Monday, August 6, 2018

Safexpress Invests Rs 100 Crore to Set Up 1.2 Million Sqft Biggest Logistics Park in Bengaluru

Supply and Logistics Company Safexpress has opened it biggest facility in Bengaluru. The park, set up with an investment of Rs 100 crore and spread out over 1.2 million sqft will help the company increase its service routes in the southern part of the country.

“ We already operate out of Bangalore and will remain fairly similar to what they will be in future. The only difference is that it will allow us to , one be prepared for the next 20 years . We already run about 82 direct routes from Bangalore, this new facility will help us connect to 260 cities," said Safexpress managing director Rubal jain.

A market research report by Technavio on the third-party logistics market in India, pegs a market value of more than $31 billion by 2022 owing to tax reforms and initiatives by third party logistics service providers .

While the sector is poised for growth, logistics costs in India remains high due to external factors.

“For us the definitely the costs have gone up by at least 15-18 percent, fuel itself is up 27 percent in the last 1 year which itself consist of 50-55 percent of our costs. Rents for land have gone up, congestion, toll fees have gone up an average 15% all of which have added to the cost “says Rubal .

The company which currently has a  total warehousing area of over 14 million square feet , expects to open 7 more in the next 1 year .

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