Before you begin your search for some of the top warehousing companies in India, it is prudent to discuss what does a warehouse mean, functions that are typically performed inside a warehouse, and the advantages of using a warehouse for international trade imports and exports. So, here we go!
What is a Warehouse?
A warehouse is typically a storage place or a commercial building that can be used for storing the merchandise that is distributed later by the traders. The purpose of storing goods inside a warehouse is to prevent damages and losses that may happen due to unsecured and defective items. Merchants involved in international trade, import and exports use the warehouses for storing the goods till the time it is not released for sale or re-export.
What are the Different Types of Warehouses?
Warehouses may vary depending on the nature of products, services, ownership, and need of customers. Here is a quick look at the various types of warehouses:
Public Warehouses: Provided by the state and central governments for storing essential items required in the future, these are used by the importers, exporters, retailers, and manufactures. While public warehousing comes with several advantages such as free of cost, reduced risk, etc., the downside is the lack of communication with public authorities, poor space planning, and inadequate specialized services.
Private Warehouses: These are maintained by public players. While you may have to pay a reasonable fee, the biggest advantage is that these warehouses offer economic benefits plus sound communication between warehousing units and production centers. Other than this, greater flexibility, sustainable operations in the long run, tax benefits, and greater control in operations are some of the additional advantages of using such warehouses maintained by some of the top warehousing companies in India such as OSV.
Contract Warehouses: These combine the benefits of public and private warehouses just like OSV’s 3PL.
Automated Warehouses: These are fully automated warehouses operated by robots and computers. While you may find them attractive, the cost of storing goods there isn’t as charming.
Climate Controlled Warehouse: These are required for storing consumable products, such as food items, packaged food, medicines, pharmaceuticals etc. that helps to help increase their shelf life and ensure safe & hygienic storage of such goods for a longer period of time. OSV’s temperature controlled and cold storage warehouses are amongst the most sought after by merchants looking for top warehousing companies in India.
And last but not the least is the distribution center which is used for storing goods temporarily. You can store goods like vegetables, fish, fruits, meat, bread, milk, and such perishable items that are brought at night and need to be shipped to different places the next day.
Some of the Key Benefits of Warehousing
- Reduced cost of distribution as goods can be unloaded in bulk
- International traders enjoy consignment and price control in business
- Merchants with limited storage space can benefit immensely
- Defer and even avoid certain customs duties, taxes, and fees
- Enable better inventory management for merchants
- If you’re not restricted by the need to store all materials, components and finished products at your manufacturing facility, you can get an opportunity to expand by using a warehouse
- Today’s warehouses and distribution centers allows you to pick, pack, repackage, assemble, kit and do multifarious value added services