India Air Cargo Market to Reach 6.9 Million Tonnes by FY2030 as New Hubs and Pharma Exports Fuel Growth

India’s air cargo market is entering a hub-led growth phase, supported by pharmaceutical exports, express logistics demand and improving connectivity.

DELHI, DELHI, INDIA, November 4, 2026 /EINPresswire.com/ -- India's air cargo and express logistics market is entering a capacity-led growth phase, with cargo volumes projected to rise from approximately 3.9 million tonnes in FY2026 to 6.9 million tonnes by FY2030, according to Makreo Research's report, India Air Cargo and Express Logistics Market and Forecast to 2031.

Growth is supported by pharmaceutical and electronics exports, e-commerce shipments, new airport cargo hubs and transshipment reforms. However, Makreo Research estimates that airport cargo-handling infrastructure operated at 42.12% capacity utilisation in FY2023–24, highlighting significant unused capacity. Sustaining growth will therefore depend on improving infrastructure utilisation, cargo throughput and regional connectivity alongside new investments.

India Air Cargo Market Size and Volume Momentum -
India is the sixth-largest air cargo market globally, yet air freight accounts for approximately 0.06% of the country's total freight transport activity, measured in tonne-kilometres. Despite its limited modal share, air cargo plays a critical role in transporting high-value and time-sensitive goods, including pharmaceuticals, electronics, perishables and express shipments.

Makreo Research estimates that India's air cargo and courier services market registered a revenue CAGR of approximately 1.30% during FY2023–FY2026E. This revenue-based measure differs from the projected growth in physical cargo volumes, reflecting distinct dimensions of the market's development.

Northern Region Leads the India Air Cargo and Courier Services Market -
According to Makreo Research, Northern India accounts for approximately 32.32% of the country's air cargo and courier services market revenue, supported by international freight connectivity, manufacturing clusters and e-commerce demand. Delhi Airport reinforces this position, handling around 0.63 million tonnes of cargo in H1 FY2027, up 12.2% year on year.

Cargo movement remains concentrated at major gateways. According to IATA, Delhi, Mumbai, Bengaluru and Chennai collectively handled around 80% of India's air cargo in 2024. Southern hubs are also expanding, with Hyderabad Airport handling approximately 102,000 tonnes in H1 FY2027, an increase of 5.8% year on year, supported by pharmaceuticals and other time-sensitive shipments.

This concentration creates opportunities for regional airport development, but additional infrastructure alone will not guarantee higher throughput. For airport operators and logistics investors, improving cargo capacity utilisation, regional connectivity and handling efficiency remains essential to capturing demand beyond established metropolitan gateways.

Pharmaceutical Exports Anchor International Air Freight Demand -
Pharmaceutical exports exceeded USD 30.5 billion in FY2026, and pharmaceuticals account for nearly 70% of outbound air cargo shipments. The United States and Europe are the main destination markets.

Hyderabad has become one of the region's leading gateways for pharmaceuticals and vaccines. In May 2026, it commissioned a second cargo terminal with a fully temperature-controlled pharmaceutical zone, an initial capacity of 50,000 tonnes and room to expand to 100,000 tonnes a year.

E-Commerce Extends Express Logistics Beyond the Metros -
India's domestic air cargo approached 1.5 million tonnes in FY2026, while Tier-II and Tier-III cities accounted for over 45% of online shopping demand, increasing the need for regional cargo connectivity and integrated air-road networks.

International express logistics remains export-oriented, with exports accounting for approximately 75–80% of shipments. By FY2026, daily export consignments reached around 45,000–48,000, compared with approximately 12,000 imports. Makreo Research estimates that technology-driven air freight and multimodal networks serving smaller cities could grow by over 20% annually.

Operator performance reflects broader express logistics momentum. Delhivery handled 325 million express parcels in Q2 FY2027, up 32% year on year, while Blue Dart reported 15% revenue growth and an 85% increase in profit after tax in Q1 FY2027.

New Airport Hubs and Logistics Investments Expand Air Cargo Capacity -
India requires over USD 170 billion in aviation investment through 2030, including USD 24 billion for airport expansion and USD 150 billion for aircraft orders. An additional INR 25,000 crore is expected in airport cargo infrastructure over the next five to seven years.
Key airport and company developments include:
• Noida International Airport began operations in June 2026, with an initial annual cargo capacity of 200,000 tonnes, expandable to 1.5 million tonnes.
• Navi Mumbai International Airport handled 11,853 tonnes of cargo during January–September 2026, including 6,477 tonnes of international freight.
• FedEx is developing a 300,000 sq ft automated hub at Navi Mumbai, backed by over INR 2,500 crore in long-term investment, alongside a USD 150 million Delhi facility designed to increase processing capacity from 600 to 5,000 packages per hour.
• Blue Dart Express opened a 250,000 sq ft multimodal logistics hub in Delhi in January 2025, capable of handling approximately 550,000 shipments daily.
• UPS SCS India nearly doubled Delhi–Cologne air cargo capacity in June 2025 by deploying a Boeing 747-8 freighter, strengthening India–Europe connectivity.

India Air Cargo and Express Logistics Market Outlook to 2031 -
India's next phase of air cargo growth will depend on converting infrastructure expansion into higher throughput. Airports will prioritise capacity utilisation and regional connectivity, while express integrators and freight forwarders focus on transshipment efficiency, automation and multimodal networks. Pharmaceutical and electronics exporters will continue driving demand for specialised cargo facilities and reliable international connectivity.

Makreo Research's India Air Cargo and Express Logistics Market and Forecast to 2031 provides an in-depth assessment of market size, cargo volumes, regional opportunities, infrastructure developments and the competitive landscape. Organisations evaluating market entry, network expansion or investment opportunities can also leverage Makreo's primary research and customised consulting services, including shipper surveys, route-level demand assessments, competitive benchmarking and airport cargo infrastructure feasibility studies.

Companies Covered in the India Air Cargo and Express Logistics Market -
• Blue Dart Express Limited
• DHL Express (India) Private Limited
• FedEx (India) Private Limited
• UPS SCS (India) Private Limited
The study covers a total of 12 India air cargo and express logistics market companies.

Explore Makreo Research logistics and warehousing market reports and consulting services for decision-ready insights into air cargo, express logistics and supply chain markets.

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Saurabh Adsule
Makreo Research and Consulting
+91 81088 68109