India Air Cargo Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)
Description
The India air cargo market size reached around USD 13.44 Billion in 2024. The market is projected to grow at a CAGR of 5.80% between 2025 and 2034 to reach nearly USD 23.62 Billion by 2034. The market growth can be attributed to India’s export potential, the expansion of the logistics sectors, increasing investments in modernising airport infrastructure, and the rising volume of international trade.
India Air Cargo Market Report Summary
Description
Value
Base Year
USD Billion
2024
Historical Period
USD Billion
2018-2024
Forecast Period
USD Billion
2025-2034
Market Size 2024
USD Billion
13.44
Market Size 2034
USD Billion
23.62
CAGR 2018-2024
Percentage
XX%
CAGR 2025-2034
Percentage
5.80%
CAGR 2025-2034 - Market by Region
West and Central India
6.6%
CAGR 2025-2034 - Market by Region
East India
6.2%
CAGR 2025-2034 - Market by Service
Express
6.9%
CAGR 2025-2034 - Market by Destination
Domestic
6.3%
Market Share by Region 2024
South India
22.3%
India Air Cargo Market Growth
In 2023, the volume of domestic cargo transported by scheduled airlines totalled around 698 TMT. This was attributed to the growth of both dedicated freights transported by specialised planes and belly cargo transported by passenger aircraft. By 2030, the volume of air cargo is expected to rise to 10 million tons. This has prompted India’s Ministry of Civil Aviation to bolster its infrastructure development efforts, alongside the Airports Authority of India (AAI). Ongoing government efforts for infrastructure development and the creation of new air cargo terminals, including dedicated, integrated, and multimodal facilities, are bolstering the India air cargo market development.
By 2030, the e-commerce industry is expected to attain a size of USD 350 billion in India, which can expedite the demand for efficient and swift air cargo delivery services. Besides, as India bolsters its domestic vaccine and generic drug production capabilities, its pharmaceutical exports are expected to rise steadily. By 2030, the India pharmaceuticals industry is expected to reach a size of USD 130 billion, which is expected to increase the India air cargo market revenue in the coming years. Moreover, the growth of India’s agricultural sector is expected to surge the exports of fresh fruits and vegetables, thereby driving the market growth.
Key Trends and Developments
Modernisation of airport infrastructure; increasing focus on cold chain logistics; improving turnaround times; and rising smartphone exports are the major factors favouring the India air cargo market growth.
November 2024
FedEx introduced a new air cargo transportation route between Bangalore and Guangzhou to capitalise on the increasing volume of trade between India and China by operating 5 times weekly and reduce transit times on its popular routes.
July 2024
Pradhaan Express Air, India’s first dedicated air cargo carrier, launched its maiden flight services for the transportation of essential pharmaceutical products between Mumbai and Tashkent (Uzbekistan). Through this, the air cargo carrier aims to position India as a dominant player in the air cargo sector and strengthen the country’s pharmaceutical reputation.
January 2023
Amazon.com Inc. launched Amazon Air, a dedicated air cargo service by introducing two dedicated cargo aircraft with a capacity of 20,000 packages. This is expected to reduce its parcel delivery time to a maximum 2 days across 4 cities, thereby enabling it to cut costs and improve customer satisfaction. This is favourably shaping the India air cargo market dynamics.
April 2021
SpiceXpress, commonly known as SpiceJet’s cargo division, launched a new service for the Mumbai-Delhi-Bangkok route on the Boeing 737-800F aircraft for the smooth transportation of automotive parts, perishables, and electronic devices between Thailand and India.
Moderni airport infrastructure
Many Indian international airports, such as those based in Mumbai and Bangalore, are focusing on increasing their cargo handling capacity. For instance, Kempegowda International Airport (Bangalore) is planning to expand its cargo handling capacity from 420,000 tons to 500,000 tons.
Increasing focus on cold chain logistics
With rising demand for temperature-sensitive goods such as pharmaceuticals, perishable foods, and fresh produce, Indian air cargo operators are investing in advanced refrigeration, tracking systems, and specialised containers. This is one of the key India air cargo market trends which not only supports the growing pharmaceutical and agriculture exports but also positions India as a reliable player in the global cold chain market.
Improving turnaround times
India’s air cargo sector constitutes a 10% share in domestic carriers’ revenues. To further boost their international competitiveness and consumer appeal, major companies are focusing on reducing their turnaround times for air cargo, which is creating a favourable market outlook.
Rising smartphone exports
India Air Cargo Market Trends
Soaring commercial end uses of air cargo
Commercial end use of air cargo dominates the market landscape, which can be attributed to rapid industrial development and expansion of the retail sector. Improvements in supply chain efficiency have fuelled the demand for air cargo services from various commercial sectors including trade and logistics. This is one of the key India air cargo market trends.
Expansion of Indira Gandhi International Airport’s infrastructure
In 2024, Indira Gandhi International Airport (of Delhi) handled a massive cargo volume of over 900,000 tons in February 2024. It is making substantial investments to further increase their cargo handling capabilities and streamline its operations, including the installation of 28 dual-view X-ray machines to ensure secure transportation of international general cargo. This is expected to lead to India air cargo market expansion. Furthermore, the IGIA has a capacity of handling 1.8 million tons, which can be expanded to over 2.5 million tons. This positions it as one of the leading airports equipped to handle the increasing volumes of air cargo.
India Air Cargo Industry Segmentation
The EMR’s report titled “India Air Cargo Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:
Breakup by Service
Based on region, the market is segmented into East India, West and Central India, North India, and South India. Over the forecast period of 2025-2034, West and Central India is estimated to grow at a CAGR of 6.6% due to the expansion of its existing cargo handling capacities. East India is expected to register a CAGR of 6.2% due to the establishment of new airport infrastructure.
Based on service, the market is divided into mail, freight, and express. The India air cargo market analysis suggests that the demand for express is expected to grow at a CAGR of 6.9% between 2025 and 2034 due to the growth of e-commerce industry and the increasing demand for reliable shipping solutions for the transportation of fresh fruits and vegetables.
Leading Companies in the India Air Cargo Market
Major market players are expanding their air cargo networks and improving infrastructure to drive growth. By bolstering investments in automation solutions and advanced tracking systems, companies are also enhancing customer experience and operational efficiency, thereby driving the India air cargo market expansion.
Blue Dart Express Limited
Blue Dart Express Limited was founded in 1983 and is headquartered in Mumbai, Maharashtra. It is regarded as one of South Asia's most premier logistics company, which offers reliable and secure delivery of various consignments across 56,000 locations in India and 220 countries worldwide.
FedEx Corp.
FedEx Corp. was incorporated in 1971 and is headquartered in Tennessee, United States. It is a freight company that transports around 14.5 million packages daily.
Delhivery Limited
Delhivery Limited was founded in 2011 and is headquartered in Gurugram, Haryana. It is India’s biggest 100% integrated logistics services providing company. It specialises in providing storage solutions and supply chain management services for cargo.
A.P. Moller – Maersk
A.P. Moller – Maersk was founded in April 1904 and is headquartered in Denmark. It is an integrated transportation and logistics company with operations in over 125 countries.
Other players included in the India air cargo market report are Deutsche Post AG, DB Schenker, CEVA Logistics, DSV A/S, United Parcel Service of America, Inc., and NIPPON EXPRESS HOLDINGS, INC., among others.
India Air Cargo Market Report Summary
Description
Value
Base Year
USD Billion
2024
Historical Period
USD Billion
2018-2024
Forecast Period
USD Billion
2025-2034
Market Size 2024
USD Billion
13.44
Market Size 2034
USD Billion
23.62
CAGR 2018-2024
Percentage
XX%
CAGR 2025-2034
Percentage
5.80%
CAGR 2025-2034 - Market by Region
West and Central India
6.6%
CAGR 2025-2034 - Market by Region
East India
6.2%
CAGR 2025-2034 - Market by Service
Express
6.9%
CAGR 2025-2034 - Market by Destination
Domestic
6.3%
Market Share by Region 2024
South India
22.3%
India Air Cargo Market Growth
In 2023, the volume of domestic cargo transported by scheduled airlines totalled around 698 TMT. This was attributed to the growth of both dedicated freights transported by specialised planes and belly cargo transported by passenger aircraft. By 2030, the volume of air cargo is expected to rise to 10 million tons. This has prompted India’s Ministry of Civil Aviation to bolster its infrastructure development efforts, alongside the Airports Authority of India (AAI). Ongoing government efforts for infrastructure development and the creation of new air cargo terminals, including dedicated, integrated, and multimodal facilities, are bolstering the India air cargo market development.
By 2030, the e-commerce industry is expected to attain a size of USD 350 billion in India, which can expedite the demand for efficient and swift air cargo delivery services. Besides, as India bolsters its domestic vaccine and generic drug production capabilities, its pharmaceutical exports are expected to rise steadily. By 2030, the India pharmaceuticals industry is expected to reach a size of USD 130 billion, which is expected to increase the India air cargo market revenue in the coming years. Moreover, the growth of India’s agricultural sector is expected to surge the exports of fresh fruits and vegetables, thereby driving the market growth.
Key Trends and Developments
Modernisation of airport infrastructure; increasing focus on cold chain logistics; improving turnaround times; and rising smartphone exports are the major factors favouring the India air cargo market growth.
November 2024
FedEx introduced a new air cargo transportation route between Bangalore and Guangzhou to capitalise on the increasing volume of trade between India and China by operating 5 times weekly and reduce transit times on its popular routes.
July 2024
Pradhaan Express Air, India’s first dedicated air cargo carrier, launched its maiden flight services for the transportation of essential pharmaceutical products between Mumbai and Tashkent (Uzbekistan). Through this, the air cargo carrier aims to position India as a dominant player in the air cargo sector and strengthen the country’s pharmaceutical reputation.
January 2023
Amazon.com Inc. launched Amazon Air, a dedicated air cargo service by introducing two dedicated cargo aircraft with a capacity of 20,000 packages. This is expected to reduce its parcel delivery time to a maximum 2 days across 4 cities, thereby enabling it to cut costs and improve customer satisfaction. This is favourably shaping the India air cargo market dynamics.
April 2021
SpiceXpress, commonly known as SpiceJet’s cargo division, launched a new service for the Mumbai-Delhi-Bangkok route on the Boeing 737-800F aircraft for the smooth transportation of automotive parts, perishables, and electronic devices between Thailand and India.
Moderni airport infrastructure
Many Indian international airports, such as those based in Mumbai and Bangalore, are focusing on increasing their cargo handling capacity. For instance, Kempegowda International Airport (Bangalore) is planning to expand its cargo handling capacity from 420,000 tons to 500,000 tons.
Increasing focus on cold chain logistics
With rising demand for temperature-sensitive goods such as pharmaceuticals, perishable foods, and fresh produce, Indian air cargo operators are investing in advanced refrigeration, tracking systems, and specialised containers. This is one of the key India air cargo market trends which not only supports the growing pharmaceutical and agriculture exports but also positions India as a reliable player in the global cold chain market.
Improving turnaround times
India’s air cargo sector constitutes a 10% share in domestic carriers’ revenues. To further boost their international competitiveness and consumer appeal, major companies are focusing on reducing their turnaround times for air cargo, which is creating a favourable market outlook.
Rising smartphone exports
India Air Cargo Market Trends
Soaring commercial end uses of air cargo
Commercial end use of air cargo dominates the market landscape, which can be attributed to rapid industrial development and expansion of the retail sector. Improvements in supply chain efficiency have fuelled the demand for air cargo services from various commercial sectors including trade and logistics. This is one of the key India air cargo market trends.
Expansion of Indira Gandhi International Airport’s infrastructure
In 2024, Indira Gandhi International Airport (of Delhi) handled a massive cargo volume of over 900,000 tons in February 2024. It is making substantial investments to further increase their cargo handling capabilities and streamline its operations, including the installation of 28 dual-view X-ray machines to ensure secure transportation of international general cargo. This is expected to lead to India air cargo market expansion. Furthermore, the IGIA has a capacity of handling 1.8 million tons, which can be expanded to over 2.5 million tons. This positions it as one of the leading airports equipped to handle the increasing volumes of air cargo.
India Air Cargo Industry Segmentation
The EMR’s report titled “India Air Cargo Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:
Breakup by Service
- Freight
- Express
- Domestic
- International
- Private
- Commercial
- East India
- West and Central India
- North India
- South India
Based on region, the market is segmented into East India, West and Central India, North India, and South India. Over the forecast period of 2025-2034, West and Central India is estimated to grow at a CAGR of 6.6% due to the expansion of its existing cargo handling capacities. East India is expected to register a CAGR of 6.2% due to the establishment of new airport infrastructure.
Based on service, the market is divided into mail, freight, and express. The India air cargo market analysis suggests that the demand for express is expected to grow at a CAGR of 6.9% between 2025 and 2034 due to the growth of e-commerce industry and the increasing demand for reliable shipping solutions for the transportation of fresh fruits and vegetables.
Leading Companies in the India Air Cargo Market
Major market players are expanding their air cargo networks and improving infrastructure to drive growth. By bolstering investments in automation solutions and advanced tracking systems, companies are also enhancing customer experience and operational efficiency, thereby driving the India air cargo market expansion.
Blue Dart Express Limited
Blue Dart Express Limited was founded in 1983 and is headquartered in Mumbai, Maharashtra. It is regarded as one of South Asia's most premier logistics company, which offers reliable and secure delivery of various consignments across 56,000 locations in India and 220 countries worldwide.
FedEx Corp.
FedEx Corp. was incorporated in 1971 and is headquartered in Tennessee, United States. It is a freight company that transports around 14.5 million packages daily.
Delhivery Limited
Delhivery Limited was founded in 2011 and is headquartered in Gurugram, Haryana. It is India’s biggest 100% integrated logistics services providing company. It specialises in providing storage solutions and supply chain management services for cargo.
A.P. Moller – Maersk
A.P. Moller – Maersk was founded in April 1904 and is headquartered in Denmark. It is an integrated transportation and logistics company with operations in over 125 countries.
Other players included in the India air cargo market report are Deutsche Post AG, DB Schenker, CEVA Logistics, DSV A/S, United Parcel Service of America, Inc., and NIPPON EXPRESS HOLDINGS, INC., among others.
Table of Contents
118 Pages
- 1 Executive Summary
- 1.1 Market Size 2024-2025
- 1.2 Market Growth 2025(F)-2034(F)
- 1.3 Key Demand Drivers
- 1.4 Key Players and Competitive Structure
- 1.5 Industry Best Practices
- 1.6 Recent Trends and Developments
- 1.7 Industry Outlook
- 2 Market Overview and Stakeholder Insights
- 2.1 Market Trends
- 2.2 Key Verticals
- 2.3 Key Regions/Countries
- 2.4 Supplier Power
- 2.5 Buyer Power
- 2.6 Key Market Opportunities and Risks
- 2.7 Key Initiatives by Stakeholders
- 3 Economic Summary
- 3.1 GDP Outlook
- 3.2 GDP Per Capita Growth
- 3.3 Inflation Trends
- 3.4 Democracy Index
- 3.5 Gross Public Debt Ratios
- 3.6 Balance of Payment (BoP) Position
- 3.7 Population Outlook
- 3.8 Urbanisation Trends
- 4 Country Risk Profiles
- 4.1 Country Risk
- 4.2 Business Climate
- 5 Asia Pacific Air Cargo Market Overview
- 5.1 Key Industry Highlights
- 5.2 Asia Pacific Air Cargo Historical Market (2018-2024)
- 5.3 Asia Pacific Air Cargo Market Forecast (2025-2034)
- 6 India Air Cargo Market Overview
- 6.1 Key Industry Highlights
- 6.2 India Air Cargo Historical Market (2018-2024)
- 6.3 India Air Cargo Market Forecast (2025-2034)
- 7 India Air Cargo Market by Service
- 7.1 Freight
- 7.1.1 Historical Trend (2018-2024)
- 7.1.2 Forecast Trend (2025-2034)
- 7.2 Express
- 7.2.1 Historical Trend (2018-2024)
- 7.2.2 Forecast Trend (2025-2034)
- 7.3 Mail
- 7.3.1 Historical Trend (2018-2024)
- 7.3.2 Forecast Trend (2025-2034)
- 8 India Air Cargo Market by Destination
- 8.1 Domestic
- 8.1.1 Historical Trend (2018-2024)
- 8.1.2 Forecast Trend (2025-2034)
- 8.2 International
- 8.2.1 Historical Trend (2018-2024)
- 8.2.2 Forecast Trend (2025-2034)
- 9 India Air Cargo Market by End Use
- 9.1 Private
- 9.1.1 Historical Trend (2018-2024)
- 9.1.2 Forecast Trend (2025-2034)
- 9.2 Commercial
- 9.2.1 Historical Trend (2018-2024)
- 9.2.2 Forecast Trend (2025-2034)
- 10 India Air Cargo Market by Region
- 10.1 East India
- 10.1.1 Historical Trend (2018-2024)
- 10.1.2 Forecast Trend (2025-2034)
- 10.2 West and Central India
- 10.2.1 Historical Trend (2018-2024)
- 10.2.2 Forecast Trend (2025-2034)
- 10.3 North India
- 10.3.1 Historical Trend (2018-2024)
- 10.3.2 Forecast Trend (2025-2034)
- 10.4 South India
- 10.4.1 Historical Trend (2018-2024)
- 10.4.2 Forecast Trend (2025-2034)
- 11 Market Dynamics
- 11.1 SWOT Analysis
- 11.1.1 Strengths
- 11.1.2 Weaknesses
- 11.1.3 Opportunities
- 11.1.4 Threats
- 11.2 Porter’s Five Forces Analysis
- 11.2.1 Supplier’s Power
- 11.2.2 Buyer’s Power
- 11.2.3 Threat of New Entrants
- 11.2.4 Degree of Rivalry
- 11.2.5 Threat of Substitutes
- 11.3 Key Indicators of Demand
- 11.4 Key Indicators of Price
- 12 Competitive Landscape
- 12.1 Supplier Selection
- 12.2 Key Global Players
- 12.3 Key Regional Players
- 12.4 Key Player Strategies
- 12.5 Company Profile
- 12.5.1 Blue Dart Express Limited
- 12.5.1.1 Company Overview
- 12.5.1.2 Product Portfolio
- 12.5.1.3 Demographic Reach and Achievements
- 12.5.1.4 Certifications
- 12.5.2 Deutsche Post AG
- 12.5.2.1 Company Overview
- 12.5.2.2 Product Portfolio
- 12.5.2.3 Demographic Reach and Achievements
- 12.5.2.4 Certifications
- 12.5.3 DB Schenker
- 12.5.3.1 Company Overview
- 12.5.3.2 Product Portfolio
- 12.5.3.3 Demographic Reach and Achievements
- 12.5.3.4 Certifications
- 12.5.4 CEVA Logistics
- 12.5.4.1 Company Overview
- 12.5.4.2 Product Portfolio
- 12.5.4.3 Demographic Reach and Achievements
- 12.5.4.4 Certifications
- 12.5.5 DSV A/S
- 12.5.5.1 Company Overview
- 12.5.5.2 Product Portfolio
- 12.5.5.3 Demographic Reach and Achievements
- 12.5.5.4 Certifications
- 12.5.6 FedEx Corp.
- 12.5.6.1 Company Overview
- 12.5.6.2 Product Portfolio
- 12.5.6.3 Demographic Reach and Achievements
- 12.5.6.4 Certifications
- 12.5.7 United Parcel Service of America, Inc.
- 12.5.7.1 Company Overview
- 12.5.7.2 Product Portfolio
- 12.5.7.3 Demographic Reach and Achievements
- 12.5.7.4 Certifications
- 12.5.8 NIPPON EXPRESS HOLDINGS, INC.
- 12.5.8.1 Company Overview
- 12.5.8.2 Product Portfolio
- 12.5.8.3 Demographic Reach and Achievements
- 12.5.8.4 Certifications
- 12.5.9 Delhivery Limited
- 12.5.9.1 Company Overview
- 12.5.9.2 Product Portfolio
- 12.5.9.3 Demographic Reach and Achievements
- 12.5.9.4 Certifications
- 12.5.10 A.P. Moller - Maersk
- 12.5.10.1 Company Overview
- 12.5.10.2 Product Portfolio
- 12.5.10.3 Demographic Reach and Achievements
- 12.5.10.4 Certifications
- 12.5.11 Others
Pricing
Currency Rates
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