Mahindra Logistics Ltd. has entered into a joint venture agreement with Japan’s Seino Holdings Co. to cater to the warehousing and trucking needs of Japanese automotive firms operating in India. This joint venture, established as an equal partnership, will witness Mahindra Logistics infusing up to Rs 2.2 crore in one or more tranches, as outlined in an exchange filing on Thursday. The initial paid-up capital for the venture is set at Rs 4 crore.
Under this collaborative effort, Mahindra Logistics and Seino Holdings will jointly own the new venture, which will primarily focus on providing integrated logistics solutions to Japanese automotive and strategic non-auto customers. These solutions will encompass auto outbound, warehousing, transportation, and a comprehensive technology suite. Leveraging Mahindra Logistics’ extensive capabilities and robust network, Seino Holdings aims to deliver optimized logistics solutions while expanding its presence across India with a strong emphasis on technology, innovation, operational excellence, and sustainability.
The Indian automotive industry has experienced significant growth and has emerged as the third-largest automotive market globally. With a strategic emphasis on electric vehicles and initiatives like “Make In India”, the industry is poised for continued growth, particularly from Japan-based OEMs and auto component manufacturers.
Commenting on the partnership, Yoshitaka Taguchi, CEO of Seino Holdings Co. Ltd., expressed confidence in the venture’s ability to provide substantial value to customers. He highlighted the collaboration’s focus on delivering comprehensive logistics solutions supported by digitization, innovation, and customer-centricity, aiming to streamline the end-to-end supply chain efficiently.
Rampraveen Swaminathan, MD, and CEO of Mahindra Logistics Limited, shared his vision for the partnership, foreseeing it as a catalyst for the creation of a sustainable Rs 1,000 crore business model over the next five years. He emphasized the venture’s alignment with the ‘Make in India’ initiative, aiming to bolster local manufacturing and economic growth.
