Germany-based shipping major Hapag-Lloyd AG has increased its stake in Mumbai-headquartered JM Baxi Ports & Logistics Ltd to 50%, with a total investment of $800 million, marking a significant deepening of its presence in India’s fast-growing maritime and logistics sector.
The announcement was made by Rolf Habben Jansen, Chief Executive Officer of Hapag-Lloyd, who described the partnership as a “true 50-50 joint venture” spanning multiple business verticals.
Hapag-Lloyd first entered the Indian logistics space in January 2023 by acquiring a 35% stake in JM Baxi from an affiliate of Bain Capital. The German carrier subsequently increased its holding to 40% and has now reached parity ownership through additional capital infusion.
Strategic Joint Venture Structure
The partnership between the two companies is structured across both container and non-container segments, reflecting a broad-based logistics strategy:
- In the container business, Hapag-Lloyd holds a 51% stake
- In the non-container business, it holds 49%
- Overall ownership remains evenly split at 50:50
“This is not just about container terminals. Our commitment is to JM Baxi as a whole,” Jansen said, emphasizing long-term collaboration and expansion across logistics segments.
Strengthening India Presence
The investment significantly strengthens Hapag-Lloyd’s footprint in India, one of the world’s fastest-growing trade markets. JM Baxi Ports & Logistics Ltd operates a wide network of port and logistics infrastructure, including:
- Container and multi-purpose terminals
- Inland Container Depots (ICDs)
- Container Freight Stations (CFS)
- Rail logistics services
Its terminal operations span key ports across both coasts, including:
- Deendayal Port
- Jawaharlal Nehru Port
- Visakhapatnam Port
- Paradip Port
- V.O. Chidambaranar Port
- Haldia Port
Focus on Infrastructure Growth
Hapag-Lloyd’s terminal arm, Hanseatic Global Terminals, currently operates over 20 terminals globally with a combined capacity of around 2.5 million TEUs annually.
Looking ahead, the company has expressed strong interest in investing in upcoming infrastructure projects in India, including the proposed Vadhvan Port in Maharashtra.
“Hanseatic Global Terminals and JM Baxi are keen to invest further in Indian infrastructure. We will not only bring capital but also cargo,” Jansen said.
Long-Term Bet on India
Highlighting the scale of the investment, Jansen noted that few global firms have committed as much as $800 million to India’s logistics sector in recent years.
“Our participation shows we have put our money where our mouth is. We believe strongly in the Indian market and are open to doing even more,” he added.
The partnership underscores a growing trend of global shipping lines aligning with domestic players to tap into India’s expanding trade ecosystem, combining international expertise with local market knowledge.
