Setting Up A Warehousing: Models And Challenges

Warehousing is coming of age in India. This has largely to do with increased industrial and retail activity as well as increased cross-border trade and commerce. At the same time there is an urgent need for greater number of warehousing facilities across the different warehousing models in the country. In this article we discuss the most prominent warehousing models, and reflect on the typical challenges faced during setting up of a warehouse in India. In the next article in the series, we will look into the key commercial terms of a warehouse agreement that is entered into between the operator of the warehouse and the user.

Warehouses can be any of one or more models: (i) Public, (ii) Private, (iii) Bonded, (iv) Government, (v) CFS/ICD, or (vi) Cold chain.