As E-Commerce Booms, Amazon And Flipkart Lease 11 Lakh Sq Ft Warehousing Space In Maharashtra's Bhiwandi

In a major push to the India's booming warehousing and logistics sector, e-commerce giants Amazon India and Flipkart have acquired around 11 lakh square feet (sq ft) of warehousing space on lease in Maharashtra's Bhiwandi, reports Livemint.

The two e-commerce giants have leased the land from Singapore-based alternate investment firm Xander Group's $250 million warehousing platform which had been set up in 2019. Interestingly, the land parcels taken up by the two e-commerce giants are adjacent to each other and will serve as their fulfilment centres.

Both the companies are said to have leased anywhere between 5-6 lakh sq ft each. Of this, Flipkart is reported to have so far occupied 4 lakh sq ft and the rest will be occupied by July. Meanwhile, Amazon is said to have occupied 3 lakh sq ft so far, with the remaining expected to be functional next month.

Flipkart will use the new warehousing facility as a hub for non-large stock-keeping units (SKUs) with more than 4 lakh daily operational shipments (around 2 lakh inward and 2 lakh outward). The company will employ over 2,500 people at the facility which will cater to the demand in a number of states like Maharashtra, Madhya Pradesh and Gujarat.

The two companies have taken up the land on long-term leases for a period of around 20 years. It should be noted that with the boom in the e-commerce sector and the growing need for warehousing infrastructure, Flipkart had recently also acquired 140 acres of land in Haryana's Manesar to set up a fulfilment centre.