IndiaRetailBiz

Reliance Aviation, the aviation wing of Reliance Industries is being roped in by the group to manage a fleet of 50-70 cargo aeroplanes, each of which will transport 30-40 tonnes of farm produce from production sites to the company’s retail outlets.

These planes, which will form part of Reliance’s Cargo Airline business, are likely to to be bought and deployed from middle of the next year, says a DNA Money report. Reliance’s Air Cargo business is likely to be owned by Reliance Retail, which as a part of Rs. 25,000 retail plan, has already rolled out eight speciality formats, across the country.

While, most formats have yet to take nationwide shape, Reliance ‘Fresh’ the neighbourhood, convenience format despite opposition from various quarters, has spread its network on pan-India basis. In fact, over 425 ‘Fresh’ stores have already become operational in just 13 months of the formats first launch from Hyderabad in November, 2006.

These planes will be used to ferry fresh fruits, vegetables, exotic flowers and other perishable products from Rural Business Hubs (RBHs), spread across several states in the country to the retail outlets.

The plan is advance stage of implementation as the group officials have begun talking with statutory and regulatory authorities seeking permission to build small airstrips where the cargo liners could land. Interestingly, the civil aviation ministry has put up a proposal to set up private airports to handle growing aviation business in the country.

This indicates that Ambanis are serious about creating logistics infrastructure for sourcing, collection and distribution of farm produce. Currently, this is being done on a common platform for all retail formats.

Interestingly, Reliance is also moving towards setting up a dedicated private cargo airport at Jhajjar (Haryana).