In India, Logistic sector is currently passing through a transformation phase. The change is visible in different fronts including development pattern, occupier’s preference, funding structure and technology inclusion in its sub-components. Warehousing rent which accounts for 10 - 15% of total logistic cost is gaining importance as much is optimisation of transportation cost, inventory management, handling, packaging and customer services.
Government initiative towards standardisation, formalisation and ease of compliance process through policy reforms (e.g. GST, Logistic Policy, SEZ policy, Ecommerce policy, etc.), planned infrastructure development through comprehensive programme (e.g. Sagarmala, Bharatmala, etc.) and marketing of India as a destination having foreign investor friendly compliance makes the logistics and warehouse more and more promising.
Logistics and Warehouseing are becoming critical revenue genrators, to companies and service Providers.