Zim pulls out of Indian terminal project

Zim Ports Ltd decided to drop out of the US$300 million tender to build and operate the Ennore container terminal project in the port of Chennai, India
 
Zim Integrated Shipping Services has decided to drop out of the US$300 million tender to build and operate the Ennore container terminal project in the port of Chennai, India.
 
Zim is a member of a consortium that comprises Japan's Nippon Yusen Kaisha (NYK Line), Taiwan's Evergreen Marine and South Korea's Hyundai Merchant Marine.
 
Zim had a 22% stake in the consortium and its investment was estimated at $66 million. Zim subsidiary Zim Ports Ltd. (ZPL) notified the other partners in the consortium to this effect.
 
Shipping industry sources believe Zim pulled out because of the plunge in shipping freight rates. The Ennore container terminal is intended to handle 1.5 million containers a year when it opens in 2011. The tender was for a 30-year operating franchise for the port.