India’s road logistics sector is poised for steady growth, with ICRA projecting revenue expansion of 8–10 per cent in FY2027, driven by economic activity and rising consumer demand. Strong momentum in the current year, including an 11.2 per cent YoY revenue increase among sample logistics firms in the first nine months of FY2026, reflects the positive impact of tax relief, interest rate cuts, and GST rationalisation on consumption and freight volumes. Key sectors benefiting include e-commerce, FMCG, retail, and industrial goods. However, ICRA cautions that global trade disruptions, geopolitical tensions, and rising fuel costs could pose downside risks, potentially dampening consumption and moderating sector growth. Overall, the outlook points to a resilient road logistics market, underpinned by policy support and steady domestic demand.
