Online retail company, Flipkart, has reportedly been looking out for land across Karnataka, Gurugram and West Bengal to establish logistics parks. With an investment of about Rs 5000 crore planned, these parks are expected to generate about 50,000 jobs.
Both Flipkart and rival, Amazon, have been trying strategies to establish leadership in the Indian market. Last year, Flipkart had revealed that it was on the lookout for a 100-acre piece of land in the outskirts of Bengaluru for setting up a logistics park. With the supply chain being such an indispensable part of any e-commerce business, these parks will facilitate the consolidation of the fulfilment, sorting and transport centres. Acting as hubs for freight aggregation and distribution, these parks will ensure that the efficiency of the supply chain gets a massive push. Since these sustainable warehouses will also be mechanised, significant cost cutting will take place, and focus will also be on reducing wastage of natural resources.
With most organisations considering various means to consolidate warehouses and supply chain, post the implementation of the goods and services tax, this step by Flipkart seems to be in the right direction. The retailer is all set to tap and serve its next 200 million customers.
While the Future Group has a huge logistics park in Nagpur, Amazon India also invested in additional space for its largest fulfilment centre in Hyderabad.