The Uttar Pradesh government has sanctioned capital subsidies amounting to ₹9.79 crore for two major warehousing developments under the Warehousing & Logistics Policy 2022, reinforcing the state’s commitment to improving its logistics infrastructure. These subsidies are expected to not only enhance warehousing capacity but also stimulate indirect demand for steel used in construction-related applications.
According to a report, OWM Logipark Varanasi LLP has been granted a subsidy of ₹4.89 crore for developing a ₹33.29 crore warehousing facility in Varanasi, spanning 8.94 acres. Similarly, KMRA Associates LLP has received a subsidy of ₹4.90 crore for its ₹44.58 crore project in Unnao, covering 12 acres.
These projects are crucial in advancing the logistics ecosystem in the state, particularly in key transit hubs like Varanasi and Unnao. Beyond improving storage and distribution capacity, such warehousing developments typically rely on robust steel-based structures for components such as pre-engineered buildings (PEBs), loading bays, steel racking systems, and mezzanine floors. This infrastructure indirectly supports the demand for construction-grade steel and related products, especially from domestic manufacturers.
The move aligns with the state’s broader objective to become a logistics hub by attracting private investments and reducing logistical costs through policy-backed incentives. With increased warehousing development, the ripple effect is likely to be seen in sectors such as construction, steel manufacturing, and allied engineering services.
As infrastructure development accelerates under the state’s logistics blueprint, the steel industry stands to benefit from the rising demand for fast-track, durable, and modular construction solutions.
