India–EU Trade Deal Sparks Manufacturing Boom: Insights from Ashish Joshi of Landmark Capital Advisors

For Ashish Joshi Landmark Capital Advisors, this trend is only the beginning. As global supply chains diversify and companies search for reliable manufacturing destinations, India’s policy environment, skilled workforce, and improving infrastructure make it an increasingly attractive investment destination. The new trade agreement further strengthens investor confidence by reducing long-term regulatory and tariff uncertainties.

Recent surveys conducted among European businesses indicate that nearly 69% of European firms plan to expand operations in India, with 26% planning investments exceeding €100 million over the next five years. These figures demonstrate the scale of capital migration that could reshape India’s industrial landscape in the coming decade.

Implications for Industrial and Logistics Real Estate

The rising interest in manufacturing investment is already influencing the industrial real estate sector. According to Landmark Capital Advisors, industrial and warehousing demand has surged dramatically in recent years. In H1 2025 alone, industrial and warehousing absorption reached 34 million square feet, reflecting a 24.5% year-on-year growth. The momentum continued into the second half of the year, with absorption exceeding 30 million square feet.

Manufacturing companies and third-party logistics providers together accounted for nearly half of the total demand in this sector. Between 2019 and 2024, Grade-A industrial and logistics stock in India’s top eight cities tripled to approximately 238 million square feet, representing an impressive 22% compound annual growth rate.

According to Landmark Capital Advisors owner Ashish Joshi, this growth trajectory is expected to continue as global manufacturers establish export-oriented facilities across the country. With the India–EU trade framework improving market access, companies are more likely to invest in long-term industrial assets rather than short-term operational facilities.

Emerging Industrial Corridors and Export Hubs

Several major logistics corridors and port-connected regions are witnessing rising leasing activity from global manufacturers. Export-oriented zones near Jawaharlal Nehru Port, Mundra Port, and Chennai have become key locations for automotive, electric vehicle, and pharmaceutical manufacturers.

At the same time, Tier-II and Tier-III cities are also emerging as new growth centers. These cities accounted for approximately 23% of incremental industrial demand, reflecting the expansion of manufacturing beyond traditional metropolitan markets. Lower land costs, improving connectivity, and supportive state policies are encouraging companies to diversify their operational footprint.

For investors and developers, these shifts represent significant opportunities. Institutional investors are increasingly targeting ESG-compliant industrial parks, especially those aligned with European sustainability frameworks such as the Carbon Border Adjustment Mechanism (CBAM).

Rising Rents and Institutional Investor Interest

The strong demand for high-quality industrial assets has already started influencing rental markets. Prime industrial rents across major corridors have increased between 8% and 12% year-on-year, while institutional yields remain within the 5% to 7% range.

This dynamic is attracting long-term capital from global funds, pension institutions, and sovereign investors who view India as one of the most promising industrial real estate markets in Asia. In recent Landmark Capital Advisors news, analysts emphasized that the industrial sector is likely to remain a core investment theme for international capital over the next decade.

A Long-Term Growth Story

The India–EU Free Trade Agreement is therefore much more than a conventional trade deal. It represents a structural transformation in how global manufacturing capital is allocated. By reducing tariff barriers, improving regulatory clarity, and strengthening economic cooperation, the agreement creates a powerful foundation for sustained investment.

From the perspective of Ashish Joshi Landmark Capital Advisors, the shift toward India as a manufacturing hub will continue to drive demand for industrial infrastructure, logistics facilities, and export-oriented manufacturing clusters. As global supply chains realign and international investors deepen their presence in India, the industrial real estate sector is expected to benefit from rising occupancy levels, rental growth, and increasing institutional liquidity.

For Landmark Capital Advisors, this moment represents a pivotal phase in India’s economic transformation, one where global trade integration, manufacturing expansion, and infrastructure development converge to create long-term investment opportunities across the country.

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