FM Logistic to add 40 lakh sq feet of warehousing space, witness revenue growth of 15% in 2019-20

FM Logistic India announced plans to add 40 lakh sq feet of warehousing space under its operations over the next three years and aims to log 35 per cent growth year-on-year during this period.

Last year the company announced setting up of a 31-acre multi-client logistics facility at an investment of USD 30 million, which is expected to be completed by this year end. 

This project comes in line with the company’s announcement to invest USD 150 million in the next five years in setting up warehouses in India.

“Currently we have 55 lakh sqft of warehousing space under operations. We plan to have another 40 lakh sq ft over the next three years. So by the end of three years, FM logistic India will have  (about) 1-crore sq ft of warehousing space under operations.”

~Alexandre Amine Soufiani, Managing Director, FM Logistic India.

He said the company plans to invest in setting up its own warehouses in Mumbai (10 lakh sq ft) and Bengaluru (7 lakh sq ft), by the end of next year. The Jhajjar warehousing facility will be the first owned warehouse by FM Logistic in India and it will be completed by December this year. 

FM Logistic India, which has its presence in over 90 locations providing warehousing and distribution logistics services for different sectors, is eyeing a growth of 35% year-on-year over the next three years.

On Tuesday, the company posted a revenue growth of more than 15% during 2019-20, despite the market slowdown in the national economy; with the automotive industry being particularly hard hit by falling consumption.

During the lockdown, the logistics service provider continued its services and strengthened its market position among food, omni-channel, e-commerce and pharma customers.

The company said that its main impetus for this growth has come from e-commerce as a result of two significant contract wins. It has bagged contracts from a leading e-commerce clothing company in India to handle around 80,000 orders per day and from a leading furniture retailer to handle all its online customer orders for Western India.

Apart from this, the company has also inked a contract with a lighting giant for which the company will be handling the entire logistics chain of this international group, from customs clearance for imported products to industrial and retail customer deliveries.   

Further, the company announced that it also pursued its strategy of developing state-of-the-art multi-client facilities (MCFs)in the most important Indian Economic Zones, where two sites are in operation (Mumbai and Delhi), and another is under construction at Jhajjar, Haryana.

Speaking of the facilities it said, “These MCFs are furnished with best-in-class safety and security features and offer cost efficient quality, storage and handling services.”

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