Choosing the Right 3PL Company in India: A Decision-Making Guide

The logistics sector in India is undergoing a significant transformation driven by the efforts of 3PL service providers. This transformation is underscored by the projected growth of the India 3PL market, expected to reach USD 53.02 billion by 2028.

In the rapidly evolving business environment, companies are continually seeking strategies to enhance the efficiency of their supply chain operations and remain competitive in the market. For companies, selecting a warehousing partner goes beyond mere storage. It requires a commitment to SOP-driven operations, ensuring safety and quality compliance in every facet of comprehensive logistics solutions.

Third-Party Logistics (3PL) is a strategic approach that allows businesses to outsource their supply chain management operations to external service providers, such as Parekh Integrated Services Pvt. Ltd. With over four decades of experience, PISPL offers customized 3PL solutions to sectors like healthcare, chemicals, paints, agri and agrochemicals, optimizing logistics operations from warehousing to last-mile distribution. It is advantageous to opt for a provider offering end-to-end 3PL Solutions, optimizing logistics operations from warehousing to last-mile distribution.

Here are some factors to consider when zeroing on a 3PL service provider in India:

1. Strategic presence of the service provider

When exploring a 3PL company in India, understand the service provider’s existing network and presence across India locations. Having established presence in Metro & Tier 1 cities along with a reach to maximum number of pin codes is always a boon.

PISPL has a pan India presence with 160+ distribution centres in 75+ cities. The 3PL service provider should organize its network to identify optimal distribution centre locations, considering ‘Order to Delivery’ timelines for different businesses. With strategically positioned warehouses and distribution centres, it will be able to cater to any company’s route-to-market plan.

2. Whether they provide end-to-end 3PL Solutions?

To attain success in the logistics and supply chain industry, considering the adoption of end-to-end logistics solutions is a valuable step. Choosing to collaborate with a third-party logistics solution provider, offering a comprehensive solution for all logistics needs, enables businesses to streamline their operations and allocate more time to core business activities.

It is beneficial to opt for a provider offering integrated 3PL service, including warehousing, transportation, freight forwarding & customs clearance, cold chain management, inventory management, and AR management. This comprehensive approach ensures the delivery of a holistic end-to-end solution tailored to the evolving needs of businesses. PISPL provides comprehensive 3PL Solutions, meeting the overall supply chain requirements of a business.

3. Commitment to Sustainable Operating Practices

One should opt for 3PL companies that actively integrate Environmental, Social, and Governance (ESG) initiatives into their operations. When choosing a 3PL company, consider selecting one that demonstrates a strong dedication to environmentally responsible practices in its operations.

3PL companies should prioritize integrating sustainable practices across operations, showcasing commitment through dedicated sustainability frameworks. This includes using renewable sources of energy, green procurement practices, daylight utilization initiatives, and other sustainable strategies. This ensures a more eco-friendly and socially responsible approach to logistics operations.

This reflects a shared commitment to making a positive impact on the planet and ensures a sustainable approach to managing the supply chain process. PISPL is committed to ESG initiatives, exemplified by its dedication to reducing its carbon footprint, utilizing renewable sources of energy, and ensuring workplace safety.

4. Adherence to Safety and Compliance

When selecting a 3PL company, it's significant to examine their dedication to safety and compliance across the entire supply chain management. Assess the 3PL company commitment to industry standards, regulations, and safety protocols to establish a secure and compliant logistics framework for your business operations.

The chosen 3PL vendor should exhibit a thorough understanding of local regulations while adhering to global guidelines. This ensures that every facet of the supply chain, from freight forwarding to last-mile distribution, is handled with a keen focus on safety and compliance. PISPL is committed to adhering to global standards, ensuring high-quality and safety throughout supply chain processes.

5. Assess technological capabilities of the service provider

When choosing the right 3PL company in India, it is imperative to emphasize the significant role played by the technological capabilities of 3PL vendors. Opt for a company that integrates advanced tracking and analytics tools seamlessly into supply chain management.

It is beneficial to opt for a tech-forward 3PL partner offering advanced visibility and transparency through real-time insights, facilitating proactive monitoring and inventory tracking. This technologically proficient strategy ensures efficient logistics operations, aligning with the digital transformation of supply chain management for increased efficiency and productivity. PISPL, with its ERP-driven capabilities, amplifies visibility and transparency in supply chain and logistics operations.

6. What Value-added services they offer?

Modern 3PL companies in India offer comprehensive logistics solutions, including a wide array of value-added services. When choosing a 3PL provider, it is essential to consider additional value-added offerings such as packaging, labelling, kitting, de-kitting, bundling, stickering, strapping, stretching, stamping, and sterilization.


The 3PL sector is experiencing remarkable growth, with a CAGR of 7.28% from 2023 to 2028, significantly impacting the country's overall GDP. This growth highlights the sector's crucial role in driving economic expansion and supporting various industries across India.

As the emergence of 3PL service providers in logistics underscores the industry's transition towards specialized and integrated solutions. Opting for the right third-party logistics provider (3PL) is a crucial decision that can significantly impact the overall effectiveness of your supply chain management.

It is essential to thoroughly assess factors such as warehousing space, cost-effectiveness, transportation management, technological capabilities, reputation, and track record. By making an informed choice, your organization can optimize supply chain operations, enhance customer satisfaction, and gain a competitive edge in the market. Hence, partnering with 3PL service provider like PISPL unlock new opportunities, drive innovation, and achieve sustainable growth.