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The Transforming

Landscape of Indian
Warehousing

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India.The Transforming Landscape of Indian Warehousing 3 Executive Summary • The Index of Industrial Production (IIP) recorded respective states.QGH[ /3. With sizeable catchments of urban and • In a survey conducted by the World Bank in rural population.2 Advance . they are the most urbanised a compound annual growth rate (CAGR) of 6. growth witnessed in the industrial production of • Well connected by primary infrastructure the mining.0% locations in their region and have a large during the past decade. they are attractive emerging 2007.The Transforming Landscape of Indian Warehousing Advance . manufacturing and electricity sectors arterials. India was ranked 39th in the Logistics locations for warehousing. 3HUIRUPDQFH. a majority of secondary hubs are during August 2009 reinforces the industrial situated in the western and southern zone of revival and the country’s economic recovery. The y-o-y double-digit population.

taxation and regulatory policies. . With transitioning from being a logistics-unfriendly plenty of labour and land available at rational state to being a logistics-friendly one. • Several major logistics parks are currently North-South and East-West road corridors and under development across the country around Diamond Rail Corridor. integration of various modes other regions of the country. EXIM cargo contributes than any other sector by 2011. Various rail- across 37 cities.DQGZDVLGHQWL¿HGDV • $JULFXOWXUHDFFRXQWVIRUDVLJQL¿FDQWVKDUHRI a ‘comprehensive reformer’ in the process of warehousing demand at the tertiary hubs. automotive. costs. such as the availability of affordable land at • With excellent multi-modal connectivity to desired locations. Chennai. electronic hardware and Meghraj has initiated a study to assess the aerospace industry are under various phases potential and gaps for organised warehousing of construction across the country. Jones Lang LaSalle agriculture. been formulated through an analytic hierarchy • The growth of organised warehousing towards process (AHP) covering nearly 52 city-level and an intelligent future will heavily rely on how state-level parameters to segment the Indian effectively industry players and the government warehousing landscape in to primary. good infrastructural connectivity can • According to the Jones Lang LaSalle Meghraj . VXUYH\WKHUHWDLOJRRGVVHFWRUZDVLGHQWL¿HGE\ • 5HWDLOJRRGVFRQWULEXWHDVLJQL¿FDQWVKDUHRI the industry as the top demand generator during the warehousing demand at all the primary 2009. Kolkata and Chennai. Bangalore. Hyderabad and NCR. considerable demand for warehousing at the • With major roadways and railways projects port cities of Mumbai. primary hubs lie on the Golden Quadrilateral. VWDQGDUGLVDWLRQRIZDUHKRXVHVSHFL¿FDWLRQV the most expansive network of expressways in across geographies. six of the seven of logistics. Going forward. As the administrative capital of their and availability of professional manpower. Speciality • In order to study the warehousing attractiveness logistics parks catering to industries such as of various cities in India. secondary can work together to address key challenges and tertiary hubs. expected to gain prominence in the future. The rankings have being developed. aggregating to a total linked and multi-modal logistics parks are also population of 143 million. adequate infrastructure the country. inter-modal logistics is the major logistics hubs of Mumbai. such as Golden Quadrilateral highway network. the warehousing demand hubs due to their sizeable demographics from the agriculture sector is likely to grow more and consumption. propel some of these locations to become Confederation of Indian Industries warehousing attractive warehousing hubs in the future.

the logistics industry assumes Figure 2: Logistics Performance Index of Bric Nations a pivotal role in reducing costs by improving Customs Introduction HI¿FLHQFLHVDQGLQFUHDVLQJFRPSHWLWLYHQHVV 5. with Singapore topping 2.0 Performance Index (LPI).0 1 Singapore UHIRUPVLQÀRZVRIIRUHLJQGLUHFWLQYHVWPHQW )'.4 Advance .The Transforming Landscape of Indian Warehousing 5 Indian Logistics Industry Against this backdrop of tremendous expansion across sectors. as In a survey conducted by the World Bank in 4.6%. India was ranked 39th in the Logistics 3. The double-digit growth 2007.0 Timeline Infrastructure LPI Rank Countries growth in recent years supported by market compared to August 2008. 10.9%.0 The Indian economy has witnessed remarkable rates of 12.2% and 10. respectively.The Transforming Landscape of Indian Warehousing Advance .

 of the industry during August 2009 reinforces WKHVXUYH\DQG&KLQDUDQNLQJWK )LJXUH.

Putting The Index of Industrial Production (IIP). ‘World 6LJQL¿FDQWLPSURYHPHQWVFDQEHZLWQHVVHGLQ  )HGHUDWLRQ retailing and manufacturing industries. Investment Prospects Survey 2009-2011’.0% during the past decade. and will continue to remain dedicated freight corridors. With a population recovery. India Tracking & Tracing Logistics Competence the government’s approach to the sector. 2007 recorded a CAGR of 6.QGLDLVLGHQWL¿HG 39 India of more than a billion people. Logistic Shipments 61 Brazil witnessed a phenomenal increase in consumption and Development (UNCTAD) in a new report Costs and tremendous opportunities for organised unfriendly state to being a logistics-friendly one. which has ranked third in terms of global foreign direct greater emphasis on road infrastructure & Source: World Bank Survey “Connecting to Compete”. and the industrial revival and the country’s economic 30 China 0. the country has to be a ‘comprehensive reformer’1 in the Domestic International According to United Nations Conference on Trade process of transitioning from being a logistics.0 an expanding capital market. investments in 2009. 1. simplifying tax policies started witnessing declining growth rates during DPRQJWKHWRS¿YHDWWUDFWLYHGHVWLQDWLRQVIRU and notifying free-trade warehousing zones are WKHJOREDOVORZGRZQLQ )LJXUH. $FFRUGLQJWRWKH:RUOG%DQN.0 information technology and real estate booms. 99 Russian on world investment prospects titled.

2 Figure 1: Macro-economic Indicators of the Indian Economy 3PL )LJXUH.9 WREHFRPHWKH¿IWKODUJHVWFRQVXPHUPDUNHW FRVWVDQGLPSURYHHI¿FLHQFLHVDFURVVVHFWRUV 0.5 trillion by 2025. Figure 3: Logistics Costs and Growth of 3PL However..QGLD¶V*'3ZKLFKLVVLJQL¿FDQWO\KLJKHUWKDQ 0. the indices of industrial US likewise estimated to more than quadruple to 4PL/5PL processes. Aggregate Indian consumer spending is there are ample opportunities to value-engineer 0. India 2005.4 electricity sectors for August 2009 recorded growth Europe Europe those of the developed nations of Europe and 0. the emphasis to reduce ¿UVWKDOIRIWKHFXUUHQW¿VFDO\HDUWKH. rising from twelfth in has put the spotlight on the supply chain.8 its growth rate in July 2009 to 7.3LPSURYHG 0. where they equate to only about 10%3 0. Logistics costs2 equate to about 13% 0. international investors over the next two years.8% Share Of 3PL In Overall Logistics Japan 7PL in the world by 2012. Buoyed by the slew of measures China.3 Japan the US. RI. where 0. with improved market sentiment in the The McKinsey Global Institute expects India In the recent downturn. manufacturing and approximately USD 1.6 taken by the government.5 US production for the mining.2% from the 6.7 estimated earlier. some of the recent measures that were taken.

Estimated Logistics Costs Equated To % Of GDP GDP Growth (%) 200 8 Source: Logistics in India. only about 6% of the Indian logistics industry is organised. India 300 12 with the consolidation of 3PL players would result 0 Index of Industrial Production (IIP) 0.7KHHPHUJHQFHRIRXWVRXUFLQJDORQJ 0.14 250 10 LQLPSURYLQJHI¿FLHQFLHVDQGORZHULQJFRVWVLQWKH supply chain.08 0.1 0. SSKI 150 6 Critically.12 0.1 China. while the rest is riddled 100 4 ZLWKLQHI¿FLHQFLHVDQGORZOHYHOVRILQQRYDWLRQ Figure 4: Projected Growth of Organised Logistics in India 50 2 )LJXUH.

Global Insight PLGVWRID¿UVWZDYHRIORJLVWLFVRXWVRXUFLQJZLWKD Source: SSKI. (Source: US Department of Transportation) 3Logistics in India. inventory carrying costs and logistics administration. India is currently in the 86% Source: Central Statistical Organisation.+RZHYHURUJDQLVHGORJLVWLFV¶PDUNHW share is expected to grow to about 14% of the 14% 0 0 6% 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 total Indian logistics industry by 2011. (Source: Connecting to Compete 2007. infrastructure and services). 2007 ) 2007 Organised inbound logistics and reverse logistics have yet to Unorganised Gross Domestic Product (GDP) Index of Industrial Production gain traction in this fragmented and technically- 94% challenged environment. 1 Comprehensive reformers have a strong coalition for change implementing core reforms (customs. SSKI . affinity to work across administrative silos to consistently implement the reforms and favour a competitive service industry by lowering barriers to entry. World Bank) 2 Logistics Costs include transportation costs. Despite this. the advance concepts of customer support. Accenture fragmented market of 3PL players.

While the Indian economy is is likely to be the future of warehousing in India. warehousing in industrial growth of the India is witnessing a paradigm are implemented to process inventories.The Transforming Landscape of Indian Warehousing 7 Warehousing in India Growth of the Warehousing Industry With the growth of organised Modern warehousing forms an integral part of the With the growth of organised warehousing and an The growth of the Indian warehousing sector and advent of technological advancements. but several value-advance processes warehousing in India is witnessing a paradigm of the country.The Transforming Landscape of Indian Warehousing Advance .6 Advance . structure. thereby shift towards large logistics parks with state-of-the. predominantly driven by the service-based )LJXUH. the The growth of the Indian warehousing and an expected supply chain where goods are not only stored for H[SHFWHGVLPSOL¿FDWLRQRIH[LVWLQJWD[VWUXFWXUH is primarily driven by the industrial growth demand for organised and automated warehouses warehousing sector is VLPSOLÀFDWLRQRIH[LVWLQJWD[ primarily driven by the safekeeping.

manufacturing also manufacturing have thus far been the key demand generators and facilitators of the industry as India conducted by Jones Lang LaSalle Meghraj acts as a key growth driver distribution and customer service. industry. generators for warehousing space in India. the lack of world class standards and Indian geography for their attractiveness towards drivers that have contributed to the demand for and 5 indicating the highest. In this paper. sectors in driving the warehousing industry in huge growth potential after economic liberalisation. Although indigenous constraint. manufacturing also acts as a key growth economy is predominantly parks with state-of-the-art Warehouses are being used for critical functions driver for economic activity.  )LJXUH. The challenges posed to warehouse space in India. art facilities. agriculture and September 20094. While the Indian shift towards large logistics minimising obsolescence and reducing wastage. and the Confederation of Indian Industry in for economic activity. product mixing. such as stockpiling. warehousing in India has featured PDS)XUWKHUZHSUHVHQWWKHWUDQVIRUPLQJ While export/import (EXIM) cargo. levels. Both services and Key Demand Generators driven by the service-based facilities. landscape of the warehousing industry by manufacturing (textile and auto / auto ancillary) to rate individual demand drivers on a scale of 1 demand generators for based innovation has taken place at various analysing various locations within the large KDYHEHHQLGHQWL¿HGDVWUDGLWLRQDOJURZWK to 5. new growth drivers to other growth sectors that rely on logistics NH\GHPDQGJHQHUDWRUVDVRIWKH¿QGLQJV the growth of the industry are critically examined in such as organised retail. with 1 indicating the lowest level of demand warehousing space in India. An indirect tax structure has also highlighted the industry’s forward-looking the current context and elaborates on to probable telecommunications and healthcare are the incentivised companies in India to maintain perspective on the relative importance of these future growth patterns in the warehousing sector. and warehousing. value addition. While the survey VSHFL¿FDWLRQVSRVHVDVLJQL¿FDQWFKDOOHQJH successfully captured the industry’s perspective on organised warehousing. information technology. Each respondent was asked have thus far been the key small unit sizes. VXQVKLQHLQGXVWULHVWKDWKDYHEHHQLGHQWL¿HGZLWK separate warehouses in different states. country. we establish the major demand A survey of top logistics service providers was industry. Both continues to position itself on the world logistics services and manufacturing Traditionally.

1* POLICY SUPPORT =RQHV )7:=V.1)5$6758&785( Top 12 producers of LOGISTICS & Expected phase out of manufacturing value added WAREHOUSING Central Sales Tax and . expected to double infrastructure sector LQQH[W¿YH\HDUVWR86' billion (Apeda) Approval to 60 agri-export zones AGRICULTURE .38 billion Agri-exports grew by 25% in over the next two years in the 2008-09.MVA (UNIDO) implementation of Goods and Services Tax (GST) Investment opportunity of USD 180 bn in next 5 years )DFLOLWDWRUV )UHH7UDGHDQG:DUHKRXVLQJ (Investment Commission) 0$18)$&785.93 billion by 2015 (McKinsey) ORGANISED RETAIL EXIM CARGO 18.5% of India’s GDP Government’s Investment target of USD 20. Drivers of the Warehousing Industry 5th largest consumer &RQWDLQHULVHGWUDI¿FWR market in the world by 2025 grow by average rate of (McKinsey) Demand 18% annually over the next Generators decade (SCI) Retail market to grow to USD 419. With the growth of the above mentioned industries Figure 5.

occupiers and developers. . The results of the survey have been published in the relevant sections. Source: As Mentioned 4 Jones Lang LaSalle Meghraj (JLLM) and Confederation of Indian Industries (CII) conducted a warehousing survey of 26 major logistics players in India including owners.

QGLDQ3RUWV$VVRFLDWLRQWKHFDUJRWUDI¿FKDQGOHG investment of USD 1.3 0.8 Agriculture 3.0 0.2 fast-expanding sectors such as automotive/auto.8 0. movements in and out of the country through 12 • The Ministry of Shipping will launch ten major which is likely to grow more proposed for the Eleventh grow more than any other sector by 2011.The Transforming Landscape of Indian Warehousing Advance . organized warehousing in in infrastructure. EXIM cargo will remain at 2009 levels until 2011. According to the than any other sector by Plan period (2007-12).CII Warehousing Survey. warehousing services from agriculture is likely to 2009 followed by agriculture billion of investments are infrastructure projects.2 0.4 billion. Other key sectors that ZKLFKZRXOGVLJQLÀFDQWO\ . the demand for partnerships (PPPs) to drive fresh investments in the top demand generator in Commission.7 / Medical Change in 2011 Textiles 2. USD 494 The Indian coastline contributes to the freight planned expenditure of USD 12.5 Automotive / 2.06 billion.3 2009 Pharmaceutical 2.8 Advance . expansion projects in 2008-09 at an estimated survey also revealed that while the demand from Road Infrastructure 2011.2 / IT EXIM Cargo 3.The Transforming Landscape of Indian Warehousing 9 Figure 6: Key Demand Generators for Warehousing Retail Goods 4.0 1. The major ports and 187 minor ports.8 Auto-Ancillary Telecommunications 3.4 0. Since a major portion of freight movement in India would generate demand for increase the share invested by these major ports was recorded at 519. September 2009 :KLOHUHWDLOJRRGVZDVLGHQWL¿HGDVWKHWRS the Indian government also initiated public private 5HWDLOJRRGVZDVLGHQWLÀHGDV According to the Planning Port Infrastructure the facilities at India’s 12 major ports through a demand generator in 2009. The • RIIRUHLJQGLUHFWLQYHVWPHQW )'.4 0 1 2 3 4 5 Low Demand High Demand Source: JLLM .

which was 12% ancillary. According to the Planning Commission. for the Eleventh Plan period (2007-12). has undertaken a major and challenging growth of logistics and warehousing sectors as a higher growth after the economic recovery.QGLD¶VDLUSRUWVDUH¿QGLQJLWLQFUHDVLQJO\GLI¿FXOW in infrastructure. Bangalore and Coimbatore. In the power sector. to Porbandhar. As this project WUDI¿FKDQGOHGE\PDMRUSRUWVGXULQJ Indian air cargo in terms of volume is expected Growth of Infrastructure ZLOOVLJQL¿FDQWO\EULQJGRZQWKHORJLVWLFVFRVWVLW has declined since the previous year. June 2009 has increased by 4% over June 2008. Of this. pharmaceutical/ India include EXIM Cargo. Hyderabad. allocations for Apart from the above-mentioned projects. which project to connect the major ports of India. funding earmarked for the national the East-West expressway will run from Silchar to PLOOLRQWRQQHV$LPHGDWLQFUHDVLQJSRUWWUDI¿F with international and domestic freights dropping highways development program increased by Somnath through Kolkata.2% while domestic air industry challenges owing to the lack of world project would consist of a 7.XQGHU is transported via roadways. warehousing industry. According to Airports Authority of India (AAI). the North-South and East-West Corridors through the percentage increase in the amount of cargo world class road infrastructure. the total air freight handled worldwide in GXULQJWKHXQLRQEXGJHW)RUWKHWUDQVSRUW Bhopal. Indian government has the automatic route will be permitted for port plays a crucial role in the growth of logistics and above 2006-07 levels. 12 in India’s shipping and ports sectors as the However. textiles. the civil government funding for infrastructure projects. HI¿FLHQF\WKH. the billion. Rising for the logistics and warehousing sectors. infrastructure sector. under its national highway development program infrastructure. Although the medium term. The following are some of the initiatives mainly attributed to the collapse of the global export the power development program have increased National Highway Authority of India (NHAI). there is an (international and domestic) in India handled as of pressure on the Indian government. which in turn is likely to drive the LQFUHDVHLQ.5% from 2007-08 to Infrastructure serves as a key facilitator for the is likely to act as one of the key growth facilitator is expected to bounce back as global markets 2011-12. cargo is expected to be 12. ZRXOGVLJQL¿FDQWO\LQFUHDVHWKHVKDUHLQYHVWHG initiative will act as a key driver for the multi-modal $V. telecommunications/IT. demand to grow at a CAGR of 11. The Indian government telecommunications/IT. road infrastructure million tonnes (MT) in 2007-08.500 June 2009 dropped by 14% compared to June 2008 sector. • The Indian government has set up the National to cope with the rising volume of air cargo. also initiated public private development projects. partnerships (PPPs) to drive FDUJRWUDI¿FDWPDMRUSRUWVLQFUHDVHGWR07 demand for organised warehousing in India over has recently initiated a project to connect the Air Infrastructure pharmaceutical/medical and fresh investment in the which is a marginal 2% y-o-y increase. Maritime Development Plan (NMDP) to improve DYLDWLRQPLQLVWU\LVZRUNLQJWRDFKLHYHVLJQL¿FDQW . The recovery. This whole in the long term. infrastructure has remained the key area of focus will go from Jammu to Kanyakumari through Delhi. Apart from the increase in and inter-modal connectivity. country seeks to double its ports capacity to 1. taken by the Indian government to improve port trade. while funding for railways has increased by 276 projects entailing an investment of USD 12 Although the decline in international freight was close to 45%. and hence. It is noted that in 2008-09.300-km-long corridor FDUJRZRXOGEH7KHWRWDODLUIUHLJKWWUDI¿F class infrastructure have exerted tremendous connecting Kashmir to Kanyakumari and Silchar According to the Planning Commission. the CAGR of international air growth of warehousing industry in India. While the North-South expressway investment opportunity of USD 25 billion by 2011.QGLDQIUHLJKWWUDI¿FZKLFKLQGLFDWHVD USD 494 billion of investments are proposed (NHDP). medical and textiles will increasingly drive the automotive/auto-ancillary. it was interesting to note that there was an by 160%.QGLDQJRYHUQPHQWKDVLGHQWL¿HG VLJQL¿FDQWO\E\DQGUHVSHFWLYHO\ 23%.

and-spoke distribution centre of India. it is likely to act as an effective hub- the Dedicated Freight Corridor Policy Support warehouses. Availability of international best practices in As Nagpur is strategically located in the centre of 'HGLFDWHG)UHLJKW&RUULGRUSURMHFW services loan for phase I of in ensuring credit with reference to goods in skilled labour. the Indian government has tied up with prime tool of trade to ensure safekeeping of farm be of paramount importance over other factors Trade and Warehousing Zone the Indian government has goods in accredited warehouses. as were proximity the industry through committed an amount of INR Modal International Hub Airport) project at Nagpur. The provisions when selecting a warehousing location. manpower and warehousing space a regional context. the country.3 billion as an Act (WDRA) aim to organise the lending portfolios of banks. experts feel that going With the appointment of a warehousing regulator forward. rail and air networks. Free Trade Warehousing Zone (FTWZ) Act less important. engineering services loan for phase I of the 1. as well as further considered extremely important. sector. Access to (FTWZ) and Warehousing quality of trade in the express and logistics industry. the and technology is extensively used in operations. and proximity to ports were considered project. as the industry becomes more organised Rail Infrastructure The government of India had announced in the in the short term by the government of India.3 billion as an engineering enhance the interests of lending institutions to road. Aimed at coping with the increase of freight )RUHLJQ7UDGH3ROLF\WKDWLWZLOOVHWXS above-mentioned act can be enforced as a law to the availability and costs of skilled labour would transport demand in India by constructing a )UHH7UDGHDQG:DUHKRXVLQJ=RQHV )7:=. committed an amount of INR 1. to Policy initiatives such as Free infrastructure in the country.The Transforming Landscape of Indian Warehousing 11 In order to promote rail LPSURYHPHQWVWKDWZLOOGHFRQJHVWWUDI¿FLQWKLV In order to promote rail infrastructure in the farmers to use the warehousing receipts as a supply hubs. This initiative would greatly enhance the country. along with quality infrastructure. However. suppliers and manufacturing units were of Japan which has recently One such initiative is the proposed MIHAN (Multi.The Transforming Landscape of Indian Warehousing Advance . the government of Japan which has recently Development and Regulation tied up with the government RIWKH:'5$DOVROHDGWRLQFUHDVHGHI¿FLHQFLHVLQ markets. costs.10 Advance .

railways has commissioned the Diamond Rail the import and export of goods and services with Warehousing Attractiveness Index Corridor project. the Indian create trade-related infrastructure to facilitate organised warehouses in the future. new dedicated freight railway system.WR ensure smooth functioning to fuel the growth of the gain in importance. which is a dedicated freight freedom to carry out trade transactions in free The Landscape of Indian Warehousing India has a vast geographical spread covering FRUULGRU ')&.

Due to the large expanse of landmass. According to the Special Economic Locating a Warehouse about 3.3 million sq km with a coastline of 7. This project is expected not =RQHV$FWD)UHH7UDGHDQG:DUHKRXVLQJ As with the other real estate sectors. the maxim km.WRFRQQHFWWKHZHVWHUQDQG currency. there RQO\WRIDFLOLWDWHHI¿FLHQWDQGFRVWHIIHFWLYHIUHLJKW =RQH )7:=.517 eastern rail routes.

QGLDZLWKIRUHLJQGLUHFWLQYHVWPHQW )'. stipulated at 0. the development Haryana. There are infrastructural inter-modal logistic systems. location’ still holds true for are geographical disparities that have shaped WUDI¿FLQWKLVFRUULGRUEXWDOVRZRXOGUHVXOWLQ Economic Zone and is governed by the provisions warehousing. availability and advantages and limitations that have also With the minimum size of the warehousing space rail corridor passes through Uttar Pradesh. geo-political stability and contributed to variations in regional growth. The existing western hubs.LVDVSHFLDOFDWHJRU\RI6SHFLDO ‘location. quality of transport. Delhi. depend on the proximity to major demand-supply of various locations. In the Jones Lang LaSalle The eastern rail corridor will run from Ludhiana warehousing at various locations. Gujarat and Maharashtra. Rajasthan. Optimal warehousing locations regional demographics and the development the improvement and modernisation of existing of the SEZ Act and the Rules. location. The Jones Lang . quality of infrastructure. thereby creating a differential demand map for RI)7:=LVSHUPLWWHGE\WKHJRYHUQPHQWRI operational costs.1 million sqm.

Jharkhand and West Index maps various locations in India. Bihar. Meghraj . respondents to Kolkata via Dankuni.CII Warehousing Survey. Uttar Pradesh. is expected to generate more employment they would consider when selecting a warehouse %HQJDO7KHFRPPLVVLRQLQJRI')&LVH[SHFWHGWR assessing their potential and gaps for organised opportunities as a result of increase in )LJXUH. covering the states of LaSalle Meghraj Warehousing Attractiveness This strategic move by the Indian government were also asked to rank various parameters that Punjab.

4 0 1 2 3 4 5 0 . establishment Proximity to Rail Network 3. from 60 to 36 hours. Figure 7: Factors Considered while Selecting a Warehouse Location Warehousing Development and Regulation Act The Warehousing Development and Regulation Access to Markets 4. Access to Suppliers 3.5 Warehousing Space Costs 3.7 Authority and for matters connected therewith or incidental thereto. Proximity to Airports 3. Encompassing over 50 city-level and competitiveness among respective industries.1 a long-felt need of the industry. September 2009 . The act enables Availability of Skilled Labour 3. the rankings have been apart from promoting organised warehousing. as well as reduce the cost of The results of the survey indicate that industry state-level parameters.8 of a Warehousing Development and Regulatory Access to Manufacturing Units 3. operations. which in turn is likely to boost the overall economic stakeholders perceive proximity to demand and formulated through an analytic hierarchy process activity of the country.3 The implementation of the WDRA has addressed Proximity to Ports 3.CII Warehousing Survey.0 Labour Costs 2. reduce the transit time between Delhi and Mumbai warehousing.8 negotiability of warehouse receipts.Most Important Source: JLLM .Least Important 5 .0 the development and regulation of warehouses.1 Act (WDRA) is intended to make provisions for Proximity to Road Network 4.

8 Ahmedabad warehousing space would be increasingly required SUB-CRITERIA Policy Support Economy 9 Surat at these locations. Secondary 1 NCR-Delhi hubs support tertiary hubs to some extent. Airways. Per capita income. Secondary Hubs Roadways.The Transforming Landscape of Indian Warehousing Advance . Rents. Demography 11 Chandigarh With plenty of labour and land available at rational Labour Availability Population. Taxes.The Transforming Landscape of Indian Warehousing 13 Figure 8: Analytic Hierarchy Process (AHP) for Evaluating Warehousing Attractioness of Indian Cities Figure 9: Warehousing Attractiveness Of locations in terms of access to markets and Indian Cities manufacturing units. 2 Mumbai 3 Chennai CRITERIA Tertiary Hubs Facilitators Index Demand Index 4 Bangalore While some tertiary hubs are strong markets. 15 Coimbatore Warehouses Managed by Public Sector Source: Jones Lang LaSalle Meghraj Research 16 Thiruvananthapuram Agencies 17 Jaipur Currently. Ports. the 5 Kolkata lack of quality infrastructure has hindered their 6 Hyderabad development either as warehousing or industrial 7 Pune KXEV$JULFXOWXUHIRUPVDVLJQL¿FDQWVKDUHRI Infrastructure warehousing demand at some of these locations. Labour costs 14 Nagpur warehousing hubs in the future.12 Advance . Growth of trade 10 Goa linkages to rural locations at the heart of India. Power With the expected growth of organised retail. good infrastructural connectivity can propel 13 Visakhapatanam some of these locations to become attractive Costs Land costs. Railways. a vast majority of the organised $+3. which also serve as important Geo-political risk. they are attractive GOAL Warehousing Attractiveness Primary Hubs To rank cities on the basis of their potential for warehousing emerging locations for warehousing. Retail consumption 12 Kochi costs. Investment climate Industrial & Agricultural growth. With sizeable catchments of urban and rural population.

ZKHUHLQWKH¿QDOLQGH[LVDVFHUWDLQHG 6HFRQGDU\DQG7HUWLDU\KXEV )LJXUH.

the Central Warehousing )LJXUH. 18 Vadodara warehouses in India are maintained by public through several simpler independent sub-indices 19 Nashik Primary Hubs sector agencies .

three of which have the most active ports 21 Mangalore &RUSRUDWLRQV 6:&V. State Warehousing The major factors that determine the potential of a in India . 20 Indore The primary hubs are the major metropolitan cities Corporation (CWC).

With excellent multi-modal 22 Ludhiana .DQGWKH)RRG&RUSRUDWLRQRI location for its attractiveness for warehousing have and airports of India.QGLD )&.

The primary facilitators the seven cities lie on the Golden Quadrilateral. six of 23 Guwahati storage capacity of 27.7 million tonnes.$VRI6HSWHPEHU)&.PDQDJHV EHHQFDWHJRULVHGLQWRWZRLQGLFHV)DFLOLWDWRUV connectivity to other regions of the country. while CWC Index and Demand Index. PDQDJHVPLOOLRQWRQQHV )LJXUH.

7 27.. and demographic Bhubaneshwar 25 27.0 parameters include the consumption and income Jalandhar 25. they are the most urbanised Allahabad Demand Index is generated through several )RRG&RUSRUDWLRQRI. As the administrative capital of their respective states.2 10.9 Meerut 9. labour availability and costs.QGLD'HSDUWPHQWRI)RRGDQG3XEOLF$GPLQLVWUDWLRQ and demographic importance in the urban fabric a majority of secondary hubs are situated in the 1RWH)LJXUHVIRU)&.3 city limits and escalation in land prices.3 9. Current capabilities Jodhpur as well as possible development trajectory due support the secondary hubs in vicinity. Economic locations in their region and have a large resident Amritsar 35 indicators include several parameters for growth population.8 9. The the country.QGLD Central Warehousing Coporation in India economic and demographic indicators.7 Capacity (Million Tonnes) of agriculture and industries. Tertiary Hubs LGHQWL¿HGIRUZDUHKRXVLQJDUHLQIUDVWUXFWXUH the most expansive network of expressways in Agra Figure 10: Storage Capacity of Warehouses Owned by FCI & CWC policy support.QFOXGH&RYHUHGDQG&DS &RYHUDQG3OLQWK. 5 analysis covers 37major Indian cities. they also 30 demographics of the region.9 9.2 HVWDEOLVKHGORFDWLRQVIRUZDUHKRXVLQJ)XQFWLRQLQJ 26. These cities Secondary Hubs Patna 2003 2004 2005 2006 2007 2008 2009 were selected on the basis of their geo-political Well connected by primary infrastructure arteries. Varanasi 6RXUFH)RRG&RUSRUDWLRQRI. With a huge labour pool and industrial Bhopal 30 districts in the periphery. these cities score as 31. Availability 15 Kanpur to ongoing and proposed projects have been and cost of land is a concern in these cities as Lucknow 10 massive urbanisation has resulted in expansion of considered while creating the sub-indices.9 as primary hubs in the supply chain.2 23.2 9. aggregating Mysore 0 to a total population of 143 million. Our 10.6 25.

QFOXGH&RYHUHG2ZQHGDQG&RYHUHG+LUHG6WRUDJH&DSDFLWLHV western and southern zone of India. Source: Jones Lang LaSalle Meghraj Research  )LJXUHVDUHDVRI6HSWHPEHU as regional industrial hubs and are important . the Vijayawada  )LJXUHVIRU&:&. On the basis of the analysis.6WRUDJH&DSDFLWLHV of the country. They serve cities have been ranked and grouped into Primary.

20 6 .12 14 .The Transforming Landscape of Indian Warehousing 15 Figure 11: Major Warehousing Hubs in India Figure 12: Major Logistics Hubs in India NCR Mumbai Chennai Bangalore Kolkata Hyderabad Pune Average Land Cost1 5 . which further creates demand for 1 NCR UTTAR PRADESH Agra (MCX) owned National Bulk Handling Corporation ZDUHKRXVLQJVSDFH$VLJQL¿FDQWDPRXQWRIFDUJR RAJASTHAN SIKKIM Lucknow (NBHC) manages 13.9 million tonnes.1 million tonnes of organised originates from India’s south and west regions due Jaipur ASSAM Jodhpur Kanpur Guwahati storage capacity in the country.11 9 -18 Major Palwal Bhiwandi Sriperumbudur Tumkur Rd Dhulagarh Kompally Chakan Warehousing Locations Jamalpur Panvel Irungatukottai Hoskote Ankurhati Gundlapochampally Talegaon JAMMU AND KASHMIR Bhorah Kalan Taloja Oragadam Mysore Rd Hide Road Medchal Wagholi The Landscape of Lohari Rasayani Maraimalainagar Devanahalli Kona Patancheru Shirval HIMACHAL Dharuhera Pathalganga Madavaram Hosur Rd Dankuni Shamshabad Amritsar Ludhiana PRADESH Jalandhar Indian Warehousing Source: Jones Lang LaSalle Meghraj Warehousing and Logistics Solutions Note: [1] Average Land Cost is in INR million per acre PUNJAB [2] Average Rents are in INR per sq ft pm Chandigarh UTTRAKHAND HARYANA NCR Meerut ARUNACHAL PRADESH While the Multi Commodity Exchange of India activity.27 5 . Bhubaneshwar 2 Mumbai Mumbai MAHARASHTRA GHPDQGIURPDYDULHW\WUDGHDFWLYLWLHV )LJXUH.14 9 . Several major logistics parks are currently under Surat CHHATTISGARH 5 Kolkata EXIM cargo generates considerable demand for development across the country around the major ORISSA Paradip Nashik Nagpur warehousing in the port cities of Mumbai. Bhopal JHARKHAND MIZORAM 5HWDLOJRRGVFRQWULEXWHDVLJQL¿FDQWVKDUHRIWKH Indore WEST Vadodara BENGAL warehousing demand at all the primary hubs due Emergence of logistics parks MADHYA PRADESH Kolkata GUJARAT to their sizeable demographics and consumption.14 Advance .14 8 . NCDEX owned to a large number of established industrial hubs BIHAR NAGALAND Varanasi National Collateral Management Services DQGVHDSRUWV+HQFHWKHÀRZRIFDUJRWUDI¿F MEGHALAYA Patna manages 5.18 12 . Kolkata logistics hubs of Mumbai.16 9 . NCR-Delhi also enjoys warehousing Hyderabad and NCR.30 5 .The Transforming Landscape of Indian Warehousing Advance . and Chennai. Bangalore.18 7 . from India’s south and west regions to its east and Allahabad MANIPUR north regions is much higher than in the reverse Kandla Ahmedabad TRIPURA Regional Demand for Warehousing direction.20 12 .17 Average Rents2 10 .20 6 . Chennai.

Mumbai. About 861 These cities are also sizable markets for Golden Quadrilateral automobile sales. automotive. Various rail-linked and multi-modal logistics Goa parks are also being constructed. Having a large :DUHKRXVLQJ=RQHV )7:=V. Speciality logistics parks catering to industries 6 Hyderabad Due to the location of automotive industries. such as agriculture. textile and agri-prodiucts. India’s eastern region is rich in DFUHVRIODQGKDYHEHHQLGHQWL¿HGDV)UHH7UDGH GOA ANDHRA PRADESH minerals. electronic Pune Visakhapatnam Pune Hyderabad warehousing demand for automobiles and hardware and aero-industry are under various 7 auto-ancillary products is prominent in Chennai. Vijayawada NCR-Delhi. phases of development across the country. Pune and Ahmedabad.

September 2009 . Users of this NCR-Delhi 3 3 3 3 information should review or consult the primary data and information sources to ascertain the usability of the information. this region has strong consumption 3 Chennai Western DFC Line Mysore Bangalore Chennai Figure 13: Major Demand Generators for Warehousing Eastern DFC Line TAMIL NADU KERALA EXIM Cargo Retail Goods Automotive Textiles Pharmaceuticals IT and Telecom International Airport Coimbatore Ahmedabad 3 3 3 3 Kochi D omestic Airport Tuticorin Bangalore 3 3 3 Major Sea Port Chennai 3 3 3 3 Hyderabad 3 3 3 Thiruvananthapuram Kolkata 3 3 3 3 Mumbai 3 3 3 3 Note: The proposed infrastructure developments including routes for various projects shown on the map are for illustration purposes only. Pune 3 3 3 Source: Jones Lang LaSalle Meghraj Research Source: JLLM CII Warehousing Survey.QGLDZKLFKKDYH KARNATAKA North-South Corridor 4 Bangalore Ennore been envisaged as global trading hubs in the Mangalore East-West Corridor population.LQ.

not only curb illegal warehousing activities in the best practices to integrate )UHH7UDGH:DUHKRXVLQJ3ULYDWH/WG Haldia West Bengal 45.16 Advance .7 )7:= )RUPDO and offer world class modern )7:3/. to come up with clear-cut rules and regulations will Implementation of global products.The Transforming Landscape of Indian Warehousing Advance .The Transforming Landscape of Indian Warehousing 17 Figure 14: Upcoming Free Trade and Warehousing Zones (FTWZs) in India Name of Developer Location State Acres Type Approval Status demand for warehousing space perishable Agri.

6 )7:= )RUPDO The expected phase-out of Central Sales Tax and Land Availability the implementation of Goods and Services Tax Jhunjhunwala Vanaspati Chandauli Uttar Pradesh 103.0 )7:= )RUPDO the logistic value chain. warehousing industry majors. country but also act as a building block to enhance The growth of organised warehousing towards an warehousing facilities through Balaji Infra Projects Ltd (BIPL) Raigadh Maharashtra 100.Matadee Eco Parks Pvt Ltd Kancheepuram Tamil Nadu 40. This will in turn facilitate the use of technological intelligent future will heavily rely on how effectively deeper domestic and international penetration into advancements is likely to Jafza Chennai Business Parks Thiruvallur Tamil Nadu 136.0 )7:= In-Principle clear title and proper approvals is a key for any impact on the nature of the warehousing sector in :DUHKRXVLQJ3YW/WG (DUOLHU)7:3/. J.0 )7:= )RUPDO together to address challenges in the short term.4 )7:= )RUPDO industry players and government can work the Indian warehousing landscape. be the future action plan for Chiplun Infrastructure Pvt Ltd Mumbai Maharashtra 40.6 Multi-services SEZ )RUPDO ZLWK)7:= Procurement of land in a desirable location with (GST) in the coming years would have a profound Greater NOIDA Integrated Greater NOIDA Uttar Pradesh 80.

/ )6&RQVRUWLXP Naigaon Maharashtra 46.0 )7:= In-Principle LQ.0 )7:= In-Principle WKHLUSHDNVGXULQJWKHSDVWWKUHHWR¿YH\HDUVWKH and tertiary hubs. Transit time and costs would be 9LEUDQW.QGLDQFLWLHVUHFODVVL¿FDWLRQRIODQGLVDPDMRU RSHUDWLRQDOHI¿FLHQFLHV7KHQHWHIIHFWZRXOGEH concern as far as developments of warehouse large warehousing spaces consolidated at primary '/)8QLYHUVDO/WG Amritsar Punjab 40.9 )7:= In-Principle availability of affordable land is another concern UHGXFHGFRQVLGHUDEO\GXHWRLPSURYHGHI¿FLHQFLHV 6RXUFH)UHH7UDGHDQG:DUHKRXVLQJ=RQHV ZZZIWZ]FRP. India. thereby increasing LMJ Warehousing Kandla Gujarat 40. With land values attaining locations serving a vast region through secondary Shipco Infrastructure Pvt Ltd (SIPL) Karnataka Karnataka 120.0 )7:= In-Principle zones are concerned. new entrant who wants to set up a warehouse.0 )7:= In-Principle 'XHWRWKHODFNRIH[LVWLQJFOHDUODQGFODVVL¿FDWLRQV warehousing in multiple states. It would remove the need for decentralised Arshiya Internation Ltd (AIL) Panvel Maharashtra 68.

achieved such as the elimination of check-points at state borders. The imposition of GST would LQWHUQDWLRQDOVXSSO\FKDLQ )LJXUH. for the industry.

logistics has put the development of cold chain Tax and Regulatory Policies creates tremendous opportunities in this sector. the demand requirement of over 31 million tonnes. Despite Multi-Modal Logistics eliminate taxation as a factor in regulating the governed by the Special Economic Zone (SEZ) Act the announcement of various incentives for cold Various modes of logistics and transport are growth of industry and. rail. is expected to grow to USD 12. for the development of temperature-controlled delivery. As a result.7 million tonnes of cold storage against a infrastructure is one of these challenges. The VWDNHKROGHUVFDQIRFXVRQLQFUHDVLQJHI¿FLHQFLHV QHHGVÀXFWXDWLQJUHYHQXHF\FOHVDQGUHODWLYHO\ options available to ensure prudent delivery of Temperature-Controlled Storage and reducing costs in the supply chain through low subsidies have worked as impediments goods include road. This capacity of cold storage in the country. storage spaces across the country despite a and West Bengal have 65.0% of the total installed challenges. With rising disposable FRVWHI¿FLHQF\. the Indian cold chain incomes.3ULQFLSDOO\ houses and ripening chambers by 2012. a much needed breathing room where industry LQYHVWPHQWKDVEHHQSHUPLWWHGLQWR)7:=V in the sector has been lacking. the huge potential for growth in rural huge demand from several industry verticals. sector has received special attention over the of technological advancements is likely to be the There is a dearth of quality temperature-controlled The agricultural-intensive states of Uttar Pradesh SDVWIHZ\HDUV$OWKRXJKWKHUHDUHVLJQL¿FDQW future action plan for warehousing industry majors. changing lifestyles and focus on rural practices to integrate and offer world class incorporated in the standards to increase safety market in 2009 is worth USD 2. the time to evolve in India. there is cost-effective means. According to the KPMG- Challenges and Road Ahead The demand for warehousing comes from As Indian warehousing is in an initial phase WKHVHPRGHVWRHQVXUHHI¿FLHQWGHOLYHU\WKRXJK DPXOWLWXGHRIVRXUFHVZKLFKKDYHVSHFL¿F Assocham report released in August 2009. 100% foreign direct chains in the Union Budget 2009–10. rural employment opportunities but also meet the participation. pack likely to continue through the medium term. provide it with 2005 and SEZ Rules 2006. the industry faces a QHHGV7KHODFNRIVWDQGDUGVSRVHVDVLJQL¿FDQW a shortage of 10 million tonnes of cold storage for VLJQL¿FDQWDPRXQWRIFKDOOHQJHVDPLGVWJURZWK A multimodal transport system that would challenge to the industry where quality and agri-produce in India. sea or electronic Temperature-controlled storage is used primarily other avenues. the rural logistics modern warehousing facilities through the use and minimise wastage. Best practices need to be According to the study. warehousing infrastructure on the top of the The government’s role to promote organised The government of India has planned to create a where a substantial demand-supply mismatch is government’s priority list. meat and marine are independently viable for different business warehousing in India. The government of India’s initiative .4 billion by 2015. of life cycle development. which and agricultural related activities. instead.PSOHPHQWDWLRQRIJOREDOEHVW by the policymakers. the key challenge is to integrate all and confectionery. This will not only provide warehousing is crucial along with private sector capacity of 10 million tonnes of cold chains. lag between devising and implementing strategies modal and intermodal infrastructure would from occupiers is expected to pressure developers PRUHWKDQRIDJULSURGXFHLVORVWLQ¿HOGVSRVW due to the lack of international warehousing bridge the rural urban divide with improved and owners to adopt the standards formulated harvesting. High capital volume and type of goods to be delivered. 6WDQGDUGLVDWLRQRI6SHFLÀFDWLRQV SURGXFWVÀRULFXOWXUHGDLU\SURGXFWVLFHFUHDPV requirements.6 billion. investment preferred depending on the distance. air. India currently has around RSSRUWXQLWLHV:KLOHWKHODFNRIVXI¿FLHQWSK\VLFDO integrate different geographical scales is yet ÀH[LELOLW\RIDYDLODEOHZDUHKRXVLQJVSDFHLVD 21. The development of new major concern. standards is another. As we go forward. Although all these modes of transport for fruits and vegetables. destination.

Based in Chennai. faced by the industry on a scale of 1 to 5. Hariharan Ganesan joined the Jones Lang LaSalle Meghraj Research team in April 2008 and is port infrastructure combined with the increased respectively. where 1 Jones Lang LaSalle Meghraj The improvements on the road. commercial. Research and REIS warehousing continues to remain a key challenge. Along responsible for the Indian Real Estate Intelligence Service (REIS) publications.The Transforming Landscape of Indian Warehousing 19 Infrastructure $XWKRUV3URÀOH The widening gap between the growth of The Jones Lang LaSalle Meghraj . He holds a dual degree from Bits Pilani and an MBA from IIPM. on the criticality of the challenge.CII Warehousing Hariharan Ganesan infrastructure and that of demand for organised Survey asked respondents to score major challenges Assistant Manager. the industry’s perspective on the expected criticality of India. he roll-out of technology to drive growth of modern with the industry’s perspective on key challenges as contributes to research deliverables on industrial. rail.The Transforming Landscape of Indian Warehousing Advance . Delhi. airways and and 5 indicate the lowest and the highest scores. retail and residential real estate markets warehouses is the need of the hour in the India RIWKH¿QGLQJVRIWKHVXUYH\DOVRKLJKOLJKWHG LQWKHFRXQWU\3ULRUWRMRLQLQJWKH¿UP+DULKDUDQZRUNHGRQUHVHDUFKLQGLIIHUHQW¿HOGVIRUWZR\HDUVLQ warehousing industry. WKHVHFKDOOHQJHVLQ )LJXUH.18 Advance .

The lack of adequate multi-modal logistics are highly critical challenges for Himadri Mayank physical infrastructure to promote the use of new the industry today.'. Although taxation policies are currently a Jones Lang LaSalle Meghraj GHYLFHV 5). :KLOHVLJQL¿FDQWRXWOD\KDVEHHQGRQHDWD macro-level. Research and REIS WHFKQRORJLHVVXFKDVUDGLRIUHTXHQF\LGHQWL¿FDWLRQ the future. and are expected to remain so in Senior Analyst. infrastructure at the warehouse The availability of land at desired locations and level also needs attention.

He holds a degree of infrastructure to be a major challenge. market forecasts and investment strategies. sector analyses. he also contributes towards regional and local research publications of goods.QVWLWXWHRI7HFKQRORJ\. Surprisingly.KDUDJSXUDQGKDVWZR\HDUVRIH[SHULHQFHLQWKH¿HOGRI Trained and Professional Manpower due to the massive focus on the issue from both the construction and architecture. Based out of Mumbai. Most of the warehouses in India today are public and private sectors.QHZVXSSO\FKDLQWRROVDQG VLJQL¿FDQWFKDOOHQJHDQGZRXOGFRQWLQXHWRUHPDLQ Himadri Mayank joined Jones Lang LaSalle Meghraj Research team in July 2008 and is responsible for e-commerce capabilities is acting as a major critical for the next two to three years. its criticality. the survey WUDFNLQJDQGPRQLWRULQJPDUNHWDFWLYLW\DQGWUHQGVLQRI¿FHUHWDLODQGUHVLGHQWLDOSURSHUW\VHFWRUVIRU challenge to managing the movement and storage UHYHDOVWKDWLWVH[SHFWHGVLPSOL¿FDWLRQVKRXOGUHGXFH Indian cities.QGLDQ. respondents did not perceive covering economy. The availability of trained PDQDJHGE\FDUU\ IRUZDUG & ). most likely %$UFKIURP.

and the support from CII representatives. property market digests and bespoke Infrastructure (Rail/Road/Port/ 3. skilled labour Jones Lang LaSalle Meghraj mitigate the risks of high inventory levels and is expected to be employed in larger numbers by the Avinash Mirchandani supports the Jones Lang LaSalle Meghraj India Research & REIS team.3 Abhishek Kiran Gupta Integration of various modes of logistics 4. CII Logistics Western India. Research and REIS 3. 4.0 VHUYLFLQJGLYHUVL¿HGLQGXVWULHVLQFOXGLQJSKDUPDFHXWLFDOVRIWZDUHSXEOLVKLQJDQGLQVXUDQFH 0 1 2 3 4 5 Less Critical More Critical Acknowledgements Source: JLLM – CII Warehousing Survey. he provides guidance and oversight on all of the team’s research outputs and bespoke client to make a paradigm shift towards intelligent. Avinash holds a bachelor’s degree in Economics from UCLA and Figure 15: Critical Challenges Faced by Warehousing Industry an MBA from the Indian School of Business. 2. Having a skilled work force to However. aerospace and IT industries in the United States. projects. Based in poor service offerings.4 Jones Lang LaSalle Meghraj Tax and Regulatory Policies 3.2 Associate Director. Prior to that. Avinash originally joined Jones Lang LaSalle in 2007 as the programme manager for the World automated and organised warehouses.4 Affordable land at desired locations 4.0 Mumbai. in the future. a multi-year research initiative conducted by our Global Research team.DJHQWVZKR and professional manpower was deemed as the least have poor knowledge on the latest warehousing critical of the challenges faced by the industry today. Extensive contributions were also made from the Jones Lang LaSalle Warehousing and Logistics Solutions team who shared their knowledge and expertise GXULQJRXUUHVHDUFKDQGDQDO\VLV5DKXO6LQJKDQG1LVKD3RGGDUIURP-RQHV/DQJ/D6DOOH0HJKUDM5HVHDUFKDOVRFRQWULEXWHGVLJQL¿FDQWO\WRWKLVSURMHFW .0 2009 UHVHDUFKSURMHFWVEDVHGRQVSHFL¿FFOLHQWUHTXLUHPHQWV3ULRUWRMRLQLQJ-RQHV/DQJ/D6DOOHKHKDG Airport/Power) 3. but also help the industry industry. He manages research operations on a Pan-India level and is responsible for the team’s VSHFL¿FDWLRQVDFURVVORFDWLRQV 3. including research reports such as topical white papers. with the growth of the organised sector Assistant Vice President.8 Abhishek Kiran Gupta leads the Jones Lang LaSalle Meghraj India Research team and is based in Standardization of warehouse 3. he worked in a variety of consulting and research roles across the biotech.2 Trained and professional manpower 2. Avinash Mirchandani technologies. Chairman.5 4. September 2009 We would like to acknowledge the invaluable guidance by Tushar Jani. business analysis and market strategy consulting. Its availability may pose a greater challenge Mumbai. Research and REIS manage the warehouses of tomorrow will not only and the increasing use of technology. Winning Cities Research Programme.2 outputs.2 2011 seven years of experience in market research.

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LaSalle Investment Management. .co.4 billion square feet worldwide.co. Kochi.Chabukswar@jllm. no representation or warranty is made to the accuracy thereof. occupying or investing in real estate.Agarwal@jllm.in Vinay.joneslanglasalle.co.LVDSURIHVVLRQDOVHUYLFHV¿UPVSHFLDOL]LQJLQUHDOHVWDWH7KH¿UPRIIHUVLQWHJUDWHGVHUYLFHVGHOLYHUHGE\H[SHUWWHDPV worldwide to clients seeking increased value by owning.in ©2009 Jones Lang LaSalle IP. Hyderabad. www. Inc.WLVVXSSOHPHQWHGE\YDOXHDGGHGVHUYLFHVLQFOXGLQJFOLHQWEULH¿QJVSUHVHQWDWLRQVDQGUDSLGPDUNHWXSGDWHV )RUPRUHGHWDLOVFRQWDFW$QDQWKDQDUD\DQDQDW1$QDQWK#MOOPFRLQRU www. property and asset management.Puri@jllm. Bangalore.in Ramesh. with a portfolio of approximately 1. All information contained herein is from sources deemed reliable.co. -RQHV/DQJ/D6DOOHKDVRYHU\HDUVRIH[SHULHQFHLQ$VLD3DFL¿FZLWKRYHUHPSOR\HHVRSHUDWLQJLQRI¿FHVLQFRXQWULHVDFURVVWKHUHJLRQ About Jones Lang LaSalle Meghraj -RQHV/DQJ/D6DOOH0HJKUDMWKH.Srinivas@jllm. With 2008 global revenue of USD2. transactions. Jones Lang /D6DOOHVHUYHVFOLHQWVLQFRXQWULHVIURPORFDWLRQVZRUOGZLGHLQFOXGLQJFRUSRUDWHRI¿FHV7KH¿UPLVDQLQGXVWU\OHDGHULQSURSHUW\DQGFRUSRUDWH facility management services.Dhingra@jllm.QGLDQRSHUDWLRQVRI-RQHV/DQJ/D6DOOHLVWKHSUHPLHUHDQGODUJHVWUHDOHVWDWHSURIHVVLRQDOVHUYLFHV¿UPLQ.QGLD:LWKDQ extensive geographic footprint across ten cities (Delhi. Mumbai. however. All rights reserved.co.Kingsley@jllm.6HPSRZHUV\RXZLWKFRQVLVWHQWDQGFRPSOHWHPDUNHWGDWDDQGDQDO\VHVIRUDOOUHDOHVWDWHLQGLFDWRUVE\VSHFL¿FPLFUR PDUNHWV. Chandigarh and Coimbatore) and DVWDIIVWUHQJWKRIRYHUWKH¿UPSURYLGHVLQYHVWRUVGHYHORSHUVORFDOFRUSRUDWHVDQGPXOWLQDWLRQDOFRPSDQLHVZLWKDFRPSUHKHQVLYHUDQJHRIVHUYLFHV including research.jllm.co.in Vilas.co. Pune.in Dhruv.co.7 billion. residential. project and development services. please contact the following: Anuj Puri Ramesh Nair N Srinivas Chairman and Country Head Managing Director Vice President Jones Lang LaSalle Meghraj Warehousing & Logistics Solutions Warehousing & Logistics Solutions +91 22 2482 8400 +91 98844 11100 +91 98454 45495 Anuj.Srinivas@jllm. please visit our website. the company’s investment PDQDJHPHQWEXVLQHVVLVRQHRIWKHZRUOG¶VODUJHVWDQGPRVWGLYHUVHLQUHDOHVWDWHZLWKPRUHWKDQ86'ELOOLRQRIDVVHWVXQGHUPDQDJHPHQW)RUIXUWKHU information. integrated facility management. hotels and retail advisory.Nair@jllm.in Niladri.in Real Estate Intelligence Service (REIS) REIS India is a subscription based research service designed to provide you with cutting edge insights into India’s diverse and challenging real estate markets through collation.co.in Bangalore Nation Capital Region Pune N Srinivas Himanshu Dhingra Dhruv Agarwal +91 98454 45495 +91 98108 66331 +91 98230 28048 N.com. )RUIXUWKHULQIRUPDWLRQSOHDVHYLVLWZZZMOOPFRLQ To know more about our warehousing and logistics solutions.Basu@jllm. consultancy. analysis and future forecasts of property market indicators and trends across DOOPDMRU.in Chennai Mumbai Hyderabad Kolkata Jerry Kingsley Vilas Chabukswar Vinay Kumar Niladri Basu +91 98846 21229 +91 98331 19277 +91 99850 02955 +91 98360 00097 Jerry.in N. capital markets. Chennai.Kumar@jllm.co.QGLDQPDUNHWVDFURVVYDULRXVUHDOHVWDWHDVVHWFODVVHVRI¿FHUHWDLOUHVLGHQWLDO 5(.co. Kolkata.in Himanshu.