13 High-Activity Clusters to Anchor 80% of India’s Industrial and Warehousing Demand: Colliers
New Delhi, May 14, 2026: India’s industrial and warehousing sector has reached a critical maturity milestone, with Grade A stock nearly doubling since 2021 to reach 300 million sq ft. According to a new report from Colliers India, this growth is being anchored by 13 “high-activity clusters” that currently account for approximately 75% of all nationwide demand and supply. These premier hubs, which include three in Chennai and two each in Delhi NCR, Pune, and Bengaluru, are projected to command up to 80% of all market activity in the coming years, Colliers India said in a press release.
The surge is heavily supported by massive infrastructure projects, such as the Delhi-Mumbai Expressway and various dedicated freight corridors, which have enhanced regional distribution capabilities. Mumbai’s Bhiwandi remains the country’s largest cluster with 42.1 million sq ft of Grade A stock—surpassing the total inventory of several entire cities—driven largely by its proximity to the Jawaharlal Nehru Port. Meanwhile, Delhi NCR’s Farukh Nagar and NH 48 clusters continue to lead in e-commerce and 3PL (third-party logistics) space uptake due to their strategic positioning along northern industrial corridors.
Vijay Ganesh, Managing Director of Industrial & Logistics Services at Colliers India, noted that these clusters are entering an accelerated growth phase. “India’s industrial & warehousing market is entering an accelerated growth phase with high-activity clusters anchoring market momentum, on the back of policy support, enhancements in multi-modal connectivity, proximity to consumption centers, and expanding manufacturing & logistics landscape,” Ganesh stated. He added that sector-focused initiatives in semiconductors, EVs, and textiles would further catalyze this demand.
The report also highlights a shift in rental dynamics, with average rates expected to firm up by 5-10% year-on-year across most high-activity clusters. While 3PL firms remain the primary occupiers, accounting for over 60 million sq ft of cumulative leasing since 2021, the engineering and automobile sectors are increasingly dominating clusters like Oragadam in Chennai and Chakan in Pune. As manufacturing continues to scale, Ganesh predicts that “these high-activity clusters will continue to drive 70-80% of the overall demand and supply, alongside gradual emergence of new hubs supported by ongoing structural changes in industrial & warehousing landscape.”
