Jetair Plans Packaging Joint Venture With Ups

In the proposed venture, UPS will have a majority stake of 60 per cent, while Jetair Ltd will have a 40 per cent stake.

Over five years, UPS intends to invest between $1 million and $6 million in the equity shares of the joint venture. UPS has applied to the Foreign Investment Promotion Board (FIPB) for approval.

The joint venture will engage in express export and import services for documents, non-documents, parcels, luggage and any other articles.

The other activities of the company will be export and import airfreight forwarding services including space booking, customs clearance, break bulk, warehousing, packing, delivery and trans-shipment.

 

The company also intends to engage into export and import of air transportation services, ground line haul by means of trucking logistics and other related services including door-to-door parcel pick-up and delivery services within India.

UPS will introduce its technology, facilities and services in India by investing in the joint venture. It will also assist in the introduction of new technology in India, including e-commerce solutions.

However, the company has made it clear that the joint venture does not intend to engage in trading activities, financial services or the establishment of an airline company. UPS has a fleet of 197 jet aircraft and 302 chartered aircraft.

UPS, a global player in package distribution, has been in the transportation business since the year 1907. The company serves more than 211 countries and territories and has 3.44 lakh employees worldwide.

Jetair Ltd, incorporated in 1994, is one of the largest general sales agency in India representing 17 international airlines and one domestic airline. Jetair has a 100 per cent subsidiary called Jetair Tours which handles both inbound and outbound tourists throughout the world.