Company’s transportation capabilities set to accelerate Multichem’s chemical distribution across India
Set up in 2008 with a fleet of just three Ethylene Oxide tankers, Navigator Logistics is merging into its parent company, Multichem Corporation. Speaking about the synergies of the combined entity, Mr. Preet Shah, Executive Director, Navigator Logistics, said they would be carrying the capabilities of their transportation to accelerate chemical distribution and merging of the two entities will only help Multichem Corporation take full advantage of its transportation under one umbrella. “The implementation of GST is also one of the reasons why we can manage our services under one company easily.”
The decision, even though astonishing, is rational if one looks at the motive behind Navigator’s beginning in 2008. The company was formed to support the requirement of Multichem Corporation, founded in 1993 in Ahmedabad by Mr. Ketan Shah, father of Mr. Preet Shah, dealing in various chemical products for Gujarat, Rajasthan, Madhya Pradesh and North India.
Multichem Corporation is one of the most reputed dealers of Gujarat Narmada Valley Fertilizers Company Ltd. (GNFC) for selling its industrial chemical products in the West and North India.
“We needed specialized stainless steel, single compartment tankers with air-valve and depending on the products like concentrated nitric acid, acetic acid and formic acid amongst others, SS304 / SS316 grade tankers or aluminum tankers were required. Such tankers were not readily available, and hence we got a few vehicles fabricated from Vasant Fabricators as per our need in the initial phase,” said Mr. Preet.
As other chemical sourcing companies found availability of tankers with Multichem Corporation, they started urging it to transport their material in the tankers produced by it. It was the market demand that paved way for the formation of Navigator Logistics. “The rich experience of the top-level management in chemical trading came handy while transporting and managing day-to-day operations, and soon we saw managing requirements of major multinational companies in the field FMCG, pharmaceuticals, paints & coatings, oil & lubricants, etc.,” Mr. Shah revealed.
Reliable distributor
With transportation functioning as well-oiled machine, Navigator Logistics soon expanded its fleet from E.O. gas tankers to hazardous liquid solvents / petrochemical tankers. It was also on the back of the company’s aim to provide logistics solution that is door to door. “Our role as a transporter is not just restricted to provide transportation to our chemical manufacturers, and oil & gas distribution companies, but to become a strategic partner in streamlining their supply chain management. It included dedicated vehicles to particular clients / products on a long-term basis so that the clients are sure to get services as per their needs with the assured quality,” the Executive Director said.
The next phase of growth for Navigator under the sub-division of Multichem Corporation will be managing the strength of its distribution to wider chemicals and solvents. He disclosed: “Currently we deal in nitric acid, formic acid, acetic acid, sulphuric acid, hydrochloric acid, etc., but want to expand to other chemicals too to become a major chemical sourcing and distribution company. Today we source and sell, but in future we may stock and develop some storage (inland storage tanks) capacity and not be dependent on the ports storage. This will help us offer discounts, speculate market demand and supply even to customers wanting small quantities with part loads.”
Mr. Preet shah believes in delegating tasks, and hence most of the vehicles that the company owns are under Annual Maintenance Contracts (AMCs) with the respective OEMs. “Our fleet boasts of vehicles from the stable of Tata Motors, Ashok Leyland and Mahindra, ranging from 25 to 37 GVW tonnage models. Since most of the OEMs offer 5-6 years of warranty and AMC, it is better to delegate the task of fleet maintenance to them.”
Given the task of moving hazardous chemicals is risky, the experienced fleet has its edge over others. “We have updated our vehicles with GPS solutions for tracking vehicles and providing minute-to-minute information to the clients. The GPS solutions are also helpful to fight against theft, pilferage, etc., during material transit,” beamed Mr. Shah.
It goes without saying that the company has drivers well trained to handle hazardous chemicals and has obtained regulatory endorsements and certificates. “All our vehicles are provided with fire extinguishers, safety helmets, safety boots, etc., so as to take utmost care in case of any accident. We are committed to achieve all necessary safety standards as per the Government rules and regulations and stamp ourselves as most reliable in sourcing and distributing chemicals in Gujarat,” he added.