced the pre-project activities for the construction of third coal berth to handle additional 9 million tonnes of coal for Tamil Nadu Generation and Distribution Corporation. It would cost Rs.150 crore including costs for dredging. DCI Dredger XX would arrive next week and it would be deployed at EPL for carrying out dredging work, EPL officials said.

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