Follow WOWNEWS 24x7 on:
Introduction: A Game-Changer in Sustainable Transport
North Eastern Carrying Corporation Ltd (NECC), one of India’s leading logistics firms, has clinched a landmark five-year contract with Tata Steel Ltd for electric vehicle-based freight transportation. Announced on August 4, 2025, this deal marks NECC’s first large-scale foray into EV logistics, positioning the company at the forefront of India’s green supply chain revolution. The contract involves transporting steel products from Tata Steel’s Sahibabad facility to multiple destinations across the country using electric heavy vehicles.
Key Developments from the August 4 Announcement
- NECC awarded a five-year EV logistics contract by Tata Steel
- Scope includes transportation of coils, sheets, and tubes from Sahibabad plant
- Contract may be extended by one year upon mutual agreement
- Marks NECC’s first major EV-based logistics engagement
- Reinforces NECC’s commitment to sustainable freight solutions
Strategic Significance of the EV Logistics Contract
Green Transition in Freight Movement
- NECC will deploy electric heavy vehicles for long-haul steel transport
- Reduces carbon emissions and aligns with Tata Steel’s sustainability goals
- Supports India’s broader push toward net-zero logistics infrastructure
Operational Efficiency and Expansion
- NECC’s new 183,000 sq. ft. warehouse in Gurugram to serve as a logistics hub
- Facility designed to optimize first-mile and last-mile delivery using EVs
- Enhances NECC’s capabilities in bulk transportation and freight forwarding
Financial and Market Impact
- NECC shares surged 15.5% to ₹23.99 on August 4 following the announcement
- Trading volume more than doubled, signaling strong investor interest
- Market capitalization now stands at ₹215 crore
- Promoter holding remains robust at 54.19%, with rising FII interest
- Stock has delivered over 550% returns over five years, reinforcing long-term growth potential
Performance Snapshot and Business Outlook
- Net profit for 9MFY25 rose 64.53% YoY to ₹8.49 crore
- Net sales slightly dipped to ₹240.63 crore from ₹243.27 crore YoY
- NECC continues to expand its footprint in India, Bhutan, and Nepal
- Plans to electrify more of its fleet and scale green logistics through SG Green Logistics subsidiary
Industry Buzz and Strategic Implications
- Analysts view the contract as a turning point for NECC’s business model
- The deal aligns with rising demand for ESG-compliant logistics solutions
- Positions NECC as a preferred partner for industrial giants seeking sustainable transport
- Could catalyze similar EV logistics contracts across steel, cement, and FMCG sectors
Conclusion: Driving Toward a Cleaner, Smarter Future
NECC’s five-year EV logistics contract with Tata Steel isn’t just a business win—it’s a strategic leap into the future of freight. By embracing electric mobility, NECC is setting a precedent for environmentally responsible logistics while unlocking new growth avenues. As India’s industrial supply chains evolve, partnerships like this will define the next era of transport—clean, efficient, and forward-looking.
Source: Goodreturns
Follow WOWNEWS 24x7 on:
Copyright 2024 WOWNEWS 24x7. All rights reserved. The WOWNEWS 24x7 is not responsible for the content of external sites. Read about our approach to external linking.
Powered By Just Imagine
