(MENAFN- KNN India)
Kolkata, Aug 17 (KNN)
In a surprising turn of events, Kolkata's industrial and logistics sector has defied the national downturn, recording an unprecedented 78 per cent increase in leasing activity during the first half of 2024.
Third-party logistics (3PL) providers emerged as the primary drivers of Kolkata's leasing boom, accounting for about 29 per cent of the activity.
This remarkable growth stands in stark contrast to the 15.7 per cent decline observed across India, according to a recent report by CBRE South Asia, a leading Real estate consultancy.
The report reveals that Kolkata's industrial and logistics sector leased approximately 3 million square feet between January and June 2024.
This impressive figure comes at a time when national leasing has dropped to 16.6 million square feet, down from 19 million square feet in the same period last year.
The engineering, manufacturing, and retail sectors also played significant roles in this surge.
Notable transactions in Kolkata included Samsung's lease of 275,000 square feet and Style Baazar's 200,000 square feet, both in Prospace Industrial Park. Additionally, PepsiCo secured 155,000 square feet in EFC Logistics Park.
Siddharth Pansari, president of Credai Bengal, attributes part of this success to government policy. "The small and medium industrial park policy, which reduced the threshold to 5 acres, has helped create significant supply to match the demand," Pansari explained. He anticipates continued growth in the sector.
Saket Mohta, Managing Director of Merlin Group, highlighted Kolkata's strategic importance, stating, "Kolkata, as the gateway to eastern India and several neighbouring countries, has traditionally been a strong hub for logistics and warehousing."
Mohta also noted the significant growth in small manufacturing units and revealed that Merlin Group is exploring options to establish an industrial park in the region.
While the industrial and logistics sector has seen moderation across eight major Indian cities, experts predict a rebound in space absorption during the second half of the year.
Kolkata's exceptional performance in this challenging national landscape underscores its growing importance as a key industrial and logistics hub in Eastern India.
This unexpected surge in Kolkata amidst a national slowdown highlights the city's resilience and potential for further growth in the industrial and logistics sector.
As the gateway to Eastern India continues to attract major players and foster small manufacturing units, it will be interesting to see if this trend continues through the latter half of 2024 and beyond.
(KNN Bureau)
MENAFN17082024000155011030ID1108570805
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.