India’s struggle to emerge as a developed nation by 2047 comes amid a world beset with disruptions. These interruptions are pushing India to speed up reforms and position itself as a resilient growth country. On its path to becoming Viksit Bharat, the country is forging ahead through policy measures, digital transformation, green energy investments and inclusive development strategies.
Ritika Arora Bhola
India’s vision of becoming a developed nation by 2047 comes at a time when the world is struggling with multiple global disruptions — the ongoing tariff war, Iran–Israel and Russia–Ukraine conflicts disrupting supply chains, geopolitical conflicts and economic slowdown spread chaos among cargo agents.
Battling disruptions, India has come a long way — turning challenges into opportunities by using them as catalysts for structural reforms, digital adoption and supply chain realignment — on its journey towards becoming Viksit Bharat. In recent weeks, the Prime Minister of India has taken many bold decisions to put the country ‘first’ and protect the interests of its people. When Donald Trump, President of the USA, tried to disrupt Indo–US trade flows by imposing 50 per cent tariff on Indian exports to the USA, India responded with ‘export diversification measures,’ bilateral trade agreements (the latest one being the India–UK FTA), manufacturing policies, such as the Production Linked Incentive schemes and PPPs.
Partnerships such as the India–UAE CEPA and negotiations with the European Union are reducing dependency on single markets. The PLI schemes in electronics, semiconductors, pharmaceuticals and renewable energy are helping India substitute critical imports and position India as a hub for the resilient supply chains.
Initiatives such as PMGS and NLP have set an example for the world. They help reduce dependence on some markets and boost India’s self-reliance in sectors, such as electronics, semiconductors and defence, pharma and agriculture. Investments in SEZs, road and rail freight corridors, MMLPs, NHs and airports with advanced cargo terminals have contributed to the overall economic growth.
When the wars and geopolitical tensions reshaped the global supply chains,
India stayed resilient through initiatives such as Make in India, Atmanirbhar Bharat, PMGS and NLP. MNCs, which are adopting the China+1 strategy, are looking at India as an emerging preferred alternative manufacturing hub.
Strategic investments in industrial corridors, smart coordination and port modernisation strengthen its role in the global trade. Slowdown in major economies in EU and the Middle East has created uncertainty, but India’s global and domestic growth has remained strong. Investments in infrastructure and latest technologies are driving inclusive growth. India is building human capital that can withstand external shocks by focusing on upskilling, expanding healthcare through Ayushman Bharat and mobilising rural entrepreneurship.
Also, India’s role in global climate commitments, leadership in the International Solar Alliance (ISA)and push for green hydrogen highlights its commitment for sustainable and resilient development.
Bottlenecks
Despite being on the fast-track, the sector continues to face challenges, which hit efficiency and global competitiveness. The major hurdle is high logistics costs — currently estimated between 13 and 14 per cent of GDP compared to 8–9 per cent in developed nations. Infra, skill gaps and congestion at airports and ports (especially during peak season) slows down tech adoption.
The sector is highly fragmented — with unorganised players running the show, who lack scale and tech adoption. Most MSMEs are lagging in adopting AI, IoT and automation due to high operating costs. Regulatory complexities, delays in customs and bottlenecks in last-mile delivery in urban areas and sustainability add more pressure. Global disruptions, such as container shortages, fluctuating freight rates and geopolitical tensions, make the sector vulnerable to external shocks. Addressing these bottlenecks is critical for India’s ambition to emerge as a logistics powerhouse and achieve the vision of Viksit Bharat 2047.
Outlook
Though the path to Viksit Bharat is full of international headwinds, India’s strategy is one of adaptation and opportunity. By diversifying trade, investing in resilient infra, upskilling, embracing digital governance and leading on sustainability, India is turning disruptions into stepping stones. If one were to look at the past few years, global shocks have not derailed India’s journey — they have only strengthened it. By balancing growth with inclusion, resilience with reform and ambition with sustainability, India is steadily moving toward its goal — to stand not just as the world’s largest democracy, but as a fully developed and self-reliant Viksit Bharat by 2047. One thing is plain: India has a clear strategy — leveraging its demographic dividend, resilient economy and policy-driven reforms to march steadily on the path of 2047.
CARGOTALK talks with industry leaders about the progress and challenges in the air cargo and logistics sector.
Future ready cargo ecosystem crucial
Ketan Kulkarni, MD & CEO, Allcargo GATI & GESCPL
As India charts its course towards Viksit Bharat 2047 vision and the projected US$ 7 trillion economy by 2030, creating a future-ready cargo and logistics ecosystem will be critical to power this transformation. Initiatives such as NLP and PMGS for multimodal connectivity are laying the foundation for seamless integration across transport modes, enhancing efficiency and reducing logistics costs. The sector must embrace digitalisation to foster PPPs, invest in green logistics. Enhanced infra, supported by unified digital platforms and advanced technologies, can unlock transparency.”
Need for logistics parks, digital infrastructure
Amit Tandon, CEO and MD, Asia Shipping
For developing next gen cargo infrastructure, though NLP and PMGS offer the right frameworks, the real impact will come from better coordination across ministries and faster approvals for private investments. We need modern PPP models that address financing risks, promote co-development of logistics parks, inland terminals and digital infrastructure. Incentivising sustainability and automation will align us with global supply chain standards. Legacy systems, regulatory overlaps and inconsistent digital adoption continue to progress slowly. First and last-mile integration is also patchy.”
Next leap needs multimodal integration
Anish Kumar Jha, MD, Kuehne+Nagel, India, Sri Lanka & the Maldives
Through initiatives, such as Bharatmala, Sagarmala, PMGS and DFCs, India has laid the foundation. The next leap requires tighter multimodal integration, faster digital interoperability and real-time visibility. PPPs will be key in upgrading logistics parks, standardising service quality and enabling seamless intermodal transfers. Single-window clearances, PPP investments and ULIP can accelerate progress. Efficiency will get a boost through incentives for sustainable logistics, EVs and upskilling. Freight corridors and port-led growth have enhanced cargo flow, laying a foundation for efficient logistics.”
PPPs crucial to upgrade airports & ports
S Hari, CEO, OneAvia Services
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 and 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.”
Training of workforce to optimise operations
Sunil Kohli, MD, Rahat Cargo
To step towards developing a next gen cargo infra, there is a need for initiatives regarding integrated logistics systems. These include investing in training and upskilling of logistics workforce for optimising ops, adopting new tech, apart from attracting private investments and PPPs as these can play a vital role in mobilising private capital for ports, highways and logistics parks. Private partners bring innovative tech and know-how to improve project design and operational modalities. The govt has initiated progressive schemes such as Sagarmala, Bharatmala and UDAN to boost regional connectivity.”
Firms should adopt technology to survive
Amit Maheshwari, Founder & CEO, Softlink Global
The ongoing supply chain shocks, geopolitical tensions and tariff escalations have pushed the world toward regionalisation. India’s Vocal for Local and Make in India initiatives are levers for resilience. Indian manufacturers and exporters will need to adapt to improve product quality, scale up infra and embrace tech. This shift is less about self-reliance in isolation and more about strengthening India’s role as a dependable node in the global value chain. From factory automation to digital logistics platforms that unify documentation and tech-led efficiency will define who thrives in the new era.”
US tariffs to hit jewellery, precious stones’ exports
Praveen Manoharran, MD & CEO, Breezonica Logistics & Warehousing LLP
The impact will be on jewellery and precious stones as they come under luxury segment. Pharma and electronics are exempt from the US tariffs. This was evident in the PM’s pitch at Surat, which is the top exporter to USA. The major export sectors from India to the America are jewellery, precious stones, pharma and electronics. The Vocal for Local pitch will impact FMCG, QSR, liquor, dairy and cosmetics wherein the USA firms have a major market share in India. The Vocal for Local pitch will exert pressure on the US companies in the above segments. Tariffs will also pressurise agri exports.”
Govt slogans are engines of resilience, growth
Balagopal Balachandran, National Head, Air Freight, FEI Cargo
In a world of inreasing tariffs, trade wars, geopolitical conflicts and fragile supply chain, India’s Vocal for Local and Make in India initiatives have become more than policy slogans. They are engines of resilience and growth. India’s entrepreneurial spirit offers an edge — ability to turn challenges into opportunity. The new era of manufacturing is not about making in India, but about making Indian goods world class. The message is loud and clear: The future of Indian manufacturing is not just about making in India, it is about making in India for India and the world.”
Govt-industry collab to ensure policy stability
CK Govil, President, ACAAI
The industry’s ability to cope with this shift will hinge on agility, collaboration and investment in capacity. With tariff wars and supply chain disruptions pushing the costs up and creating uncertainty — Vocal for Local and Make in India offer a challenge and an opportunity. Manufacturers and cargo agents will need to re-engineer sourcing strategies, diversify supply chains and scale up domestic manufacturing to reduce import dependence. While short-term pain is inevitable due to higher costs and adaptation time in medium to long-term, the shift could fortify India’s manufacturing ecosystem, boost exports and create trade pathways.”
Increased cargo flow to benefit logistics
Vaibhav Vohra, Managing Director Continental Carriers
Vocal for Local and Make in India initiatives amid global disruptions and tariff wars are set to reshape trade movement and supply chains. As the manufacturing sector shifts domestically, demand for integrated logistics, warehousing and multimodal connectivity will surge forward. Forwarders will adapt by strengthening domestic supplier networks, investing in technology for real-time visibility and enhancing cold chain and value-added services. While infra gaps and transition costs continue to be constraints, the logistics industry can capitalise on increased cargo movement, regional manufacturing hubs and export opportunities.”
Regulatory mess complicates customs
Dilip Sahu, Director, EPS Worldwide Integrated Logistics
Modernising multimodal logistics for future-readiness faces many challenges, infra fragmentation remains a barrier: ports, rail, road and air systems are developed in silos, lacking physical and digital integration. Data interoperability is limited, different operators use proprietary platforms, preventing real-time cargo visibility across modes. Regulatory misalignment across regions complicates customs, safety standards and cross-border flows. Sustainability pressures demand adoption of electric trucks, green fuel and low emission infra, but high cost and limited charging/refuelling networks slow down progress.”
Policies strengthen multimodal integration
Mahendra Shah, CMD, V Trans
The next gen cargo ecosystem requires policies that strengthen multimodal integration, promote digital adoption and speed up infrastructure through public-private partnerships. Incentives for green logistics, unified digital platforms for cargo visibility and investment in warehousing and last-mile connectivity will be crucial. PMGS is a promising step, but collaboration between policymakers and industry players is essential. The challenges lie in fragmented infrastructure, lack of seamless digital interoperability and need for skill development.”
Limited willingness to pay for innovation
Ramanathan Rajamani CEO, AISATS
Despite progress, India’s multimodal logistics faces gaps in first- and last-mile connectivity, fragmented infra and regulatory environments across states. Tech adoption, workforce readiness and sustainability compliance remain critical, requiring coordinated action. Another challenge is the limited willingness to pay for innovation, while modern solutions are available, many stakeholders continue to default to legacy methods under the perception that they are cheaper. This disorganised sector slows down progress and stresses commercial models aligned with future-ready operations.”
