Auto transport companies are set to expand their services in Maharashtra, Gujarat and Orissa as part of a Rs 20,000 crore expansion of their operations in India.
The Auto Transport Corporation (ATC) is set to invest Rs 6,500 crore in its new operations in the two states, Gujarat as well as Orissa.
It will also expand its operations in Orissa and Maharashtra in a phased manner.
The company, which was launched in 2004, has seen its turnover increase from Rs 4,000 crores to Rs 6.5 lakh crore as of March 2017, according to the company.
It will also acquire vehicles from its customers and will set up its own logistics centre.
The company will operate as a joint venture between the state government of Gujarat and Auto Transport Corp, which is run by the government of Maharashtra.
The move will help it in expanding its services in the states, which are home to around two-third of India’s auto traffic.
Auto Transport has seen significant growth in the last two years, as it expanded its operations across India and the world, with a focus on developing services in India and in China.
According to an announcement made by the company, it has a presence in all six states of India and it will be providing services in all these states for the next two years.
“We have invested Rs 10,000 Crores in our new operations.
The expansion will also see our team working in each of the six states in which we are located,” the company said.
The expansion comes as part in the consolidation of the company in its home market of India, where the company is also working with its parent company, Tata Motors.
The Indian auto market is the world’s largest, with around $2.8 trillion in annual auto sales.
The new venture will work with the state governments of Gujarat, Maharashtra and Orisha in setting up an infrastructure, logistics and supply chain for the transport of goods, the company added.