Given the forecast that there would be a very significant growth in the shipping industry in India, DP World, a port operator based in Dubai is anticipating to play a large part and is seeking ways and means to get involved in the shoring up of the logistics and transport infrastructure there.
He was optimistic about India's shipping industry said DP World CEO Sultan Ahmed Bin Sulayem
"India is going to be the biggest growth. We feel it. And there are many initiatives by the Indian prime minister to basically increase production ... the ease of doing business, the financial systems, all that means there is going to be growth," he added.
In India, infrastructure is a big problem because it takes a lot of time to move cargo into a city despite the enhancement in the ease of doing business there and the enhanced speed of things being done in the country.
The condition of the trucking industry in India exacerbates the problem.
"The problem is trucking is difficult in India. So we are looking at waterways, rivers, transportation. That will simplify the operations that we have," he said.
A joint venture agreement with the National Indian Infrastructure Fund worth $3 billion was recently signed by the port operator for the enhancement of logistics in multiple areas.
Mundra, Nhava Sheva, Cochin, Chennai, Visakhapatnam and Kulpi are the six ports where DP World is operating or engaged in development of ports at the present moment, according ot the website of the company. Thailand, Vietnam, China, Indonesia, the Philippines and South Korea are the countries in Asia that the firms also works in.
Bin Sulayem said that the company has not been able to spot opportunities in United States even if though the business environment there is "good for business" currently.
"(President Donald) Trump is lifting his foot from the brake. He removed regulations that are becoming bottlenecks for businesses," he said. "He gave some visibility of what he wants to do."
The CEO also took a positive tone on Trump's trade rhetoric is also viewed to be contain a positive tone according to the CEO.
"What he's talking about is not protectionism. What he's talking about is free trade," Bin Sulayem said. "He's saying, 'I want free trade to be fair trade — if you don't open your markets, why should we open our market?' I think it's fair."
But he said that the "expensive" costs of running ports in the U.S. currently are not favorable.
"There is nothing to stop us to go to the United States, we can always go. We haven't found the right opportunity. The cost of operations in the States makes the returns very low."
(Source:www.cnbc.com)
He was optimistic about India's shipping industry said DP World CEO Sultan Ahmed Bin Sulayem
"India is going to be the biggest growth. We feel it. And there are many initiatives by the Indian prime minister to basically increase production ... the ease of doing business, the financial systems, all that means there is going to be growth," he added.
In India, infrastructure is a big problem because it takes a lot of time to move cargo into a city despite the enhancement in the ease of doing business there and the enhanced speed of things being done in the country.
The condition of the trucking industry in India exacerbates the problem.
"The problem is trucking is difficult in India. So we are looking at waterways, rivers, transportation. That will simplify the operations that we have," he said.
A joint venture agreement with the National Indian Infrastructure Fund worth $3 billion was recently signed by the port operator for the enhancement of logistics in multiple areas.
Mundra, Nhava Sheva, Cochin, Chennai, Visakhapatnam and Kulpi are the six ports where DP World is operating or engaged in development of ports at the present moment, according ot the website of the company. Thailand, Vietnam, China, Indonesia, the Philippines and South Korea are the countries in Asia that the firms also works in.
Bin Sulayem said that the company has not been able to spot opportunities in United States even if though the business environment there is "good for business" currently.
"(President Donald) Trump is lifting his foot from the brake. He removed regulations that are becoming bottlenecks for businesses," he said. "He gave some visibility of what he wants to do."
The CEO also took a positive tone on Trump's trade rhetoric is also viewed to be contain a positive tone according to the CEO.
"What he's talking about is not protectionism. What he's talking about is free trade," Bin Sulayem said. "He's saying, 'I want free trade to be fair trade — if you don't open your markets, why should we open our market?' I think it's fair."
But he said that the "expensive" costs of running ports in the U.S. currently are not favorable.
"There is nothing to stop us to go to the United States, we can always go. We haven't found the right opportunity. The cost of operations in the States makes the returns very low."
(Source:www.cnbc.com)