Warehousing demand in India grows as Asia-Pacific firms expand presence: CBRE
NEW DELHI : India’s warehousing sector is witnessing a significant surge in demand, driven by the expansion of Asia-Pacific (APAC) occupiers, according to real estate consultancy CBRE.
The company’s latest report, Asia Pacific Industrial and Logistics Occupier Survey 2024, highlights India as a key destination for companies aiming to strengthen their logistics footprint in the region. Among the top APAC markets, India saw a 13 per cent year-on-year rise in leasing activity in the first half of 2024, with the third-highest leasing share after Australia and China.
The demand is being primarily fuelled by companies looking to diversify supply chains and ensure operational resilience post-pandemic. The report finds that over 80 per cent of respondents are either looking to expand their logistics footprint or maintain current space over the next three years. Of these, 43 per cent plan to increase their warehousing space by more than 10 per cent, indicating strong confidence in regional growth.
India’s warehousing sector continues to attract significant interest from sectors such as third-party logistics (3PL), engineering and manufacturing, and retail. According to CBRE, cities like Delhi-NCR, Mumbai, Bangalore, and Chennai are emerging as major hubs due to their infrastructure, connectivity, and proximity to consumption centers, reported Business Standard. Automation and technology integration are also becoming key trends, with a growing number of occupiers investing in smart warehouses and inventory management systems to improve efficiency and reduce costs.
CBRE India’s Chairman and CEO Anshuman Magazine stated that India’s strategic location, growing domestic consumption, and improving infrastructure make it a highly attractive market for global logistics and warehousing players.
As multinational and regional companies continue to scale their operations in India, the warehousing industry is poised to remain on a strong growth trajectory in the coming years.
Source : KNN India