Safexpress Pvt. Ltd., India’s largest Logistics Company, has announced the launch of its state-of-the-art Logistics Park in Gurgaon today. Spanning over an area of 1,95,000 sq. ft., this high-tech Logistics Park has been equipped with ultra-modern infrastructure facilities that have been customized to suit the requirements of the clients.
This launch is in line with the company’s strategy to develop 32 Logistics Parks in the next couple of years. The company will be creating 6 million sq. ft. of additional warehousing space across the country in the next couple of years, adding to its already existing warehousing space of 4 million sq. ft.
According to Mr. Vineet Kanaujia, GM – Marketing, Safexpress, “Our total investment on these 32 Logistics Parks has been estimated at Rs. 600 crores. The Indian Logistics industry has massive growth prospects. Development of the organized Retail industry, healthy demand from the manufacturing sector, and growing investment in infrastructure have been providing huge business potential for the Logistics services.”
He added, “Special Economic Zones (SEZs) are one of the major driving forces for Warehousing business and the Central Government’s policy to cut excise duty rates for manufacturing goods would boost the Warehousing business further. A large number of upcoming SEZs have necessitated the development of Logistics Parks for the domestic market as well as for global trade.”
Mr. Kanaujia further emphasized by saying, “The demand for high-tech ultra-modern Warehouses will grow exponentially in coming years. Initially, to save on Central Sales Tax (CST), the manufacturer used to maintain numerous warehouses at multiple locations to show the movement of goods from one company warehouse to another. However, with the phasing out of CST by 2010, Manufacturers will readily outsource their warehousing requirements to the Third Party. This will not only help the Manufacturers to save costs, but they will also be able to focus on their core business.”
Gurgaon is fast emerging as a promising Logistics hub in India. Proximity to the existing and proposed manufacturing units and SEZs, accessibility to consumer markets, good geographical location and infrastructural development are various parameters that increase the attractiveness of this location.
Speaking about the Safexpress Logistics Park at Gurgaon, Mr. Kanaujia said, “Our Logistics Park in Gurgaon has been equipped with automated material handling machinery, customized racking systems for product storage, IT and networking infrastructure, power back-up system, as well as Office & utilities space. This Logistics Park is a very unique setup, developed by us to meet the dynamic Supply Chain requirements of our customers.”
He further added, “To make the Logistics Park eco-friendly, the company has taken special environment-friendly initiatives by investing in rain water harvesting, by developing greens and by using the natural Sunlight during the day-time to conserve energy. Special emphasis has also been made in terms of the safety and security of the Logistics Park. There is a single-point Access Gate to maintain a tight vigil with respect to the security of the goods.”
Presently, Warehousing business accounts for about 20 per cent of the total Indian Supply Chain & Logistics industry and offers tremendous growth potential. Modern warehouses have extended their services from merely stocking and loading to packaging, labeling, bundling and cross-docking.
The Indian Warehousing sector is expected to grow at the rate of 35-40 percent annually to become a $55 billion industry in the next 3-4 years and by that time it would have in excess of 50 million sq ft Warehousing space and more than a hundred Logistics Parks across the country.
With growth in Manufacturing sector and escalating modernized Retailing, Warehousing will play an ever important role in the Supply Chain industry. Commercial Warehousing, particularly Free Trade Warehousing in the Special Economic Zones across the country, is also expected to witness tremendous growth in the next few years.
Mr. Kanaujia concluded by announcing that, “Safexpress is actively developing world-class warehousing in cities like Nagpur, Ahmedabad, Chennai, Kolkata, and many more. At present, more than a dozen of our Logistics Parks are under various stages of development and would be ready within 2009.”
In order to reduce Logistics costs and to focus on core competencies, Indian companies across the industry are now increasingly seeking and using the services of Third-party Logistics service providers (3PLs).
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Safexpress has firmly entrenched itself as the ‘Knowledge Leader’ and ‘Industry Leader’ of the Supply Chain & Logistics industry. The company has expanded its reach to 562 destinations all across India through more than 3,500 GPS enabled vehicles. Safexpress provides Express Distribution, Third Party Logistics (3PL) services and Supply Chain Consulting. Pioneered and driven by ‘Logistics Guru’ and CMD, Safexpress, Mr. Pawan Jain, the company has today given a new face to the Indian Supply Chain & Logistics Industry with the implementation of innovative and state-of-the-art services. With its secure and timely service, the company has made a distinct mark in the Indian Supply Chain & Logistics Industry. Growing at a phenomenal rate of over 30% percent in the last couple of years, Safexpress has achieved an annual turnover of Rs. 500 crores last year. The company plans to achieve a turnover of Rs. 1000 crores by 2010.
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