The Hindu Business Line : Container Corporation: Long-term buy

Investments can be made in the stock of Container Corporation of India (Concor), which is a monopoly in containerised ferrying of cargo, at Rs 611. Any declines can be put to effective use to take exposures. Diversification of supply sources for wagons, stepped-up levels of wagon expansion, usage of high-speed wagons that could offer savings in haulage charge, expansion of its geographical footprint and the firm undertone in the economy are likely to drive growth.

Concor is well placed on the resources front to bankroll its business plans. The commissioning of two new ports in Gujarat has expanded the scope for containerised movement of cargo. The acquisition of one of them by the P & O group of Australia augurs well as the latter also operates the container terminals in Chennai and Nava Sheva, Mumbai. Concor's agreement with P & O to enhance railway infrastructure is a positive. There may be near-term pressure on profitability due to high congestion in ports.

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