Mumbai, July 30 (IANS) Amid growing demand from the manufacturing sector, warehouse transactions across eight primary markets in India were recorded at 23 million square feet in the first half this year, a report showed on Tuesday.
Almost 55 per cent of these transactions occurred in ‘Grade A’ spaces, led by Mumbai which accounted for 20 per cent of the total warehousing volume, according to the report by Knight Frank India.
“Demand from the manufacturing sector has compensated for the lull in e-commerce and helped broad base the market’s occupier profile,” said Shishir Baijal, Chairman and Managing Director, Knight Frank India.
While the availability of viable land for warehousing development remains a challenge, high institutional interest in this space should enable development of high-quality supply, he added.
Delhi-NCR was the second most prolific market, representing 17 per cent of the total warehousing area transacted during the period, with third-party logistics and manufacturing sectors driving volumes.
Pune was the most expensive warehousing rental market, with average rent at Rs 26 per sq ft a month.
It was followed by Kolkata with a rental rate of Rs 23.8 per sq ft monthly and Mumbai at Rs 23.6 per sq ft a month.
Pune and Chennai showcased a 4 per cent increment in rentals, followed by NCR and Kolkata at 3 per cent YoY growth, said the report.
“India’s robust fiscal position and resilient economy are well-positioned to sustain and enhance the warehousing market’s stability and growth potential for the remainder of fiscal year 2024,” said Baijal.
The country has benefited from the sustained move towards decentralisation of manufacturing capacity with global manufacturing giants such as Apple, Samsung, Foxconn and TSMC expanding their manufacturing base in the country.
–IANS
na/svn
Disclaimer
The information contained in this website is for general information purposes only. The information is provided by TodayIndia.news and while we endeavour to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.
In no event will we be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits arising out of, or in connection with, the use of this website.
Through this website you are able to link to other websites which are not under the control of TodayIndia.news We have no control over the nature, content and availability of those sites. The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.
Every effort is made to keep the website up and running smoothly. However, TodayIndia.news takes no responsibility for, and will not be liable for, the website being temporarily unavailable due to technical issues beyond our control.
For any legal details or query please visit original source link given with news or click on Go to Source.
Our translation service aims to offer the most accurate translation possible and we rarely experience any issues with news post. However, as the translation is carried out by third part tool there is a possibility for error to cause the occasional inaccuracy. We therefore require you to accept this disclaimer before confirming any translation news with us.
If you are not willing to accept this disclaimer then we recommend reading news post in its original language.
