May 01, 2003 | Business Standard

Tata Steel logistics arm, Italian firm in tie-up

Tata Steel's logistic arm, TM International Logistics Ltd (TMIL), has proposed to set up a Rs150 crore transloading facility in the Bay of Bengal to handle cargo from capesize vessels. TMIL has formed an alliance with Coeclerici Spa of Italy for the purpose. According to the agreement signed between TMIL and the Italian entity, the transloading facility would handle capesize vessels for at least seven months a year, at sandheads on the mouth of the Ganges, SC Saxena, managing director, TMIL, said.

TMIL was set up as a subsidiary company of Tata Steel, and completed its first year of operations in March. "Coeclerici has sought a guarantee of a draft of 10.5 metres at Sagar by 2004, which is also the target set by Kolkata Port Trust which maintains the channel," said Saxena. The facility would greatly enhance the volume of cargo passing through the Kolkata port system and generate large revenues.