AVG Logistics has signed a memorandum of understanding (MoU) with Baidyanath LNG to expand the use of liquefied natural gas-powered transportation across key industrial sectors.

The partnership focuses on deploying LNG-powered fleets and strengthening refuelling infrastructure to lower fuel costs and reduce emissions in logistics operations. Under the agreement, Baidyanath LNG will provide dedicated LNG vehicles and access to filling stations, while also working with AVG Logistics to design customised LNG solutions for freight movement. AVG Logistics will, in turn, offer LNG-based logistics services to its existing and potential clients, promoting LNG as a cleaner alternative fuel.

The collaboration is expected to benefit industries such as steel and metals, fast-moving consumer goods, cement and other high-volume logistics segments. By shifting to LNG, the companies aim to improve operating efficiency, enhance margins and support sustainable growth over the medium to long term. Commenting on the development, Sanjay Gupta, Managing Director and CEO of AVG Logistics, said the move aligns with the company’s focus on “sustainable and profitable growth” while optimising fuel costs and efficiency.