UAE-based global conglomerate
Transworld Group and Yokohama, Japan-based Suzue Corporation have signed a
strategic agreement for the formation of a joint venture company to explore the
growing logistics business opportunities within the Gulf region, Indian
Subcontinent and Japan.
The agreement was signed in Dubai by
Mr Ramesh S. Ramakrishnan, Chairman of Transworld Group, and Mr Takahiro Suzue,
President and Representative Director of Suzue Corporation.
Under the agreement, Transworld
Group and Suzue Corporation will incorporate a joint venture company at Jebel
Ali Free Zone in Dubai to focus on the Gulf region, Indian Subcontinent and
Japan. The company will provide comprehensive services to their global customers
in supply chain management, international freight forwarding, Customs clearance,
warehousing and distribution, land transport and other related logistics
services. It will also have a focus on land bank development for commercial
purposes in the Middle East, Indian Subcontinent and Japan.
Commented Mr Ramesh S. Ramakrishnan:
"Our joint venture agreement with Suzue Corporation assumes strategic
importance due to the enhanced trade ties between UAE, India and Japan. The UAE,
for instance, has established a joint working committee to coordinate policies
in a wide range of areas from defence, nuclear energy, oil, security, health and
trade with Japan. This joint venture between Transworld and Suzue Corporation
will provide comprehensive logistics services to enhance the trade involving
UAE, Japan and India."
The geographical region covered by
the agreement will initially include Gulf Cooperation Council (GCC) countries,
Indian Subcontinent and Japan, with the possibility of extending it to other
South-East Asian nations.
Mr Takahiro Suzue emphasised:
"Our joint venture alliance with Transworld Group will bolster our presence
in the dynamic and growing markets of Indian Subcontinent and Gulf region and we
will synergise our experience and expertise to extend the services in this
region and beyond."
He continued: "Suzue
Corporation, established in 1908, is a key player in the Japanese shipping and
logistics business. With the possibility of trade growing manifold between
Japan, UAE and India, Suzue Corporation, together with Transworld Group, will
play a key role in that trade development, specifically in the shipping and
Under the joint venture agreement,
Suzue Corporation will handle the business development and logistics services in
Japan; and Transworld Group’s logistics arm, Transworld Logistics FZE, will
handle operations in the United Arab Emirates and the Gulf region. The
businesses in the Indian Subcontinent will be managed by Transworld Group’s
Shreyas Shipping and Logistics Ltd.
In 2016, bilateral trade between UAE
and Japan stood at $25 billion (Dhs 91.8 billion), representing 32 per cent of
Japan’s trade with Middle Eastern countries. UAE represents nearly a third of
Japan’s trade with countries in the Middle East.
With Japan’s commitment to invest
$ 35 billion in India through public and private funding over the next five
years for developmental projects, and the ambitious "Make in India"
scheme, there is renewed interest in partnerships between both countries.
The joint venture between Transworld Group
and Suzue Corporation is a strategic step to benefit from the growing business
ties between UAE, Japan and India, emphasised a
Exim News Service