TVS Supply Chain Sets Up 40,000 sq ft FTWZ Warehouse Near Chennai to Strengthen Caterpillar’s Global Supply Network

TVS Supply Chain Solutions has strengthened its long-standing partnership with Caterpillar by establishing a new warehousing facility near Chennai. The company has set up a 40,000 square feet warehouse at the Free Trade and Warehousing Zone (FTWZ) in Mannur village, located around 30 kilometres from the city. The facility is designed to support Caterpillar’s global supply chain operations by enabling efficient procurement, storage and distribution of parts sourced from multiple countries.

A Free Trade and Warehousing Zone is a special logistics hub where goods can be imported, stored, handled and re-exported without immediate customs duties. This model allows companies to streamline international trade operations, reduce paperwork, optimise inventory management and improve supply chain flexibility. By operating within an FTWZ, companies can consolidate global shipments and distribute components to manufacturing facilities with greater efficiency.

The new warehouse is strategically located along the Chennai–Bengaluru Industrial Corridor, one of India’s most important manufacturing and logistics corridors. The location offers seamless connectivity to Chennai Port, Ennore Port and Kamarajar Port, which together handle nearly 20 percent of India’s container traffic. This strong port connectivity ensures faster movement of imported components and smoother integration with Caterpillar’s global manufacturing supply network.

With approximately 4,000 pallet positions, the modern facility is designed to enhance operational efficiency and supply chain responsiveness. It will help Caterpillar optimise lead times, lower landed costs and respond quickly to fluctuations in global demand. In an environment where global trade disruptions have become increasingly common, such supply chain resilience is critical for large manufacturing companies.

Executives from TVS Supply Chain Solutions said the FTWZ model combined with their end to end logistics capabilities enables faster global supply chain movements. The approach allows Caterpillar to manage complex multi-country sourcing requirements while maintaining consistent production schedules.

TVS Supply Chain Solutions already supports Caterpillar’s external warehouse operations in Hosur and also manages in-plant warehousing with dedicated trained personnel. Over the past five years, the partnership between the two companies has evolved into a collaborative relationship focused on operational efficiency, innovation and future-ready supply chain solutions.

Industry experts note that such facilities reinforce India’s growing role as a global manufacturing and logistics hub. With improving infrastructure and policy support, India continues to strengthen its position as a key base for global supply chains under the Make in India for the World initiative.