The pan-India introduction of GST has gradually transformed the warehousing industry. The rise of the logistics sector is essential for virtually every industry. Sizable industrial logistics parks with several facilities under one roof help streamline operations across various industry sectors. Fortunately for companies, parts of logistics parks are available on lease.
Suitable Location for a Warehouse
For timely procurement and dispatch of goods, a warehouse’s location is essential. One example of a city ideally located for warehouses is Bangalore, as it has excellent accessibility to highways and airports. Any warehouse in Bangalore is not far from the closest seaports. Bangalore is fortunate to have a good environment all year round, which, when combined with attractive warehousing services pricing, lends an excellent opportunity to businesses.
What Actions the Government Has Taken
The government’s intention to construct multimodal logistics parks and link urban transit hubs with trains is anticipated to expand the warehousing and logistics sector. Once completed, the above plans will attract further significant investments from institutional investors and developers. India already has close commercial links with several countries, and the logistics parks will assist in meeting product demand.
The government intends to boost the nation’s economy with 100 cargo ports equipped with multimodal logistic parks and 25,000 kilometers of ultra-smooth roads. The Gati Shakti Master Plan makes an effort to prevent last-stage construction delays, which are frequently brought on by holes in micro-planning and micro-implementation. 16 ministries are planned for the above, and existing initiatives will be consolidated into a single GIS platform, facilitating collaboration.
Improvement of the Regulatory Environment
A supportive regulatory environment that eliminates obstacles to the operations of such logistic parks is required to support the logistics industry. With the government constantly investing more in infrastructure, there will be a greater need for sophisticated warehouses. Over time, businesses can anticipate more government backing for various initiatives.
Sustainable Lighting using LEDs
The major goal of LED lighting in commercial warehouses is to provide a natural illumination selection at a reasonable price. Because it reduces consumption rates, this approach is also ecologically benign. In addition, using less energy and paying less for it benefits solar energy production.
In India, few logistics businesses know how important green logistics is to their bottom lines. The management of freight, routes, and driving styles greatly reduces cost. Small transportation companies who pass themselves off as logistics providers have no experience with performance measures for analyzing these areas. Due to client apathy, being more environmentally friendly than competitors is still not a competitive advantage in the Indian logistics industry. The reverse logistics industry deals with product recycling, parts recovery, and packaging waste disposal, and is virtually nonexistent in India.
Streamlining Logistical Processes With On-Demand Warehousing
On-demand warehousing is crucial for streamlining warehouse processes and spurring growth as the Indian logistics industry expands to meet the demands of omnichannel business models. Businesses are aware that during India’s festive season, demand for warehousing services is at an all-time high. Businesses can lease space in the warehouses of companies that offer on-demand warehousing services.
As an online platform on-demand warehousing enables merchants to keep their goods and complete order fulfillment with warehouses having plenty of space. If the demand is cyclical or seasonal, investing tremendous money in a warehousing facility is not practical. Sellers who use the on-demand facility can temporarily rent storage space from a platform until the peak season has passed. Through this warehousing technique, companies gain advantages such as:
- More Flexibility and Affordability– Sellers, especially Direct-to-Consumer (D2C) sellers of consumer electronics, health, clothing, and other personal care gain tremendous flexibility through on-demand storage. On-demand warehousing as lease is a practical, affordable, and seamless alternative to renting out a full warehouse or buying a separate storage area. Sellers get the freedom to employ order fulfillment/warehousing services as and when necessary.
- Better Adaptation to Changes in Consumer Demands– Consumer demand, behavior, and tastes have seen a significant shift in recent years. On-demand warehousing provides the smooth, tech-enabled services and same-day/next-day delivery that customers today demand. Platforms that have warehouses close to the client’s location allow e-commerce sellers and enterprises to leverage on-demand warehousing services, enabling speedy delivery and increasing customer satisfaction.
Ecommerce- A Sector Accelerated by the Pandemic
Even though e-commerce was a rapidly expanding industry prior to the pandemic, the crisis exacerbated demand as more people resorted to online shopping for both necessary and non-necessary goods. The e-commerce boom has been made possible by the growing use of smartphones and the internet, which has also increased the number of e-commerce vendors in the market. Additionally, the need for on-demand storage is rising as a result of increased e-commerce.
Despite a few challenges such as less manpower and poor management, logistics parks with warehouses have proliferated at a rapid rate. There clearly appear no signs of slowing down.