INDIA BUSINESS WORLD - FEBRUARY 16^th - FEBRUARY 29^th - 2008

ESSAR SHIPPING CLEARS MERGER OF INDIA SHIPPING

Logistics and supply chain management company Gati has entered into a strategic alliance with Amsterdam-based parcel service provider General Logistics Systems (GLS), to start its operations in Europe. The company, which covers 594 out of 604 districts in India, would act as the strategic partner of GLS in India. "The alliance with Gati is specially designed to provide both GLS and Gati customers the advantages of size, reach, flexibility along with infrastructure to provide unmatched service levels in India and Europe," GLS managing director Saadi Al-Soudani said. The company will also invest $100 million over the next 18 months to expand operations in the domestic and overseas markets as it expects to become a Rs 1,000-crore firm by 2008-09. The company plans to spend $100 million for expanding warehouses, build up IT capabilities and entering new business areas.