Blue Star Industrial Solutions, a division of Blue Star Engineering and Electronics and a wholly owned subsidiary of Blue Star Ltd. has entered into a partnership with Gebhardt Intralogistics Group. The partnership will augment their portfolio, integrating technologies for warehouse automation in India. Gebhardt is recognised for its expertise in automated picking, packaging, conveying, and storage solutions, including mechatronics, controls, and software systems.

The demand for warehouse space in the country is experiencing rapid growth, driven by factors such as GST implementation, the flourishing e-commerce sector, and increased investments. Grade A warehouses, ideal for automation, are becoming more prevalent, spurring a surge in demand for automated solutions that optimise inventory management and operational efficiency.

According to Blue Star, the overall material storage, movement, and handling market in India is estimated to range from ₹8,000 crores to ₹10,000 crores, with warehouse automation constituting 15 per cent to 20 per cent of the market.

With a focus on manufacturing and a greater emphasis on supply chain optimisation, the warehouse automation market is poised to more than double in the next five years.

Prem Kalliath, CEO of Blue Star, acknowledged the challenge, especially in the Indian context, where available space is often underutilised. He stated that brownfield expansions, in particular, face constraints in this regard, unlike greenfield projects which have more flexibility. He underscored sustainability as a key focus area. He highlighted three dimensions- efficient space utilisation, IoT-enabled equipment for efficiency and energy conservation and curable systems with long uptime.

The strategic alliance between Blue Star Industrial Solutions and Gebhardt Intralogistics Group will position both organisations to meet the surging demand for advanced warehouse automation solutions and deliver cutting-edge technologies to a wider customer base.

The shares were up by 1.18 per cent to Rs 805.05 at 1.30 pm on the BSE.