Pyrops WMS

Warehouses to see a spike: A&M

Alvarez & Marsal (A&M) has released a detailed report, ‘Building Warehousing Competitiveness: Unlocking Growth through Intelligent Warehousing’ during a one-day conference organized by the CII Institute of Logistics. A&M’s report highlights the evolving trends shaping India’s warehousing landscape and the forces fueling unprecedented growth in logistics infrastructure.

The evolution of India’s logistics and warehousing sector towards sophisticated logistics parks is emblematic of its crucial role in driving the nation’s economic success. As showcased in its report, Alvarez & Marsal India estimates that the demand for Grade A warehousing stock will grow at a compounded annual growth rate of 12.5 percent until FY30. At present, up to 70 percent of Grade A demand comes from Delhi NCR, Mumbai, Bengaluru, Chennai and Pune.

India is witnessing an emergence of high-quality warehousing infrastructure, recognizing warehouses as crucial components in delivering exceptional customer experiences. Sectors which are primarily driving the demand are retail, third-party logistics (3PL) and ecommerce. According to the report, these sectors are projected to contribute approximately 80 percent of the total demand for Grade A warehousing over the next five years.