India's warehousing sector sees absorption rebound on demand resurgence

Key micro-markets saw an increase in leasing activity, with e-commerce and 3PL players gaining momentum

India’s warehousing and logistics sector saw a rebound in the July to September period (Q3) of 2025, led by a resurgence in occupier demand across key micro-markets and renewed momentum in the e-commerce and third-party logistics (3PL) segments, according to a report by workspace solutions firm Vestian.

 

The sector recorded a 64 per cent quarter-on-quarter (Q-o-Q) rise in national absorption at 9.2 million square feet (msf) in this quarter, up from the 5.57 msf reported for Q1 of 2025.

 

However, this was still 36 per cent lower on a year-on-year (Y-o-Y) basis,