E-commerce companies' share in warehousing space leasing dips to 3%

E-commerce firms' share in Indian warehouse leasing fell to 3% amid declining demand due to the pandemic, compared to over 20% during Covid-19. Physical retailers rented 14% space during the first half of this year, as they witnessed a demand resurgence, according to Savills India. E-commerce had more than a fifth of warehouse space in 2020. Third-party logistics accounted for 44% of the total absorption in H1, followed by manufacturing, retail and fast-moving consumer goods. Experts said companies are also looking to outsource space they had taken during the pandemic.