Nissan in 10-year pact with Ennore Port

Under the pact, the auto major would export minimum 60,000 cars per annum for the next 10 years through the port

Japanese auto major Nissan's Indian arm - Nissan Motor India Private Limited (NMIPL) - has entered into a binding agreement with Ennore Port Limited (EPL). Under this, the auto major would export minimum 60,000 cars per annum for the next 10 years through the port, which is about 40 km North of Chennai.

Nissan exported 54,000 cars in 2010-11 and increased it to 96,000 in 2011-12 and about 98,000 in 2012-13. In the first quarter of the current fiscal, it exported 14,000 cars.

The cars are exported to 100-odd countries, said Kenichiro Yomura, president, Nissan India operations and MD & CEO of NMIPL. The company hopes it would maintain around 100,000 units per annum for exports.

The agreement was signed in the presence of shipping minister GK Vasan. According to the agreement, Nissan will get concessions in the wharfage up to 60,000 cars per annum at the rate of 0.36 per cent for every unit, free parking space for the first 15 days and priority in handling of automobile units in the port.

MA Bhaskarachar, chairman and managing director, EPL, said Nissan would get benefits ranging between 10 per cent and 40 per cent of a car value (sliding rates or volume discount).