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The Indian Warehousing Landscape: Why the Change is Now

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We are always exploring the dynamic shifts shaping global supply chains. One of the most exciting transformations is currently unfolding in India’s logistics sector.

Our colleague Rutger Bonsel Vice President Corporate Development & Venturing, who recently spoke at the Indo-Dutch Tradelane & Logistics Seminar in Mumbai, India, shared his insights on how India’s warehousing industry is evolving—and why the time to invest is now.

Why the change is now

The Indian Warehousing Landscape

Drawing parallels between the development of logistics in the Netherlands and India, Rutger highlighted key trends driving this shift. “India’s warehousing landscape is at a pivotal moment,” he explains. “The combination of government reforms, infrastructure investments, and global supply chain strategies has created a perfect environment for growth and innovation.”

What are the six key trends in the transformation process of India’s warehousing landscape?

The ‘Make in India’ Initiative
The Indian government’s ‘Make in India’ strategy is fuelling domestic manufacturing. This surge in production demands organised, large-scale warehousing solutions. “Companies investing in scalable, well-managed logistics infrastructure will be at the forefront of this transformation,” says Rutger.

The Rise of the ‘China+1’ Strategy
Global supply chains are diversifying beyond China, with India emerging as a strategic alternative. “India’s young, skilled workforce, combined with its business-friendly environment, positions it perfectly to capture this shift,” Rutger notes. This drives demand for centralised warehousing and value-added logistics services.

From Fragmentation to Professionalisation
India’s logistics costs account for 14% of GDP, compared to less than 10% in the EU—a sign of inefficiencies. The fragmented market, dominated by small regional players, is ripe for professionalisation. “There is a major opportunity here for structured, large-scale warehousing that reduces costs and enhances supply chain resilience,” Rutger explains.

Rapid Infrastructure Growth
India’s infrastructure is expanding rapidly through projects like Amrit Kaal 2047. “Seeing developments like the new Mumbai-Nashik highway and warehousing hubs in Bhiwandi firsthand, it is clear that India is modernising at an impressive pace,” says Rutger. Improved road, rail, and port connectivity will accelerate supply chain efficiency.

GST Reform: A Game-Changer for Logistics
India’s Goods and Services Tax (GST) reform eliminates inter-state tax barriers, allowing businesses to optimise supply chains for efficiency, not just tax advantages. “This is similar to the EU’s open trade system,” Rutger explains. The shift enables companies to consolidate operations into centralised distribution hubs, reducing complexity and costs.

The Shift to Centralised Distribution Centres
As infrastructure improves and trade barriers fall, companies are moving from decentralised warehouses to large, centralised distribution centres. “This mirrors the developments we have seen in Europe,” Rutger says. “It’s about streamlined inventory management, value-added services, and postponed manufacturing—areas where Broekman Logistics excels.”

It’s a market ready for change

India’s warehousing sector is at a turning point, driven by global supply chain shifts, policy support, and market consolidation. “The opportunity for businesses to enter or expand in India has never been greater,” Rutger concludes. “But to unlock this potential, companies need strong, experienced logistics partners who understand both the local dynamics and international best practices.”

At Broekman Logistics, we are proud to support businesses and guide them through India’s evolving logistics landscape. Whether it’s contract logistics, international freight forwarding, project logistics or end-to-end supply chain solutions, we are here to help you seize the opportunities ahead.

Curious to learn more? Let’s discuss how we can support your growth in India.

Rutger Bonsel

Vice President Corporate Development & Venturing
+31623738715