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How do government policies support India’s warehousing sector?

Government policies significantly bolster India’s warehousing sector by driving modernization, infrastructure upgrades, and higher investment levels. Key initiatives include:

  • Goods and Services Tax (GST): Simplifies the tax structure, enabling businesses to consolidate smaller warehouses into large centralized facilities for better efficiency.
  • National Logistics Policy (NLP): Integrates rail, road, air, and port connectivity under a unified framework to reduce logistics costs and foster multi-modal logistics parks (MMLPs).
  • Make in India & PLI Schemes: Encourage manufacturing growth, creating demand for additional storage facilities for raw materials and finished goods.
  • Streamlined FDI Norms: Attract private equity and sovereign funds to invest in Grade A warehousing projects.
  • Infrastructure Development: Investments in road expansions, dedicated freight corridors, and cold chain infrastructure enhance the sector’s growth potential.

Together, these policies inspire developers to build modern facilities while providing businesses with cost-effective storage solutions to compete globally.

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