E-commerce giant Flipkart is apparently going to invest Rs 5, 000 crores to set up logistics parks that will create around 50,000 more jobs. And market sources said that the work is progressing rapidly.
According to a report published in Business Standard, the online merchant is in process of acquiring 300 acres of land in Karnataka, Gurugram and West Bengal to set up logistics parks as part of its strategy to expand footprint in the logistics industry according to media reports. Construction is expected to commence very soon in West Bengal, reportedly.
The expansion is likely to give the Walmart-owned company an edge over rival Amazon that is already in process of expanding warehouse capacity and supply chain service to dominate the online trading market and grab the opportunity in local markets.
Flipkart, which is locked in a strong battle for market leadership in India with the American retail giant, has recently opened a new database centre in Hyderabad, its second such center in the sector. The new facilities will help Flipkart tap into the next 200 million customers.
Media reports suggested that Amazon is also expanding its warehouse capacity, and it has reportedly bought additional logistics space in Hyderabad.
Walmart CEO Doug McMillon, who visited India previous week, had expressed satisfaction at the progress made by Flipkart and stated that Walmart is committed to the Indian market given the large opportunity that the country presents.