2

• Multimodal Logistics Parks are common globally, including US,

Europe

• Logistics parks are critical to enable logistics cost reduction

• Increased focus on developing alternate modes of long haul

freight transportation (Dedicated Rail Freight Corridors, Inland

waterways)

• Roads provide the critical first mile and last mile connectivity

• Multimodal Logistics Parks enable seamless intermodal

freight transfer

• Implementation of Goods and Services Tax (GST) will lead

to consolidation of warehouses

• Multimodal Logistics Parks provide modern warehousing space at

key economic nodes in the country

Multimodal Logistics Parks: An Attractive Investment Opportunity

3

Salient features of draft policy for Logistics Park

Location Norms

• Logistics parks to be developed at key production and

consumption centers in the country

• Suitable land parcels along the direction of major freight

flows with good highway and railway connectivity to be

prioritized

Design Principles

• Nature of commodities to govern the size and type of

facilities to be provided at each location

• Logistics Parks to have five broad zones viz., Commodity

storage zone, Intermodal zone, Value added services

zone, ancilliary services zone, vehicle parking zone

• ~50% of the area to be allocated to Core Logistics activities;

Rest of the area to be allocated for parking, ancilliary

activities, land scaping

Project Proponents

• Central/state government and private developer to be

the key stakeholders

• State Government and Central Government agencies to

form a SPV and the SPV shall appoint private

concessionaires for development and operation of LPs

Role of government entities

• Logistics parks being considered for infrastructure status

• Encumbrance free land to be provided by State

Government

• Road and Railway connectivity to be provided by Central

Government agencies

• Customs Clearance along with bonded storage yards to be

provided by authority

Role of concession-aire

• Concessionaire to procure funding and develop

Logistics Parks as per Authority guidelines

• Detailed design & engineering to incorporate learning

from global best practices

• Operation and maintenance of the Logistics Parks to be in

line with Authority SLAs

4

Multimodal Logistics Parks: Prioritized locations

Multimodal Logistics Parks have been planned to be developed at 35

locations by the Ministry of Road Transport and Highways, as a part of

the Bharatmala Pariyojana. Hyderabad is one of the fifteen locations

planned in Phase 1 of the Bharatmala Pariyojana.

Hyderabad

5

Telangana: Economic Profile and Industry Analysis

Telangana is the 12th largest State of India, in terms of both area and population. The State has a geographical area of 1.12 lakh sq. kilometres, covering 3.49% of India’s area, and has a population of 3.5 crores, as per Census 2011, approximately 2.97% of India’s population.

Key Economic Indicators and Composition of Telangana's Economy

Source: Telangana Socio Economic Outlook, 2016

Industries in Telangana

The major industries of Telangana include pharmaceutical, medicinal chemicals, botanical products, food products, basic metals, etc.

Source: Annual Survey of Industries, 2013 - 2014

Key Economic

Indicator

Value

GSDP Growth Rate

of Telangana, FY16

8.8%

Per Capita Income,

FY16

INR 1,29,000

Fiscal Deficit,

FY16

2.9% of GSDP

Index of Industrial

Production(IIP),

FY14

154.3

Agriculture

13%

Manufacturing 24% Services

63%

Source: Telangana Socio Economic Outlook, 2016

19%

16%

11% 7% 6%

3%

38%

Pharmaceuticals, medicinalchemical, botanical productsFood products

Basic Metals

Electrical Equipment

Rubber and plastic products

Machinery and Equipment

Miscellaneous

6

Hyderabad - Key Demand Centers and Potential Location of Logistics Park

Total Road freight Movement (Mn MT)1: 399

Notes: 1. Road Movement for Hyderabad in FY 25 . Source: MORTH

Identified Location – Bhuvanagiri and Zahirabad

Key Demand Drivers

The key demand drivers for a logistics park in Hyderabad are:

• Industrial Ecosystem

• Proximity to Hyderabad Airport

• Access to production and consumption centers in Hinterland

• Ability to connect central India to two large container ports (JNPT

and Chennai)

• Bhuvanagiri – Bhuvanagiri is around 50 km away from Hyderabad and this region is well connected to various seaports by road and rail and will also be nearer to the Airport and manufacturing clusters like Pharmaceuticals and Aero SEZ.

• Zahirabad – This location is around 100 km away from Hyderabad and National Investment and Manufacturing Zone is approved by the Government of India for development in this region.

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Hyderabad - Key Demand Centers and Potential Location of Logistics Park

Source: TSIIC, Telangana Logistics Summit Presentation

Key Industrial Centers

Hyderabad surrounded by large manufacturing clusters in sectors like pharmaceuticals, textile food processing, aerospace, machinery etc. The city is in proximity to the mega food park proposed in Nizamabad, the textile park in Warangal spread across 400 acres and pharma city in Mucherla.

Key Industries near Hyderabad • Food Processing • Pharmaceuticals • Aerospace • Textile and Apparel

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Hyderabad - Connectivity

Hyderabad is centrally located such that it is accessible from the hinterlands of central India and is almost equidistant from the two large container ports (JNPT and Chennai) . This offers an unique opportunity to be an agglomeration/ distribution center for cargo from/to central India

Source: TSIIC, Telangana Logistics Summit Presentation

• Airport-Hyderabad airport is located at a distance of 24 km from the city

Road and Rail Connectivity from Hyderabad

Hyderabad – Access to ports

9

Hyderabad: Existing Facilities

Source: TEFR of Telangana Dry Port, TSIIC

Existing ICD and CFS Facilities near Hyderabad

Apart from the above mentioned facilities, there are other facilities as mentioned below

10

S.No

Name of the Facility

Location

1 Continental Multimodal Terminals Ltd. Thimmapur village,

Mahaboobnagar

2 Batco Integrated Logistic Pvt. Ltd. Hyderabad

3 Central Warehousing Corporation. Kukatpally

4 Telangana State Trade Promotion

Corporation Ltd.

Mamidipally

Source: TEFR of Telangana Dry Port, TSIIC

Mr. Pavan Tej Yerur ptyerur@Kpmg.Com +91-7032-916-321

Hyderabad Logistics Park: Way forward

June 2017 Oct 2017 Dec 2017 Mar 2018

Completion of

pre-feasibility

assessment

Completion of

Detailed Project

Reports

Invitation

of bids

Appointment of

concessionaire

11

Contact details: Mr. Ravinder; Email: ravinder@nhai.org; Phone: +91-95607 15959