JANUARY 20258IMPLEMENTATION OF PLI SCHEME YIELDING FRUITS FOR QUICK COMMERCE SECTORBANGLADESH TO CONTINUE CONSTRUCTING TRADE ROUTE AMID ECONOMIC COLLAPSELeasing activity for logistics and industrial (L&I) spaces across eight major cities in India is expected to reach between 50 and 53 million square feet this year, as demand remains strong, according to Cushman & Wakefield. As of October 2024, leasing volumes have already The newly constructed rail line from Agartala to Akhaura is anticipated to expedite the journey to Tripura from Kolkata and is 12.24 km in length. Once operational with overland transit rights from Bangladesh, the journey time is expected to drop from 30 hours to just 10, significantly improving on the current 1,581 km route via Guwahati. The project, inaugurated by Prime Minister Narendra Modi and then Bangladeshi counterpart Sheikh TOP STORIESHasina in November 2023, was funded by India's Ministry of DoNER and the Ministry of External Affairs, while the Bangladesh portion was executed by its railway authority.Amid these advancements, Bangladesh owes Tripura 200 crore in electricity dues for the 60­70 MW supplied since 2016 by the ONGC Tripura Power Company's Palatana plant. Despite this, Chief Minister Manik Saha confirmed that no decision had been taken to halt the power supply. He stated that Tripura's act of supplying electricity is a token of appreciation for Bangladesh's aid in transporting machinery and other equipment to develop the power plants.However, bilateral trade suffered several blows when Sheikh Hasina was ousted, and the import of merchandised goods from Bangladesh to Tripura declined. At the same time, Adani Power has cut down its power export to Bangladesh by reason of $800 million payment arrears, indicating the fiscal challenges in the energy sector.The chief minister also discussed regional safety concerns, including the recent criticism surrounding the intrusion at the Bangladeshi Assistant High Commission in Agartala. However, Saha clearly stated that to ensure his government will take measures to bolster relations with the neighboring country, he said improved transport and trade facilities are paramount to the development of the two countries. surpassed 41 million square feet in key markets including Delhi-NCR, Mumbai Metropolitan Region (MMR), Kolkata, Chennai, Bengaluru, Hyderabad, Pune, and Ahmedabad. Cushman & Wakefield highlights that the leasing activity has been driven by sustained demand, particularly following the introduction of the government's Production-Linked Incentive (PLI) scheme in 2020, which has fueled healthy growth in industrial leasing.The rapid rise of e-Commerce and retail sectors has also spurred significant activity in the warehousing space.Looking ahead to 2025, Cushman & Wakefield anticipates that demand for L&I spaces will remain robust. This projection is based on India's growing consumption base and continued industrial activity, both of which are expected to support the sustained demand for logistics and industrial real estate. India's status as a beneficiary of the China+1 diversification strategy, where global manufacturing companies are diversifying their supply chains, further strengthens this outlook.Abhishek Bhutani, Managing Director of Logistics & Industrial at Cushman & Wakefield, noted that the sector continues to show remarkable growth potential, with leasing volumes set to surpass 50 million "the sector continues to show remarkable growth potential, with leasing volumes set to surpass 50 million square feet for the third consecutive year".
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