India is the second most populous country in the world, with over 1.3 billion people, and it is projected to be the world’s most populous country by 2027. With such a large population, it’s no wonder that the country has a thriving economy and is a leading player in many industries. One of these industries is warehousing. In India, the warehousing industry is expected to grow at a compound annual growth rate (CAGR) of 9% from 2015 to 2020. This growth is being driven by the country’s burgeoning e-commerce sector, which is expected to grow at a CAGR of 34% during the same period.
Government initiatives like PM Gati Shakti and the National Logistics Policy align with the industry’s growth goals, emphasising technology, standardisation, and digitisation. The surge in manufacturing, supported by initiatives like Performance Linked Incentives and Make in India, further boosts demand for driving efficiencies in the supply chain and encourages investment in automated facilities. The infrastructure status given by the government to the logistics sector has enhanced its appeal to potential investors, strategically positioning it within the investment landscape.
The warehousing industry of India has undergone a sea of change in the past few years and continues to evolve at an unprecedented rate. As the demand for efficient logistic solutions has increased, the industry has been forced to adopt new technologies and approaches to ensure maximum efficiency, cost saving and customer satisfaction. From AI-based automation to robotic process automation, India’s warehousing sector is in for big changes over the next few years.
As the Indian economy accelerates, the logistics and warehousing industry is not only keeping pace but surging ahead, with leading businesses automating warehouse networks for substantial improvements. Some have achieved 20% to 50% better service levels and a 25% to 50% reduction in fulfilment costs, enhancing resilience. DHL’s deployment of assisted picking robots, increasing items picked per hour by up to 180%, is a testament to the transformative impact of automation.
Current Trends in Warehousing Services-
The warehousing industry in India is currently undergoing a period of transition. A number of new trends are emerging that are transforming the way warehouses are operated and managed.
One of the most notable trends is the increasing use of automation and technology. Warehouses are increasingly adopting advanced technologies such as robotics, artificial intelligence, and data analytics to improve efficiency and productivity. This has led to the emergence of new warehouse management systems that offer greater visibility and control over inventory levels and movements.
Another trend that is gaining traction is the rise of e-commerce and online retailing. This has created a need for warehouses that are better equipped to handle large volumes of orders and meet strict delivery deadlines. As a result, many warehouses are now investing in modern infrastructure and technology to improve their order fulfillment capabilities.
The Importance of Warehousing-
Warehousing is an important part of the supply chain and is often underestimated in its importance. A warehouse is a storage facility that is used to store products and materials. They are often used to store perishable goods, or goods that are in high demand.
Without warehousing, businesses would have to rely on just-in-time delivery, which can be unreliable and lead to higher costs. In addition, by having a warehouse, businesses can avoid stock outs and keep their production lines running smoothly.
There are many different types of warehouses, each with their own purpose. Public warehouses are open to any business that needs to store goods, while private warehouses are only available to certain companies. Bonded warehouses are used to store imported goods until customs duties have been paid.