Flipkart joins hands with Adani group

As per the deal, a new fulfilment centre spread across 5.34 lakh sq. ft. will be opened in Mumbai.

April 12, 2021 10:17 am | Updated 10:23 am IST - AHMEDABAD

The logo of India's e-commerce firm Flipkart

The logo of India's e-commerce firm Flipkart

Flipkart, one of India’s largest e-commerce firms, has entered into a strategic and commercial partnership with the Gujarat-based Adani Group for logistics and data centre-related businesses.

In this partnership, Flipkart will work with Adani group’s entity Adani Logistics Ltd to strengthen Flipkart’s supply chain infrastructure and enhance its ability to serve its customers.

“Homegrown e-commerce giant Flipkart is our new strategic partner. In the two-prong partnership, AdaniConneX will build their new Tier 4 data centre and Adani Logistics, Indias leader in logistics, will build their 534,000 sqft fulfilment centre. Thousands of new jobs in Mumbai,” tweeted billionaire Gautam Adani’, announcing the deal.

As per the deal, a new fulfilment centre spread across 5.34 lakh sq. ft. will be opened in Mumbai.

In addition, Flipkart will set up its third data centre at AdaniConneX Private Limited, its Chennai-based facility, leveraging AdaniConneX’s expertise and data centre technology solutions.

AdaniConnex Pvt Ltd is a new Joint Venture formed recently between EdgeConneX and Adani Enterprises Limited.

“As part of this partnership, Adani Logistics Limited will construct a massive 534,000 sq. ft. fulfilment centre in its upcoming logistics hub in Mumbai that will be leased to Flipkart to address the growing demand for e-commerce in Western India and support market access of several thousands of sellers and MSMEs in the region,” according to a jointly-released press note.

The centre is expected to be operational in the third quarter of 2022 and will have the capacity to house 10 million units of sellers’ inventory.

In addition to strengthening Flipkart’s supply chain infrastructure, the company expect the facility to enhance local employment and create 2,500 direct jobs and thousands of indirect jobs.

The other prong of the partnership will see Flipkart developing its third data centre at the AdaniConnecX Chennai facility as a part of one of the largest private cloud deployments in the country, thereby further strengthening its e-commerce business in India.

“The AdaniConneX data centre is a brand-new facility enabling Flipkart to design the data centre to its growing infrastructure needs with a significant focus on security and keeping data locally within India,” the statement added.

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