India's Industrial and Warehousing Inventory Exceeds Half a Billion Square Feet
According to a recent report by Knight Frank India, the industrial and warehousing stock across eight primary markets in India has surpassed the half-billion square feet mark. As of December 31, 2025, the total inventory stands at an impressive 0.549 billion sq ft (549 million sq ft), reflecting a significant expansion in the sector.
Substantial Growth in Stock and Potential Capacity
The report highlights that the industrial and warehousing stock has grown by 13 per cent from 486 million sq ft in 2024. This growth underscores the robust demand and development in India's logistics and industrial infrastructure. Furthermore, the eight cities collectively hold 256 million sq ft of potential space within established warehousing parks. This capacity is more than three times the annual transaction volumes recorded in 2025, indicating ample room to support near-term demand expansion without supply constraints.
Mumbai Dominates as the Leading Warehousing Hub
Mumbai leads the industrial and warehousing market, accounting for 31 per cent of the total stock. In 2025, the city's stock was recorded at 170 million sq ft, marking a 12.5 per cent year-on-year increase from 151 million sq ft in 2024. Mumbai remains one of India's most critical warehousing markets, bolstered by its large consumption base, port-led trade activities, and extensive logistics infrastructure. Demand in the city continues to be driven by key sectors such as Third-Party Logistics (3PL), manufacturing, FMCG, and retail occupiers. The Bhiwandi and Panvel clusters are particularly noteworthy, forming the backbone of Mumbai's warehousing ecosystem.
NCR Emerges as a Key Contributor to National Stock
The National Capital Region (NCR) is the second-largest contributor, constituting 21 per cent of the overall industrial and warehousing stock across the eight primary markets. In 2025, NCR's stock inventory was recorded at 115 million sq ft, expanding by 11.65 per cent year-on-year from 103 million sq ft in 2024. The region's growth is fueled by renewed demand from diverse industries, superior inter-state connectivity, proximity to large-scale manufacturing bases, and sustained industrialization efforts. These factors have firmly positioned NCR as one of India's most preferred warehousing destinations.
Implications for India's Economic Landscape
The expansion of industrial and warehousing stock across these eight cities signals a positive trend for India's economy, driven by increasing trade, manufacturing, and logistics activities. Key points from the report include:
- Stock Growth: Overall stock increased by 13% from 2024 to 2025.
- Market Leadership: Mumbai holds the largest share at 31%, followed by NCR at 21%.
- Demand Drivers: Sectors like 3PL, manufacturing, FMCG, and retail are primary demand drivers.
- Infrastructure Support: Cities benefit from robust logistics networks and strategic locations.
This growth not only enhances India's industrial capabilities but also supports job creation and economic development in these regions.
