Express cargo drives growth trajectory

The future of Indian air cargo industry will be defined by the growing demand for express and time-definite services. What began as a specialised solution a decade ago, is now a mainstream necessity across sectors, such as pharma, healthcare, perishables, food, retail, and luxury. Demand for express deliveries is forcing LSPs to adopt innovative solutions to boost efficiency, which is the mantra for staying competitive. Speed, transparency, and sustainability will set the winners apart, making express air cargo not just an industry trend, but a strategic driver of India’s economic growth and global competitiveness.

Ritika Arora Bhola

India’s air cargo industry is undergoing a transformation. At the heart of this shift lies the rising demand for express and time-definite deliveries, which has increased tremendously in the past decade.

With rising exposure and internet penetration, especially in tier II and III cities, India’s economy is on a growth trajectory. Efficiency has also become the core differentiator for manufacturers, logistics service providers (LSPs), and retailers.

With this shift, consumers are conditioned to demand speed and certainty, and Indian air cargo has emerged as the most reliable mode of transport for time-sensitive goods and express deliveries. The growth of express services and the insistence on guaranteed timelines are reshaping cargo operational strategies and redefining the long-term trajectory of the industry in the country.

E-commerce explosion
The major factor driving this trend is the rise of e-commerce. Over the past decade, India has become one of the fastest-growing e-commerce markets in the world, driven by increased internet penetration, affordable smartphones, and digital payment adoption. Consumers now expect their orders to be delivered within a day or two, even when they are shipped across states. Companies, such as Amazon, Flipkart, Myntra, and other niche e-commerce platforms are demanding that logistics players compress delivery timelines, which, in turn, has elevated the role of air cargo. With the rise of same-day deliveries, and 10-minute deliveries introduced by Zepto and Blinkit, air express services have become the backbone of e-commerce fulfilment, during high-demand seasons such as festive sales or flash discount events, where millions of shipments are delivered within tight timelines.

Reliance on air freight
Supply chain globalisation has heightened the reliance on express air freight. With initiatives such as ‘Make in India’ and ‘Atmanirbhar Bharat’, India is positioning itself as a manufacturing hub and integrating more deeply into global supply chains. As MNCs establish or expand production bases in India, the demand for quick movement of raw materials, components, and finished products has surged. Industries such as electronics, semiconductors, pharma, automotive, and textiles are dependent on reliable and time-definite deliveries. In such sectors, delays of even a few hours can disrupt assembly lines or impact market launches, making air cargo a natural choice for maintaining efficiency and competitiveness.

Healthcare and pharma represent another dimension of this growth story. India is one of the largest producers of generic medicines and vaccines in the world. Its role became particularly prominent during the pandemic when India supplied life-saving vaccines to many nations. Time-definite and temperature-controlled air cargo services were indispensable to ensure these products reached their destinations within strict timelines and without damage.

The pandemic experience accelerated investments in specialised cold chain infrastructure at Indian airports and created long-term demand for express air cargo in healthcare logistics, a trend that shows no sign of slowing. This growing demand is forcing LSPs and airlines to reshape their delivery strategies. Cross-border trade is expected to surge in the coming years.

Role of airlines
Airlines have been gearing up to meet the increasing demand, recognising the profitability that comes with it. Carriers are increasing flight frequencies to support express services, and dedicated freighters have begun to emerge as a viable business model, supplementing the capacity of cargo carried in the bellies of pax airlines.

Logistics firms are investing in advanced infrastructure, from automated cargo terminals to dedicated express facilities at airports, such as Delhi, Mumbai, Hyderabad, and Bengaluru. These hubs are being developed along with streamlined customs processes, enhanced security systems, and digital tracking capabilities to accelerate cargo movement and time-definite deliveries.

Automation driving change
Digitalisation across the logistics chain is enabling end-to-end visibility, real-time shipment tracking, and predictive analytics to optimise routes and timelines. E-way bills, digital customs platforms, and paperless cargo documentation are reducing administrative delays. Industry players are deploying IoT-enabled devices and sensors to monitor cargo conditions, especially for pharmaceuticals and perishables. AI is being used to forecast demand surges during festive seasons, disruptions caused by weather, and infrastructure bottlenecks, helping logistics providers allocate resources more effectively. These tech innovations are strengthening customer trust and ensuring express delivery services are time-definite.

Govt initiatives, such as PMGS and NLP play a vital role in shaping air cargo as they have fostered development of multimodal logistics hubs, better air cargo infra and smoother integration between airports, highways, and ports. The government has prioritised faster customs clearance and improved security screening at airports to facilitate express shipments. By encouraging private sector participation in building cargo terminals and by promoting digitisation, and open sky policy, policymakers are enabling the industry to handle rising volumes of time-sensitive goods.

Bottlenecks
Capacity constraints remain an issue, particularly during peak demand, when volumes spike. Many airports in tier II and III cities still lack the specialised infrastructure required to process express cargo efficiently, limiting the reach of time-definite services beyond metros. There are environmental concerns also — the need for frequent short-haul flights to meet delivery commitments contribute to higher emissions. Addressing these challenges requires a mix of investment, innovation, and sustainability initiatives.

Despite these hurdles, opportunities outweigh the challenges. The express cargo segment in India is projected to grow at a faster rate than the broader logistics market, driven by sustained e-commerce growth, expanding manufacturing activity, and consumer expectations.

As regional consumption patterns evolve, there will be a surge in demand for express deliveries not just in metros but also in smaller towns and cities. This will prompt utilisation of regional airports, and integration of air cargo with road and rail networks for last-mile connectivity. Drones and electric aircraft are opening new avenues for efficiency and sustainability in the years to come by revolutionising short-haul and last-mile express deliveries.

Outlook
The future of the air cargo industry is moving along with the rise of express and time-definite services. What was once reserved exclusively for high-value shipments, has today evolved into a daily expectation, cutting across industries, and shaping consumer habits. In this fast-changing environment, success belongs to those who can move goods quickly, and do so with reliability, openness, and care for the planet. For India, the story goes beyond just logistics. The surge in express air cargo reflects a larger shift — one where speed, connectivity, and trust are becoming the backbone of our economy. It is not just a trend for the industry; it is a strategic edge for the country, helping businesses grow and consumers feel more connected than ever before. CARGOTALK discussed with industry experts if the express cargo industry will drive air cargo growth despite challenges and hurdles.

Demand for rush deliveries has risen
Keku Bomi Gazder, CEO & MD, Aviapro Logistic Services

As the e-commerce, healthcare logistics, and manufacturing sectors continue to expand, need for speed in shipments has intensified. Consumers and businesses now expect faster delivery timelines, within 24–72 hours and a surge in express air freight services. This demand prompts carriers and LSPs to invest in freighters and advanced tracking technologies and expand hub-and-spoke networks to enhance service efficiency and visibility. Integrators are expanding their global cargo networks, while carriers are converting passenger aircraft into freighters to meet short-term spikes.”

Express cargo is about reliability and visibility
Amit Maheshwari, Founder and CEO, Softlink Global

The demand for express and time-definite deliveries is redefining air cargo from being a capacity provider to becoming a time-critical solutions partner. Traditional cargo flows were planned weeks in advance, but today, customers expect near-instant fulfilment. This shift is forcing airlines, forwarders, and tech providers to invest in smarter networks, digital booking platforms, and AI route planning. Express cargo is no longer about speed — it is about reliability, predictability, and visibility. Time-definite logistics is becoming the engine that will push air cargo into an agile, tech-enabled future.”

Air cargo evolving into enabler of growth
Amit Tandon, CEO & MD, Asia Shipping India

The appetite for express and time-definite deliveries is reshaping the air cargo sector. In a digitised economy, air cargo is no longer a facilitator of global trade — it is the fulcrum upon which supply chain competitiveness rests. This demand is compelling carriers, forwarders, and integrators to invest in agile networks, advanced digital platforms, and predictive tech that guarantee reliability and speed. The result is a structural shift. Air cargo is evolving into an enabler of growth from pharma to high-value manufacturing. Express cargo is fuelling the industry’s role in the global economy.”

PPPs key to upgrading airports, logistics hubs
Afzal Malbarwala, Managing Director, Galaxy Freight

To develop cargo infra for Viksit Bharat 2047, govt policies must enable seamless multimodal transport, logistics digitisation, and green incentives. PPPs are key to upgrading airports, seaports, and logistics hubs. Digital platforms, such as ULIP can unify operations under one system. Streamlined land acquisition, automated customs, and single-window clearances, help build a faster, more sustainable logistics ecosystem in the future. Challenges include outdated infra, fragmented regulations, and weak first-and last-mile connectivity. Unlocking multimodal potential requires seamless integration, among others.”

Cargo sector explores greener aircraft, routes
Dilip Sahu, Director, EPS Worldwide Integrated Logistics

Airports are investing in express handling facilities, digitised customs clearance, and 24×7 border operations to support faster turnaround times. Airlines and logistics providers are deploying more freighters and converting pax aircraft to cargo use, especially on long-haul routes — Europe and North America. Predictive analytics, real-time tracking, and automated sorting systems are becoming standard to meet the precision required for time-definite deliveries. The cargo industry is exploring greener aircraft, optimised routing, and multimodal integration to balance speed along with sustainability.”

Focus on adopting latest tracking systems
Aditya Shah, Executive Director, V-Trans & CEO, V-Xpress

The rising demand for express and time-definite deliveries has elevated air cargo from being a transportation mode to an enabler of growth. Sectors, such as pharma, fashion, automotive, electronics, and FMCG depend on assured timelines and reliability. This has accelerated investments in automation, technology-led visibility, and multimodal integration to ensure speed with precision. Our focus was on building express networks, adopting advanced tracking systems, and ensuring faster turnaround across key lanes. The express ecosystem will continue to reshape customer expectations.”

GST reforms to boost festive consumption
Ketan Kulkarni, Managing Director, CEO Allcargo Gati and GESCPL

The surge in demand for express and time-definite deliveries is reshaping the logistics landscape. Now, customers are not only looking for speed but also end-to-end reliability, and this is where the express business comes into play. The rapid growth of e-commerce and cross-border trade have fuelled this demand, as businesses need predictable supply chain to reach customers across domestic and global markets. The recent GST reforms coupled with low inflation and favourable monsoon outlook, are set to boost discretionary consumption in this festive season.”

Time-sensitive deliveries, express cargo boost growth
Malcolm D’souza, COO, Airfreight, Jeena & Company

Time-definite and express demand is one of the biggest structural forces driving current air cargo growth — it is changing how airlines operate, how forwarders price and package services, how airports are utilised, and what customers expect from end-to-end logistics. Air cargo demand has rebounded post-pandemic, being driven largely by e-commerce, and time-sensitive shipments. Demand spikes from fast, low-cost e-commerce players have tightened capacity on key trade lanes, forcing rate and capacity allocation shifts. There has been a surge in demand for cold-chain pharma express shipments.”

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