India’s focus on becoming a global manufacturing hub has unlocked a huge growth potential for warehousing clusters not just in top cities but also in tier 2 and 3 centres, a joint report by Anarock Group and Binswanger Commercial Real Estate Services of US said.
“Most of these emerging clusters are aligned with the industrial and freight corridors being developed in the country. The emerging tier 2 and 3 warehousing clusters include Ludhiana, Ambala, Lucknow, Siliguri, Guwahati, Bhubaneshwar, Vishakhapatnam, Vijaywada, Coimbatore, Kochi, Nagpur, Indore, Jaipur and Dholera,” said the report.
It also pointed out that currently industrial areas spread over 75,000 acres are planned across top cities, including the 19,333- acre Pharma City and 12,635-acre Zaheerabad NIMZ in Hyderabad. Also, policies like National Manufacturing Policy, Make in India and self-reliant India and incentives like reduced corporate tax rates are giving manufacturing and thereby warehousing a boost.
Shobhit Agarwal, MD & CEO, Anarock Capital said that though a chunk of the over 110 million sq ft of Grade A warehousing stock available across the country is concentrated in the top eight cities, a massive opportunity for Grade A warehousing development is also opening up in smaller cities as e-commerce and 3PL players fuel the demand.
“E-commerce will flourish in the post-Covid era, giving an edge to online businesses, which will eventually boost new warehousing demand,” Jeff Binswanger, managing partner, Binswanger International said.