How to Start Warehouse Business in India

This article about how to start a warehouse business in India. Now in India, many Agricultural and Manufacturing product outcomes double year by year. To store these product outcomes, the warehouse percent is below 20% in India. To boost this Indian Government with the help of NABARD offers huge subsidy and Loans for entrepreneurs who are aspiring to start warehouse business in India. This all reasons seek special interest to think about this business.

Warehouses are characterized into two types. They are Cold storage warehouse which is used to store milk, fish, fruits & vegetables in a controlled atmosphere. Typical warehouse called Godowns which is used to store the commodities and manufactured goods.

Different types of warehouses

  1. Private Warehouses– warehouses are owned and managed by the manufacturers or traders to store their own stock.
  2.  Public WarehousesРAn individual, a partnership firm or a company may own this and gives access to the public on a rental basis.
  3. Government Warehouses– warehouses are managed by central or state or local government bodies.
  4. Bonded Warehouses– warehouses are owned, managed and controlled by the government and private agencies.
  5. Co-operative Warehouses – This warehouses are owned, managed and controlled by co-operative societies.

Investment to Start Warehouse

Construction of the warehouse requires heavy Investments. On Average 25 Lakhs is the minimum budget for constructing a warehouse with decent capacity.

  • One can opt for loans, almost 50% subsidy on the warehouse from NABARD and very low-interest loan schemes from bank accounts may come handy.
  • The cost of constructing a warehouse based on built-up area ranges from Rs 500-1,600 per sq ft for reinforced cement concrete (RCC).
  • Construction Cost can be reduced by framed RCC structure or semi RCC sheet roofing structure.
  • Choose rural areas for constructing a warehouse, as it is very economical.

How to Apply for Micro Small and Medium Enterprises Loans in Online?

Requirements to Start warehouse business

  • Controlled Cooling System Required for the cold storage.
  • Permissions and Registrations from Business Authorities.
  • Certificate from Fire Department officials.
  • Insurance for the warehouse and its contents is Must.
  • Install fire-fighting equipment to avoid fire accidents.
  • The warehouses need to employ security & staff.
  • Use Insecticides and traps to prevent insects and rats.
  • ¬†Convenient location reduces the cost of transportation.

Marketing of Warehouse

The Demand for warehouses in India is growing year by year. Start the warehouse business at a convenient place. Offer a good rate plan for farmers and small-scale manufacturing units may give good returns in the long run. Collaborate with local societies and local governor bodies by offering discounted rates for them. Make special quotes for Pharmaceuticals, food corporations and E-commerce clients.

Consider this all points before going to start warehouse business in India.


7 thoughts on “How to Start Warehouse Business in India”

  1. I want to know where to find the requirements to open a Government Warehouse in my area. I am adding my email. Please direct me to where I can find these requirements to build a warehouse to rent out to Government for food storage. Hope to hear soon from you.

    Prithish Soni

  2. Hi ,

    I am planning to build my own Warehouse near my city . Could you please help me with up with some business idea around it ?


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