Industrial Warehouses to rent, increasing petrol costs
Category Industrial
I was reading about international trends in the Industrial and Commercial Warehouse Market and they highlighted that Freight Transportation is typically the single largest cost component of Supply Chain Management. It made me think about how the petrol prices must be shaping transportation strategies and warehousing location choices here in South Africa.
Petrol prices keep increasing and that must lead to new tactics to curb costs. It made sense to me that there might be a move to bigger consideration towards CBD warehousing? If the biggest expense for a business is their transportation, then being closer to where the product needs to end up could see fresh importance.
I’m hoping the best minds in Cape Town and in South Africa are putting their heads together to look at transportation and distribution infrastructure strategies in keeping end prices down. The continued increases cannot solely be borne by the consumer, surely?
The best choice of warehousing location is the location that increases the overall profitability and lead time deliveries.
Choosing the CBD has its pros and cons, what you gain in good infrastructure might be set off by things like, traffic congestion, loss of warehouse ceiling clear height, loading capacity and site configuration.
Industrial and commercial warehousing will adapt along with supply chain evolution based on the sourcing of goods and consumer demands.
We are here to meet the changes in demand, If you require large or small industrial premises to let, please contact Rawson Commercial Blaauwberg we have a wide selection of industrial warehouses to rent, we will find you the best warehouse property fit, in the best location for you!
Author: Wendy Wentzel
