Development of India’s logistics industry

India is the ninth largest retail market in the world. Although this sector is still dominated by small retail players, recent times have seen large domestic and global firms launch retail projects that are expected to bring in new technology, additional warehouse capacity (including cold storage) and the reliable movement of goods across India.

The unprecedented growth of the industry over the next five years is presently estimated at US$350 billion.

The success of this competitive and dynamic sector depends on achieving efficient logistics and supply chain management.

As a pivotal link between modes of transport like roads, railways, air, sea and inland waterways, logistics companies are taking part in the development of the sector by providing state-of-the-art technology.

Their contribution would allow investors more market access while meeting rising consumer demands, particularly in the emerging middle class whose affluence and purchasing ability has grown substantially.

Shardul Thacker is a partner at Mulla & Mulla & Craigie Blunt & Caroe.