@ Money Control: The logistics industry in India is expected to grow further especially due to growth in retail and infrastructure. High operational cost has been a concern for these organizations. Organized players in the largely fragmented industry are expanding operations in warehousing, port and air services.
The warehousing sector will be the major driving force of the logistics industry. Due to growth in the retail and agricultural sector the need for warehousing space is expected to increase. Future Group, Gati, AFL and Safe Express plan on investing INR 50 bn by 2012 to expand warehousing operations.
The government also plans on boosting growth in the industry by investing a planned sum of USD 494 bn under the Eleventh Five Year Plan (2007-12) in developing of infrastructure that would have a directly impact on the sector.
