Supply Chain Performance

Bhiwandi: The Backbone of India’s Supply Chain & Logistics Network

Strategically positioned in Mumbai, Bhiwandi plays a pivotal role in enabling efficient supply chain operations across India.

On May 27, 2025

Bhiwandi, located on the outskirts of India’s financial capital – Mumbai has been the epicenter of warehousing for various industries. From E-commerce to retail and more, a host of companies have their warehouses in Bhiwandi. A recent report in a leading newspaper stated that the area had about 30,000 g0downs and employed about 17,00,000 workers. According to the local officials, the number could be higher; about 60,000 considering if they were to consider the unregistered facilities. It is therefore, safe to say that Bhiwandi is the backbone of the logistic industry and houses a host of facilities, from state-of-the-art and fully compliant warehouses to the basic godowns, thus playing a vital role in supply chain management for various industries.

This article explores: Bhiwandi’s infrastructure, government initiatives, and modern warehousing solutions that makes the role of Bhiwandi pivotal in the logistic infrastructure.

1. Strategic Infrastructure and Connectivity

Bhiwandi’s strategic location between Mumbai and Gujarat provides exceptional connectivity through the Mumbai-Nashik Expressway and the Western Express Highway. Just 20 km from Mumbai and 15 km from Kalyan, with the airport at a convenient 39 km and Jawaharlal Nehru Port within 60 km, Bhiwandi emerges as a key center for import-export activities. Its prime location ensures a constant labour supply, solidifying its position as a strategic haven for businesses.

Key Benefits of Bhiwandi’s Location:

Proximity to Major Ports: Bhiwandi’s closeness to the Jawaharlal Nehru Port Trust (JNPT) facilitates efficient import-export operations, making it an ideal location for international trade. With reduced transit times and lower logistics costs, businesses can optimise their supply chains and improve operational efficiency. This proximity also enhances trade opportunities with global markets, making Bhiwandi a preferred hub for shipping and freight forwarding companies.

Rail and Road Connectivity: Excellent connectivity via highways and railways enhances logistics operations, allowing for quick transportation of goods across the country. The Mumbai-Nashik Expressway and Western Express Highway ensure smooth movement of cargo to key markets, while the presence of railway freight corridors further strengthens supply chain networks. This connectivity makes Bhiwandi a vital distribution point for manufacturers, retailers, and e-commerce giants.

Access to Airports: The proximity to Mumbai’s international airport further supports the movement of air cargo, ensuring seamless connectivity for both domestic and international markets. This is particularly beneficial for industries dealing with high-value goods, perishable items, and time-sensitive shipments. Faster transportation times lead to improved inventory management and reduced storage costs for businesses relying on air freight.

Thriving Logistics and Warehousing Hub: Bhiwandi is one of India’s largest warehousing and distribution centers, attracting major companies across industries. Its large-scale storage facilities, including modern fulfillment centers for e-commerce giants, enable efficient last-mile delivery solutions. The availability of Grade-A warehouses with advanced automation technology further enhances operational efficiency.

Cost-Effective Business Environment: Compared to Mumbai’s high real estate costs, Bhiwandi offers affordable land and rental spaces for warehouses and logistics companies. The lower cost of operations, combined with easy access to major markets, makes it a financially viable choice for businesses looking to scale operations without excessive overhead expenses.

Growing Industrial and Commercial Presence: The region has witnessed significant industrial growth, with manufacturing units, logistics parks, and retail distribution centers setting up operations. As businesses expand their reach, Bhiwandi continues to attract investments in infrastructure development, boosting employment opportunities and economic growth.

With its superior connectivity, cost advantages, and growing infrastructure, Bhiwandi has firmly established itself as a key logistics and trade hub, making it an essential part of India’s supply chain ecosystem.

2. Government Initiatives and Infrastructure Development

The Maharashtra government has undertaken significant initiatives to bolster Bhiwandi’s infrastructure and cement its status as a premier logistics hub. With a focus on modernisation, connectivity, and investment incentives, these efforts aim to streamline supply chain operations and attract large-scale industrial development.

Maharashtra Logistics Policy 2024

Integrated Logistics Master Plan: This policy positions Maharashtra as the ‘Hub of Logistics’ by optimising existing infrastructure and developing new logistics networks. The plan aims to enhance supply chain efficiency, ensuring seamless freight movement across key trade routes.

Infrastructure Expansion: Over 10,000 acres of land have been earmarked for logistics infrastructure, including dedicated logistics parks, truck terminals, and industrial zones. These developments will provide businesses with state-of-the-art storage, distribution, and transportation facilities, reducing congestion and operational inefficiencies.

Incentives for Investment: To attract private players, the government is offering financial incentives, tax benefits, and subsidies for logistics infrastructure projects. This move is expected to encourage the adoption of modern warehousing solutions, including automation and smart logistics technologies.

Strengthening Multi-Modal Connectivity

Metro Expansion Projects: The upcoming Metro Line 5 (Thane-Bhiwandi-Kalyan) and Mumbai Metro Line 12 will significantly improve connectivity, reducing travel times and ensuring smoother movement of workers and goods between key commercial and industrial zones.

Expressways and Industrial Corridors: Projects such as Samruddhi Mahamarg and the Mumbai-Delhi Industrial Corridor will further integrate Bhiwandi with national and international trade routes, allowing for faster, more cost-effective transportation of goods.

Pirojshaw Sarkari, CEO of Gati Ltd., highlighted Bhiwandi’s significance in India’s logistics landscape, stating, “Bhiwandi has been an undisputed choice for us to set up our super hub thanks to its ability to offer seamless connectivity, congestion-free access to warehouses, and convenient inward and outward movements of heavy-duty haulage trucks.”

With these strategic policy initiatives and infrastructure upgrades, Bhiwandi is well-positioned to strengthen its role as a logistics and warehousing powerhouse, driving economic growth and supporting businesses across various sectors.

3. Modern Warehousing Solutions and Future Prospects

Bhiwandi is home to some of the most advanced warehousing facilities in India, offering a range of modern solutions that optimize logistics operations.

Modern Warehousing Trends in Bhiwandi:

Automation in Warehousing: Advanced technologies like Automated Storage and Retrieval Systems (AS/RS) and Robotic Process Automation (RPA) enhance efficiency and reduce operational costs..

Smart Warehousing with IoT: Sensors and RFID tags are used to track inventory and monitor storage conditions in real time, improving inventory management and reducing wastage.

Sustainability and Green Warehousing: Solar-powered warehouses and eco-friendly packaging materials are becoming more prevalent, aligning with global sustainability trends.

On-Demand Warehousing: Flexible storage solutions cater to businesses with fluctuating inventory needs, especially in the e-commerce sector.

FM Logistic India has significantly expanded its presence in Bhiwandi, a strategic logistics hub, by setting up state-of-the-art facilities that leverage the region’s exceptional connectivity. Our multi-client facilities in Bhiwandi embody innovation and sustainability, offering comprehensive omnichannel solutions along with retail ready operations. Our multi-client customs-bonded warehouse and advanced IT and automation systems make FM Logistic your go-to logistic partner. Our facilities enhance customer intimacy and support diverse sectors like retail, FMCG, auto, industry, and pharmaceutical sectors.

The expanding e-commerce sector and government initiatives are driving growth in Bhiwandi’s warehousing industry, solidifying its position as a key logistics hub. However, challenges such as limited land availability and high rental costs persist, particularly for Grade A developers. Leading developers are addressing these issues by delivering modern facilities to meet rising demand. With its strategic location, government support, and advanced warehousing solutions, Bhiwandi is well-positioned to meet India’s growing logistics needs. As infrastructure develops and technology advances, Bhiwandi is set to remain a crucial player in the country’s logistics landscape for years to come.