George Soros-backed fund to invest $2 million in Indian Logistics Co

BANGALORE: Aspada Investment Company, which is backed by billionaire investor George Soros' Economic Development Fund is investing $2 million (Rs 11 crore) in integrated cold chain trucking operator Schedulers Logistics.

The Mumbai-based firm which provides end to end storage and distribution for fruit, vegetable, food processing and pharmaceutical industries will use the funds to expand in Eastern and North-Eastern states.

“We are thrilled to be working with the Aspada team,” said Arvind Gangoly, chief executive of Schedulers.

Experts say the cold chain sector in India is still in the nascent stage with enormous growth potential on the back of climatic diversification and geographically vast size of the country.
The Indian cold chain sector which was estimated to be at Rs 24,500 crore in 2013 is expected to cross Rs 60,000 crore mark in the next four years, according to research firm Research and Markets.

“The cold chain market will offer opportunities for consolidation and professionalization in what is a highly unorganized space,” said Tom Hyland, partner of Aspada Investment Advisors.

India, the world’s second largest producer of fruits and vegetables, is throwing away fresh produce worth Rs 13,300 crore every year because of the country’s lack of adequate cold storage facilities and refrigerated transport, according to data compiled in a report by Emerson Climate Technologies India.

Akshay Sharma, co-founder of Schedulers said their firm is one of the few players operating in tier-II and tier-III towns in the country that can offer temperature controlled loads as small as 500 Kg.

“We will continue to increase our fleet of part-truck-load and secondary distribution vehicles in order to connect small manufacturers with major market hubs,” said Sharma.