Zomato Leases Huge 2.5 Lakh Sq Ft Warehouse Near Mumbai to Boost Hyperpure’s Supply Chain
In a move that signals the growing strength of Zomato Hyperpure, the B2B arm of foodtech giant Zomato, the company has leased a massive 2.53 lakh square feet warehouse at the Lodha Industrial and Logistics Park in Palava, part of the Mumbai Metropolitan Region. This strategic expansion is designed to improve Hyperpure’s ability to supply essential goods like fruits, vegetables, and other groceries to restaurants, as the company looks to meet rising demand in India’s fast-paced food services sector.
With a five-year lease agreement set to begin on February 15, 2025, the monthly rent will initially cost Zomato over Rs 85 lakh, and will increase by 5% annually. By the end of the lease term, Zomato will be paying more than Rs 1 crore per month. This bold investment comes as Zomato strengthens its position in the B2B market and prepares for rapid growth in its food supply business.
Why This Warehouse Lease Matters to Zomato Hyperpure’s Growth
Zomato Hyperpure has been quickly becoming a crucial player in India’s foodservice supply chain. The company delivers fresh produce, dairy, packaged goods, and other essential ingredients directly to restaurants, cafes, and hotels. The newly leased 2.53 lakh sq ft warehouse is a significant step forward in supporting this growing business.
As the food delivery and B2B supply industry in India expands, so does Zomato’s need to bolster its infrastructure. With this new warehouse, Hyperpure will be better equipped to handle increased orders, speed up deliveries, and expand its offerings. Here’s a breakdown of why this move is important:
Meeting Growing Demand
Hyperpure has seen significant growth recently. In the second quarter of fiscal 2025, its revenues nearly doubled to Rs 1,473 crore, compared to Rs 745 crore in the same period the previous year. This surge in revenue highlights the increasing demand for its services, and the new warehouse will help Zomato handle this demand more efficiently.
Faster Delivery and New Services
To stay ahead in the competitive foodservice industry, Hyperpure recently launched its Express Delivery service, which guarantees deliveries in as little as 30 minutes to 4 hours. This will help restaurants access high-quality ingredients faster, enabling them to offer fresher dishes to customers. The expanded warehouse space will support these faster deliveries by allowing more inventory to be stocked and processed more quickly.
The Expansion of Value-Added Products
In addition to offering fresh groceries, Hyperpure has ambitious plans to expand into value-added food products. The company is in the process of setting up a processing plant to produce sauces, spreads, and other products for its restaurant partners. This move will further diversify Hyperpure’s offerings and provide restaurants with even more products that are crucial to their operations.
Zomato’s Larger Expansion Strategy
The new warehouse is just part of a larger growth strategy for Zomato. In a recent qualified institutional placement (QIP), Zomato raised about Rs 8,500 crore (around $1 billion) to fund its expansion plans. A significant portion of these funds, Rs 2,137 crore, is set to go towards building more Hyperpure warehouses and expanding Blinkit’s dark stores, which will support Zomato’s growing quick commerce operations.
Zomato’s CEO, Deepinder Goyal, mentioned that expanding Hyperpure’s warehouse network is critical for growing its B2B supply and food delivery businesses. The company sees this as an essential part of its ability to scale in the competitive Indian food market, especially as the demand for quick and reliable delivery services rises.
What Zomato’s New Warehouse Means for Restaurants
For restaurant owners, Hyperpure’s expansion will likely be a game changer. In an industry that relies heavily on timely deliveries of quality ingredients, the new warehouse will help reduce supply chain delays and ensure that restaurants always have access to fresh ingredients. The faster deliveries through Hyperpure’s Express service will also give restaurant operators a competitive edge by allowing them to offer fresher, higher-quality meals to customers—ultimately improving their bottom line.
This move will also help reduce food wastage, as better-managed warehouses with optimized stock levels can ensure that ingredients are delivered on time and used before they spoil. This could save restaurants both time and money, while helping them offer consistent, high-quality meals.
How Zomato’s Strategy is Shaping the Future of the Food Supply Chain
Zomato’s strategy to scale up Hyperpure’s infrastructure comes at a time when food supply chains in India are under pressure. The food delivery market is booming, and restaurant owners need reliable, fast, and cost-effective suppliers to keep their operations running smoothly.
As Zomato expands its Hyperpure network, it is positioning itself as one of the key players in India’s B2B food supply chain. By building more warehouses, improving delivery times, and offering a wider range of products, Zomato is aiming to capture a larger share of this rapidly growing market. Hyperpure’s move to introduce value-added food products and faster delivery services is just the beginning of this expansion.
Hyperpure’s Future in Quick Commerce
Zomato has also been expanding into quick commerce (Q-commerce) with its Blinkit app, which offers super-fast 10-minute delivery of food and grocery items. With the funds raised through its QIP and the growth of Hyperpure, Zomato is positioning itself to dominate the quick commerce space and further integrate its services into everyday life.
The company has already launched a 15-minute food delivery service in select areas of Delhi-NCR, underlining its commitment to staying ahead of the competition in this fast-paced industry.
The Road Ahead for Zomato: What’s Next?
Zomato is clearly on a growth trajectory, and this new warehouse lease is just one part of a much larger picture. The company is expanding its infrastructure, strengthening its supply chain, and introducing new services to meet the needs of today’s fast-paced, delivery-driven world. Whether it’s through Hyperpure, Blinkit, or its food delivery platform, Zomato is betting big on its ability to deliver quality food faster and more efficiently than ever before.
As the company ramps up its operations, this new warehouse in Palava will serve as a key hub in Zomato’s larger expansion strategy. Expect more innovations, expansions, and improvements to come in the near future as Zomato continues to evolve and strengthen its hold on India’s foodservice and quick commerce markets.
Conclusion: Zomato’s Big Bet on Hyperpure Will Change the Food Supply Chain
Zomato’s decision to lease a 2.53 lakh square feet warehouse near Mumbai shows the company’s serious commitment to dominating the B2B supply chain space. With the Hyperpure business growing fast and the addition of new services like Express delivery, this warehouse will help Zomato stay ahead of the curve in the rapidly changing food service and quick commerce industries. As the company expands its infrastructure and offerings, the future of food delivery and B2B supply chains in India looks brighter and faster than ever before.
