India warehousing sector lacks flexibility for businesses, says Hemant Kejriwal

Logistics expert Hemant Kejriwal argues that India’s warehousing boom is missing a critical component: flexibility. While the country has seen a significant increase in high-quality, Grade A industrial and warehousing supply, the current market model relies heavily on large blocks and multi-year leases with strict lock-in periods.

According to data from Colliers, India’s top eight cities added 34.5 million square feet of new Grade A supply between January and September 2026, with 33.3 million square feet leased and a mid-year vacancy rate of 17.2%. However, Kejriwal notes that businesses often struggle to manage sudden changes in demand, such as festive peaks or delayed projects, because they cannot easily access short-term space.

He suggests that the industry needs a model similar to co-working offices, allowing companies to use as much space as they need for as long as they need it, rather than being forced into long-term commitments that lead to wasted costs or operational inefficiencies.