Hyundai starts using sea route to move cars in India

Hyundai has started using the sea route to move its cars in India. The company aims to reduce carbon footprint as well as costs with this step. Using eco-friendly and low-cost methods such as coastal shipping makes carmakers eligible for an incentive of Rs. 3,000 per car from the Government of India.

Hyundai shipped 800 cars from the Chennai Port to Pipavav Port, Gujarat on M.V. IDM Symex, a roll-on-roll-off (RoRo) vessel. It is the first time that the company is using the sea route to transport cars for the domestic market.

To encourage coastal shipping, the Chennai Port Trust has announced a flat wharfage rate of Rs. 500 per small car and Rs. 2,000 per big car. The wharfage for RoRo vessels using the coastal route has been reduced by 40% of the normal tariff. The Trust is also in discussions with other carmakers such as Nissan and Ford to use coastal shipping for transporting their cars.

So far, car companies have been using trailers to send their vehicles from Chennai to the Gujarat region. These trailers take three to four days to complete the journey. The use of coastal shipping will reduce the number of trailers on the roads, which in turn, will help in reducing carbon footprint and fuel consumption.

Source: The Hindu