ESR Group to set up warehousing logistics park for EV manufacturing in Gujarat

ESR Group, a real estate services and investment major, has acquired a 38-acre land parcel near the Sanand Gujarat Industrial Development Corporation (GIDC) to build a one-million sq. ft. warehousing logistics park. The project, which will require an investment of over Rs 400 crore, is expected to be completed in the next three years. It aims to create a focused space for established and emerging electric vehicles (EV) manufacturing and ancillary units to expand their presence in Ahmedabad. The project will leverage the availability of grade-A infrastructure to enhance its EV manufacturing capacity.

The proposed logistics park will benefit from port connectivity, with access to Kandla port, Mundra, Dahej, Jafrabad, Pipavav, and Hazira ports, facilitating the import and export of components. It will also have access to Ahmedabad's international airport, Vadodara international airport, and national and state highway networks. The project will be supported by the Delhi-Mumbai Industrial Corridor (DMIC) and Western Dedicated Freight Corridor (DFC), expected to reduce logistics costs.

Sanand Gujarat Industrial Development Corporation (GIDC) is a growing market for EV manufacturing, and it currently houses multinationals and 300 domestic companies serving various sectors, such as automobile, auto ancillaries, FMCG, engineering, plastics, and electronics. With the city centre of Ahmedabad in close proximity, the logistics park is expected to attract firms operating in e-commerce and third-party logistics (3PL) segments.

ESR Group's first investment in the region was a 37-acre project in Jalisana, for which infrastructure is now ready. Gujarat attracts one of the highest foreign direct investments (FDI) in India and is evolving into an EV-related battery manufacturing and assembly centre.