Overseas warehousing

An overseas warehouse offers flexibility to an exporter on all fronts and enhances business growth opportunities. Overseas warehousing works in both scenarios – exporters with a legal entity in the destination country or with no legal entity in the destination country.

Rhenus India as your partner for overseas warehousing

Why choose overseas warehousing?

India is a major manufacturing hub for automotive, engineering goods, pharmaceuticals, chemicals, processed foods and garments
Indian government’s push to ‘Make in India’ and export to the world
Most Western markets depend on imports for the above, given low-cost sourcing and shifting of manufacturing to emerging countries
Speed to market will determine demand from customers
Price competitiveness is lost due to uncertainty in supply / transportation
Limited exposure to customers as MOQ limits small customers from being approached
Certain industries, e.g. automotive components, bulk drugs and chemicals (raw materials), need JIT delivery, failing which leads to line stoppage, penalties, loss of business or even the customer
For processed foods, garments and pharmaceuticals, obsolescence due to the use-by date or change of season can lead to losses and / or product returns, etc.

Advantages to exporters

Short lead times / just-in-time delivery (JIT)
Small order fulfilment
Better reach to smaller customers
Better production planning / outbound supply chain planning and cost optimisation
Better planning of fast-moving / slow-moving SKUs
Choice of multiple warehousing locations (country-specific or region-specific)
Fulfil line feeding / sequencing requirement of customers – adding value to the end customer

Advantages to buyers

Little to no inventory planning – give a broad annual or quarterly requirement to the supplier
No inventory holding
Less chance of line stoppage, stock-outs and loss of customers
Short lead times / just-in-time delivery
Milk run deliveries to multiple sales locations
Ex-warehouse pick up by buyer-nominated transporter
Small order fulfilment
Limit product obsolescence / out of date products
Shorter payment cycle / lower financial cost

Any questions?

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