Organized warehosing is very small

The warehousing industry in India provides a study in contrast as it comprises both kinds of warehouses-the modern multi-purpose logistics ceters as well as the traditional storage facilities, commonly known as godowns. More often than not, these two kinds of warehouses belong to two distinct types of warehouse providers as well.The modern logistics centers are provided by players from the organized sector, while the godowns largely belong to the unorganized sector.
Currently, the organized sector has only a minor share, approximately 10 percent or about 50 million sq.ft.of the 500 million sq.ft. strong warehousing in- dustry, which is valued at an estimated `50 billion annually. However, when it comes to value, the organized sector claims a higher share of the pie, approximately 15 percent, or 8 billion because of the premium it could attract from customers on account of superior quality. Invariably, this sector is the preferred choice for investors, who are eager to know how it will turn out in future.