Jewar Airport will help the warehousing industry grow in Noida
According to JLL, Gurgaon and the surrounding area have a total warehouse inventory of 41 million square feet in the first half of 2021, while Noida, Ghaziabad and Greater Noida have only about 6 million square feet of Category A space. and B.
“The new airport along with planned manufacturing facilities and infrastructure developments add the missing links to complete the puzzle. Over the next 3-4 years, Noida is therefore well positioned to challenge Gurgaon as one of the leading warehousing clusters in North India, ”said Chandranath Dey, Head of Operations, Business Development, L&I Consulting & PAGI, Logistics & Industrial, JLL, India.
Warehousing in a location is primarily determined by proximity to the consumer base, proximity to the production and manufacturing base, and proximity to a major connectivity node such as road, airport, and rail.
“Designed as an integrated multimodal logistics platform, Noida International Airport in Jewar will serve as a springboard to reduce overall costs and transit time. India will join an elite league of nations with such a forward-looking infrastructure initiative, ”said Vineet Agarwal, Managing Director of TCI and Chairman of ASSOCHAM.
While Gurgaon has strong existing manufacturing clusters from Manesar to Neemrana, Noida and Greater Noida have also established an electronics manufacturing cluster and a future defense manufacturing corridor.
In terms of connectivity, Gurgaon owns Delhi International Airport which is the largest freight airport in India, the NH-8 connecting NCR and Mumbai and is the busiest logistics corridor and a future dedicated freight corridor to the ‘Where is.
The Jewar International project is also intended as a multimodal transit hub at the Land Transport Center to provide seamless connectivity between various public and private modes of transport.
“Noida International Airport at Jewar will be a game-changer for different sectors including the logistics and supply chain industry as it will reposition India on a global logistics map. Air connectivity is essential, especially for logistics activities, and this initiative will open more opportunities for the sector in the future. Uttar Pradesh is emerging as a hub for business, and with this upcoming international airport, the region will reap economic multiplier benefits and open up sources of employment in all sectors, ”said Rhitiman Majumder, Director marketing and co-founder Pickrr.
The Yamuna Expressway Industrial Development Authority (YEIDA) has also reduced the cost of acquiring land for warehousing and logistics parks by more than 30%, making investment in Noida attractive to international warehousing operators.
With this decision, the cost of an acre fell to Rs 2.7 crore from Rs 4 crore.
Industry experts, however, have said the rates are always higher. But given its proximity to the future airport, companies might be willing to invest.
According to a report by Knight Frank India, warehouse land across the country is estimated at 21,163 acres, which could add 63% of supply to the existing 307 million square feet of warehouse inventory.