Air cargo and logistics sector is demonstrating resilience and growth in 2026, adapting to global supply chain disruptions caused by West Asia tensions, while pursuing the goal of 10 MMT by 2030. Despite challenges, including higher air freight rates and longer routes, the country is positioning itself as a significant, high-value logistics hub. Demand is primarily driven by pharmaceuticals, electronics, and e-commerce, which require high-speed, predictable cargo flows.
Ritika Arora Bhola
At the same time, ongoing investments in airport infrastructure, expansion of freighter capacity, and improvements in multimodal connectivity are strengthening the ecosystem. New airports, such as Noida International Airport (NIA) and Navi Mumbai International Airport (NMIA), MMLPs, and freight terminals across India will continue to drive growth.
Initiatives, such as PM GatiShakti and the NLP are supporting integration and efficiency across the supply chain. However, the focus is shifting beyond metros. Tier II cities are emerging as critical nodes to decongest major gateways and unlock new demand. In parallel, adoption of digital processes ranging from paperless customs to real-time data exchange are helping reduce delays and improve visibility. While disruptions continue to test global logistics networks, the country’s coordinated push across infrastructure, policy, and technology is not only cushioning these shocks but also laying the groundwork for achieving the 10 MMT vision and reinforcing its role in time-sensitive international trade.
It seems, India’s ambition to reach 10 MMT by 2030 is no longer a distant vision — it is rapidly becoming a defining benchmark of logistics transformation. What emerges clearly is that this growth will not be driven by a single lever, but by a weaving together of infrastructure, policy, connectivity, and digital innovation.
Surge driven by demand
KK Agarwal, Vice Chairman & Managing Director, CJ Darcl Logistics, sees the 10 MMT goal as a reflection of deeper economic momentum across manufacturing, consumption, and global trade connections. As cargo demand patterns evolve, the need for a more integrated and responsive cargo ecosystem becomes significant. This shift is visible in sectors, such as electronics, pharmaceuticals, and e-commerce that demand speed, reliability, and precision. Expanding freighter capacity, Agarwal said, will be essential to support this shift as demand spreads beyond traditional metropolitan cities.
Reinforcing this optimism
Balagopal Balachandran, National Head, Air Freight, FEI Cargo, points out the country is already handling around 3.7 MMT per annum, with infrastructure capacity close to 8 million tonnes. With an expanding airport network and visible upgrades in air cargo facilities, the foundation for growth of the cargo sector is firmly in place.
Infrastructure drive
Vikram Mansukhani, Head, National Operations, Blue Dart, cautioning that infrastructure expansion alone will not deliver the 10 MMT milestone, said the real challenge lies in how efficiently cargo moves through the system. From expanding dedicated cargo terminals at major gateways to strengthening regional airport capabilities, the physical backbone must evolve — equally important is landside connectivity. In many cases, the bottleneck is not aircraft capacity, but the speed and efficiency with which cargo enters and exits airport ecosystems.
Amit Maheshwari, Founder and CEO, Softlink Global, points out that the air cargo limitations are rooted more on the ground than in the air. Without cargo-centric airport design, faster airside-to-landside transfers, and surface connectivity, the advantages of air transport are eroded.
Seamless connectivity
Across all perspectives, one theme stands out — connectivity. Agarwal highlights the urgent need to integrate air cargo seamlessly with road and rail networks, enabling faster turnaround times and international supply chain predictability.
Echoing this, Ketan Kulkarni, MD and CEO, Allcargo Logistics, stressed multimodal connectivity — connecting air with road, rail, and ports — will be critical to improve hinterland access and reduce transit times. Without this integration, cargo growth risks will be accumulated in metro hubs, leading to congestion and inefficiencies.
Balachandran added this imbalance is already visible, with cargo flow skewed in major cities. Developing regional cargo nodes and strengthening tier II airports are essential to distribute volumes evenly and create a more resilient logistics network.
Digital literacy
If connectivity is the backbone, digitalisation is the system of the future air cargo ecosystem. Mansukhani said reliance on manual processes across airlines, ground handlers, customs, and logistics providers was a major constraint.
The shift toward real-time data exchange, paperless documentation, and integrated cargo community systems can improve throughput and reduce dwell times. Agreeing, Maheshwari emphasised that digital infrastructure, such as pre-clearance systems, e-AWB adoption, and single-window processing, can unlock capacity without the need for large-scale physical expansion.
Kulkarni sees digital platforms as key to enhancing visibility, reducing bottlenecks, and enabling smoother cross-border cargo flow — essential if India is to position itself as a global transshipment hub.
Policy push
Policy support is providing a tailwind to this transformation. Kulkarni highlights removal of customs duties on aircraft components and MRO inputs in Union Budget 2026–27 will improve cost competitiveness and strengthen domestic capabilities.
Pointing to initiatives, such as PMGS and the NLP, as important enablers, Mansukhani said faster and more consistent execution will determine their real impact.
Meanwhile, Balachandran drew attention to the role of global trade dynamics. Free trade agreements (FTAs) with the EU and the UK will unlock volumes of high-value, time-sensitive cargo — accelerating growth and strengthening India’s integration into global supply chains.
Beyond metros
A concern among industry leaders is the overreliance on metro hubs. While cities, such as Delhi, Mumbai, Hyderabad and Bengaluru have seen progress, the next phase of growth must come from tier II markets. In this regard, he said newly opened NIA and NMIA would drive growth and ease congestion at the major gateways.
Maheshwari asserted the need to alter these cities into cargo gateways, not just passenger hubs. Kulkarni averred expanding into these regions will not only unlock new demand but also create more distributed and resilient supply chains.
At the same time, investments in specialised infrastructure, such as cold chain facilities for pharmaceuticals and perishables, will be essential to support high-value cargo segments likely to drive future growth.
Outcome
The consensus is clear: India does not need a reset, it needs acceleration. The building blocks are in place — from infrastructure capacity and policy frameworks to growing demand and private sector participation. What will determine success is how well these elements come together. As Agarwal said a coordinated approach to infrastructure, connectivity, and implementation will help achieve 10 MMT ambition and strengthen India’s position in time-sensitive global trade. The challenge now in the plan’s execution — aligning policies, fortifying infrastructure.
