The move follows a notification from the Ministry of Commerce and Industry amending the country’s import policy and adding the two ports to the six seaports, three airports and three inland container depots (ICDs) currently permitted to handle imported vehicle volumes.
Kattupalli port is located just north of Chennai on India’s south-eastern coast, while APM Terminals Pipavav is on the west coast north of Pune. They join Nhava Sheva, Mumbai, Kolkata, Chennai, Ennore and Cochin seaports. Vehicles can also be imported through Mumbai, Delhi and Chennai airports, and through the ICDs at Telegaon Pune, Tughlakabad and Faridabad.
According to the Ministry of Commerce and Industry, imports of vehicles to India last year decreased in value to $2,874m from $4,476m in 2013. The import duty for importing finished vehicles to India currently stands at 125%.
Arun Ram, senior manager, Commerical at APM Terminals Pipavav, told Automotive Logistics that the imports would amount to a small number of vehicles, mostly models for local testing or upper end brands that are not manufactured in India.
On the export side, meanwhile, APM Terminals Pipavav has entered into a strategic partnership with NYK Auto Logistics, which is developing a ro-ro stockyard and PDI facility at the port for finished car exports.