Report Overview

The adoption of government initiatives like Digital India, aimed at promoting AI innovation, has permeated various industries including IT, consumer goods, and healthcare, presenting significant opportunities for India's industrial sector to embrace automation. This surge in automation is anticipated to be a driving force behind the growth of the India automated storage and retrieval systems (ASRS) market during the forecast period between 2023 and 2029.

India Automated Storage and Retrieval Systems (ASRS) Market – Industry Trends & Forecast Report, 2029

India automated storage and retrieval systems (ASRS) market size was estimated at USD 299.6 million in 2022. During the forecast period between 2023 and 2029, the India automated storage and retrieval systems (ASRS) market size is projected to grow at a CAGR of 8.2% reaching a value of USD 324.2 million by 2029. The adoption of government initiatives like Digital India, aimed at promoting AI innovation, has permeated various industries including IT, consumer goods, and healthcare, presenting significant opportunities for India's industrial sector to embrace automation. This surge in automation is anticipated to be a driving force behind the growth of the India automated storage and retrieval systems (ASRS) market. Furthermore, the market expansion in India is supported using industrial automation systems, which are defined by new advances and are offered by a variety of organizations. For instance, Delta Electronics offers various automation devices and solutions, including robot systems for warehouses. In addition, accomplishing this objective is dependent on the convergence of major initiatives like Skill India and Digital India, which in turn would propel the market expansion of the nation. The Indian Institute of Skills' inaugural class was introduced in December 2020 by the Skill Ministry and Tata. These initiatives are being implemented in India to increase public and corporate knowledge of Factory Automation and Retrieval System capabilities. These initiatives are strategically deployed in India to augment awareness and proficiency in this domain, catalyzing the growth of the India automated storage and retrieval systems (ASRS) market.

India Automated Storage and Retrieval Systems (ASRS) Market – Overview

Automated storage and retrieval systems (ASRS) are advanced warehouse solutions that employ a combination of robotics, software, and hardware to automate the storage and retrieval of goods. These systems optimize warehouse efficiency by utilizing vertical space and reducing the need for manual labour in tasks such as picking, packing, and storing items. ASRS typically consists of high-rise storage racks, conveyors, robotic shuttles or cranes, and a central control system. They play a pivotal role in modern logistics, particularly in industries with high inventory turnover rates. ASRS not only increases storage capacity but also enhances accuracy, speed, and safety in warehouse operations, making them a cornerstone of efficient supply chain management.

India Automated Storage and Retrieval Systems (ASRS) Market

Growth Drivers

Deepening Penetration of ASRS in Thriving E-commerce Industry

The India automated storage and retrieval systems (ASRS) market is witnessing significant growth, primarily attributed to the widespread implementation of ASRS within the burgeoning e-commerce industry. This surge in demand underscores the pivotal role ASRS plays in revolutionizing warehouse operations to meet the dynamic requirements of India's rapidly expanding online retail sector. By automating storage and retrieval processes, ASRS significantly enhances operational efficiency and empowers businesses to effectively manage the escalating demands of online shopping. This trend solidifies ASRS as an indispensable element of the contemporary supply chain landscape, enabling businesses to optimize their logistics operations and remain competitive in the evolving market. The adoption of ASRS technology in India's e-commerce sector is poised to continue its upward trajectory, further propelling the growth and advancement of the ASRS market in the country.

Restraints

High Initial Investment and Repair Costs

The high cost of automated storage and retrieval systems (ASRS) maintenance and repair hinders the growth of the India automated storage and retrieval systems (ASRS) market. This financial burden acts as a deterrent to the market's growth potential. While ASRS solutions offer remarkable efficiency and optimization benefits to warehouse operations, the expenses tied to their upkeep can be substantial. This cost factor may deter small and medium-sized businesses, particularly those with budget constraints, from adopting or expanding their ASRS infrastructure. As a result, the market's growth trajectory may face constraints unless measures are taken to address and mitigate maintenance and repair costs, potentially through innovative solutions, competitive pricing models, or technological advancements that reduce the long-term operational expenses associated with ASRS.

Impact of COVID-19 on India Automated Storage and Retrieval Systems (ASRS) Market

The India automated storage and retrieval systems (ASRS) market experienced a dual-phase impact from the COVID-19 pandemic. Initially, there was a slowdown in ASRS implementation due to disruptions in supply chains and workforce availability, as businesses focused on immediate crisis management. However, as the pandemic persisted, there was a notable shift in priorities. The importance of resilient supply chains became evident, leading to a surge in demand for ASRS solutions. Businesses recognized the need to automate their warehouses for enhanced operational efficiency and adaptability in the face of future disruptions. Consequently, the latter part of the pandemic witnessed a significant rebound in the ASRS market, indicating a strategic shift towards prioritizing automation in the post-pandemic business landscape.

India Automated Storage and Retrieval Systems (ASRS) Market

Segmental Coverage

India Automated Storage and Retrieval Systems (ASRS) Market – By Type

Based on type, the India automated storage and retrieval systems (ASRS) market is divided into auto store, carousel, mid load, mini load, unit load, and vertical lift module segments. The unit load segment holds a major share of the market by type due to its suitability for handling large quantities of goods efficiently and safely. Unit load ASRS systems are designed to manage standardized containers, pallets, or totes, making them ideal for industries with high-volume storage and retrieval needs. This segment's dominance in the India ASRS market is a testament to the widespread use of standardized packaging in various industries, such as manufacturing, logistics, and retail. Additionally, unit load ASRS systems contribute to streamlined operations, reduced labor costs, and enhanced safety measures, which further amplify their appeal. As a result, businesses in India are increasingly opting for unit load ASRS solutions to improve their warehouse efficiency and meet the growing demands of their respective industries.

India Automated Storage and Retrieval Systems (ASRS) Market – By Function

Based on the function, India automated storage and retrieval systems (ASRS) market is divided into assembly, distribution, kitting, order picking, storage, and other segments. The order-picking segment holds a major share of the market by function due to the critical role that order-picking plays in the overall logistics and warehouse operations of businesses. Order picking involves selecting and gathering items from storage to fulfill customer orders, making it a fundamental aspect of the e-commerce, retail, and distribution industries. ASRS systems greatly enhance this process by automating the retrieval of items, thereby increasing efficiency and accuracy in fulfilling orders. This leads to faster turnaround times, reduced labor costs, and fewer errors in order fulfillment, which are crucial factors for businesses striving to meet customer demands and expectations in today's competitive market. As a result, the adoption of ASRS for order picking functions is witnessing significant traction, driving the overall growth of the ASRS market in India.

India Automated Storage and Retrieval Systems (ASRS) Market – By Region

Based on region, India automated storage and retrieval systems (ASRS) market is divided into North India, South India, East India, and West India segments. The West India region is expected to dominate the market by country due to the concentration of industrial hubs, ports, and logistics centers in this region. With major cities such as Mumbai, Pune, and Ahmedabad serving as economic powerhouses, there has been a robust demand for advanced warehouse automation solutions to streamline operations and meet the needs of a diverse range of industries. Additionally, the presence of major ports in this region further accentuates the importance of efficient storage and retrieval systems for logistics and distribution.

Competitive Landscape

Major players operating in the India automated storage and retrieval systems (ASRS) market include Bastian Solutions, LLC, Daifuku Co., Ltd, Godrej Consoveyo Logistics Automation Ltd, Kardex Group, KION Group AG, KUKA AG, Murata Machinery Ltd, Pennar Industries Ltd., Toyota Industries Corp., and Swisslog India Pvt Ltd. These companies employ various strategies to further enhance their market share, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In February 2023 - Prozo, one of India's fastest-growing "full-stack" supply chain companies, introduced the Mini-Load Automated Storage and Retrieval System (mini-load ASRS), which has raised the bar for automation. With this deployment, Prozo has taken a step closer to fully automated warehouses and has become the first 3PL firm in India to include such innovative technology in its supply chain management services.

Scope of the Report

By Type

• Autostore

• Carousel

• Mid Load

• Mini Load

• Unit Load

• Vertical Lift Module

By Function

• Assembly

• Distribution

• Kitting

• Order Picking

• Storage

• Others

By End User

• Aviation

• Automotive

• Chemicals

• Retail & E-Commerce

• Food & Beverages

• Healthcare & Pharmaceuticals

• Metals & Heavy Machinery

• Semiconductors & Electronics

• Others

By Distribution Channel

• Retail Distributors

• Online Suppliers

• Direct-to-Consumers

By Region

• North India

• South India

• East India

• West India