In a bid to provide more focus on warehouses and distribution, the ₹3,500-crore Mahindra Logistics plans to add 500,000 sq ft of warehousing space before the end of this fiscal.
This includes setting up three new warehouses in and around Chennai, said Pirojshaw Sarkari, CEO, Mahindra Logistics. The company has totally 13 million sq ft of space across the country, he said.
In the last one year, the government has brought in so many changes to reduce logistics cost which is critical for promoting ‘Make in India’, he said.
The introduction of Goods and Services Tax was the start. Pre-GST, in every State a company had to open a godown or a small warehouse. However, GST provides opportunity to set up large format warehouses. “We will see many such warehouses of 100,000 to 500,000 sq ft coming soon across the country,” he said.