Warehousing Industry in India 2013-2017 - Industry Research Report by ValueNotes

Picture Courtesy: www.info.wowlogistics.com

Warehousing Industry in India

2013-2017

Who is the reader?

Participants or stakeholders in the warehousing industry

Analysts, industry experts or any person looking for an in-depth understanding of the warehousing industry

Purpose of the report

The report gives insights on how the warehousing industry is expected to grow in the coming years till 2017. It provides intelligent and

actionable insights on the drivers and challenges for the industry, the proposed government and policy initiatives, their subsequent

impact on the industry, and key segmentation i.e. by end-users and by geography.

Another important aspect of the report is the profiles of the top industry players in warehousing in India

Preface to the Report

2

TOC Market

Overview Appendix

Industry Trends

Competitive Environment

Industry Structure

Executive Summary

Drivers & Inhibitors

Government Initiatives

Industry Attractiveness

Scope of the report

This report looks at the current scenario for the warehousing industry in India

Ad-hoc godowns or spaces used by individuals and entities, on a standalone basis, cold chain storage and value added services do not

constitute a part of this report

Copyright @ ValueNotes Database Ltd. 2013

Executive Summary Slide 8

1 Industry Structure Slide 9

Industry Definition Slide 11

Industry Evolution Slide 12

Industry Process Slide 13

2 Market Overview Slide 14

Size & Growth Slide 15

Market segmentation: Slide 16

- by Ownership Slide 16

- by Organized v/s Unorganized Slide 17

- by End-user Slide 18

- by Geography Slide 20

3 Drivers & Inhibitors Slide 21

Driver 1: Investment in Infrastructure Slide 23

Driver 2: Shift to GST regime for taxation Slide 24

Driver 3: Growth in Retail and Trade Slide 25

Inhibitor 1: Logistical Challenges Slide 26

Inhibitor 2: Rising real estate cost Slide 27

Inhibitor 3: Lack of skilled manpower & technological up-gradation Slide 28

4 Government Initiatives & Policies Slide 29

Impact Assessment of Government Policies Slide 30

Table of contents

3

TOC Market

Overview Annexure &

Appendix Industry Trends


Industry Structure

Executive Summary



Industry Analysis


5 Industry Trends Slide 31

6 Industry Attractiveness Slide 33

7 Competitive Environment Slide 36

Competitor Benchmarking Slide 37

Complete Profiles:

- Transport Corporation of India Slide 38

- Adani Agri Logistics Slide 40

- Central Warehousing Corporation Slide 42

- Food Corporation of India Slide 44

- Blue Dart Express Limited Slide 46

8 Appendix Slide 48

8.1 Research methodology Slide 49

8.2 Bibliography Slide 50

8.3 Abbreviations Slide 51

Table of contents

4

TOC Market

Overview Annexure &



Industry Structure

Executive Summary



Industry Analysis


Chart 1 Warehousing as part of Logistics sector Slide 10

Chart 2 Evolution of Warehousing Slide 12

Chart 3 Industry Process in Warehousing Slide 13

Chart 4 Share of warehousing in logistics in 2013 – India (in INR bn, %) Slide 15

Chart 5 Estimated growth in warehousing till 2017 (in INR bn) Slide 15

Chart 6 Share of warehousing by sector - 2013 (in million tonnes) Slide 16

Chart 7 Share between organized and unorganized – 2013 (in million tonnes) Slide 17

Chart 8 Share between industrial and agricultural in organized warehousing in 2013 (in million tonnes) Slide 18

Chart 9 Warehousing space in industrial warehousing – 2013 (in million tonnes) Slide 19

Chart 10 Warehousing space in industrial warehousing – 2015 (in million tonnes) Slide 19

Chart 11 Market size for warehousing by geography – by value Slide 20

Chart 12 Growth in organized retail market Slide 25

Chart 13 Porters’ 5 Forces Analysis Slide 34

Chart 14.1

Chart 14.2

Overall Revenues (in INR mn) for Transport Corporation of India

Geographical break up of revenues (INR mn) Slide 39

Chart 15.1

Chart 15.2

Overall Revenues (in INR mn) for Adani Agri Logistics

Revenues (in INR Mn) for Adani Agri Logistics Slide 41

Chart 16.1

Chart 16.2

Overall Revenues(in INR mn) for Central Warehousing Corporation

Revenues (in INR mn) for Central Warehousing Corporation Slide 43

Chart 17.1

Chart 17.2

Overall Revenues(in INR mn) for Food Corporation of India

Revenues (in INR mn) for Food Corporation of India Slide 45

Chart 18.1

Chart 18.2

Overall Revenues(in INR mn) for Blue Dart Express Limited

Revenues (in INR mn) for Blue Dart Express Limited Slide 47

List

of

Ch

arts

& T

able

s

List of Charts and Tables

5

TOC Market

Overview Appendix

Industry Trends


Industry Structure

Executive Summary





6 Copyright @ ValueNotes Database Ltd. 2013

List

of

Ch

arts

& T

able

s

List of Charts and Tables

TOC Market

Overview Appendix

Industry Trends


Industry Structure

Executive Summary




Table 1 Government initiatives for investment in infrastructure Slide 20

Table 2 Percentage increase in real estate costs at international trade hubs Slide 27

Table 3 Skill levels prevailing in the warehousing sector Slide 28

Table 4 Impact Assessment of Government Initiatives Slide 30

Table 5 Industry Attractiveness Slide 35

Table 6 Competitor Benchmarking in warehousing in India Slide 37

Table 7 Financial indicators of Transport Corporation of India Slide 39

Table 8 Financial indicators of Adani Agri Logistics Slide 41

Table 9 Financial indicators of Central Warehousing Corporation Slide 43

Table 10 Financial indicators of Food Corporation of India Slide 45

Table 11 Financial indicators of Blue Dart Express Limited Slide 47

The warehousing industry in India is currently valued at INR xxx bn (FY 2013) and has been growing at ~15% for the last 3 years

The industry is expected to grow at 18% till 2017, mainly due to initiatives by the Indian government in the sector

ValueNotes estimates that the warehousing industry in India will reach ~INR xxx bn by 2017

Government investment in infrastructure and the adoption of Public Private Partnerships (PPP) model are expected to be the main drivers for growth in the industry

Rising real estate costs are likely to be the primary dampener for growth

The unorganized sector will continue to dominate, accounting for around 90% of the industry by 2015

Of the organized sector, the industrial segment will constitute a higher share of warehousing demand, viz. engineering goods, pharmaceutical and electronics sectors

Various policy changes are expected to impact the warehousing sector in India

Introduction of the Goods and Service Tax

National Policy on Handling, Storage and Transportation

Increasing Public-Private Partnerships

Executive Summary

Drivers and Challenges

Industry Scenario

Policy Changes

Market Size And Growth

Exe

cuti

ve S

um

mar

y Industry

Attractiveness

7

TOC Market

Overview Appendix

Industry Trends


Industry Structure

Executive Summary





Appendix

Picture Courtesy: www.info.wowlogistics.com

ValueNotes is a full-service market and business research firm. Since 2000, we have helped customers, in India and around the globe, make

better business decisions by providing actionable intelligence. Our customized research solutions, by way of projects and continuing

engagements, have helped serve specific business needs - market entry strategy, choice of location, partner selection, competitive intelligence,

investment appraisal, due diligence, and customer need analysis.

Over the years, ValueNotes has developed considerable domain knowledge in a variety of sectors and industries. More important, we understand

how to develop and deploy appropriate research methodologies best suited for diverse markets. We've developed proprietary research methods

to deal with unorganized, information-scarce markets; and analytical techniques to triangulate, validate and correlate incomplete or unrelated

information

9

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olo

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Warehousing Industry in India

Government Websites & Publications

Industry Intelligence

Industry Associations Publications

& News Releases

Press Releases &

Publications by Industry

Players

Industry Reports/

Trade Publications

ValueNotes carries out industry studies designed around optimal use of

secondary (desk) research techniques to gain maximum intelligence with

specific insights and information. The steps carried out for “Warehousing

Industry in India” are as follows:

Secondary research: Intensive secondary research sources

include, but are not limited to,

• Print and online business publications

• Analyst reports

• Press releases

• Trade publications

Industry intelligence and market analysis: Triangulation

method is adopted to validate data points from the supply

side, demand side, industry reports and trade publications

News releases and publications include:

• Infrastructure Today

• FnB News

• LogisticsWeek

The list of publications is not exhaustive

TOC Market

Overview Annexure &



Industry Structure

Executive Summary



Industry Analysis

About ValueNotes

Research Methodology Applied


Sou

rce

s/B

iblio

grap

hy

10

Appendix |Bibliography

Report of Working Group on Warehousing Development And Regulation for the Twelfth Plan Period (2012-17)

Report on Transportation, Logistics, Warehousing and Packaging, National Skill Development Council

Reports and Publications by the WDRA (Warehouse Development and Regulatory Authority)

Building Warehousing Competitiveness- in India, PWC

Intermodal and Multimodal Logistics, Deloitte

Economic Survey of India (for the financial years of 2011, 2012 and 2013)

Logistics in India, KPMG

Annual Reports of the top Industry Players

IBEF – Logistics Industry in India

State Of Industry: Warehousing In India, Miebach Consulting

TOC Market

Overview Appendix

Industry Trends


Industry Structure

Executive Summary





Ab

bre

viat

ion

s

11

3PL Third Party Logistics

BOO Build Own Operate basis

BSE Bombay Stock Exchange

CFS Container Freight Stations

CWC Central Warehousing Corporation

CY Calendar year (with reference to Financials/ Market Value)

DFC Dedicated Freight Corridor

FCI Food Corporation of India

FDI Foreign Direct Investment

FTWZ Free Trade Warehouse Zone

FY financial year (with reference to Financials/ Market Value)

GDP Gross Domestic Product

GST Goods and Services Tax

ICD Inland Container Depot

INR Indian Rupee

mn Million

mn sq. ft Million square feet

MSP Minimum Support Price

MT Million tonnes

NSDC National Skill Development Council

NSE National Stock Exchange

PPP Public Private Partnership

psm Per square meter

RIDF Rural Infrastructure Development Fund

SEZ Special Economic Zones

SWC State Warehousing Corporations

tn Trillion

USD US Dollar

WMS Warehouse Management Systems

WDRA Warehousing Development and Regulatory Authority

Appendix | Abbreviations

TOC Market

Overview Appendix

Industry Trends


Industry Structure

Executive Summary





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Other Industry Reports by ValueNotes: 1. Cold Chain Industry in India

2. Food Processing industry in India

3. Lighting industry in India

Disclaimer: This short industry report is published for general information only. Although high standards have been used in the preparation, ValueNotes is not responsible for

any loss or damage arising from use of this report. The information contained herein is from publicly available data or other sources believed to be reliable. While we would

endeavor to update the information herein on reasonable basis, ValueNotes is under no obligation to update or keep the information current. This report is the sole property of

ValueNotes and must not be copied, either in whole or in part, or distributed or redistributed to any other person in any form.

In case of any queries, mail us at [email protected]

About the author:

As a research analyst with ValueNotes, Namita has worked on a variety of projects such as in-depth people profiles, company due diligence studies, and market sizing projects. She has mainly been involved in formulating India-entry strategies for companies especially in the lighting industry. Namita has a Masters in Economics from the University of Pune, graduating in the top-5 in her class. She has also done a Post Graduate Diploma course in International Economics.

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Warehousing Industry in India 2013-2017 - Industry Research Report by ValueNotes

Documents

industry structure slide

industry attractiveness

industry evolution slide

industry process slide

industry definition

appendix slide

geography slide

gradation slide