India’s air freight sector is riding a surge in premium shipments overseas, led by pharmaceuticals and smartphones, as exporters prioritise reliability and speed over costs in a world where unpredictable tariffs have spawned multiple trade barriers. Airports Authority of India (AAI) data show international freight traffic rose 4.1%, domestic 5.9%, and total freight 4.8% between April and September in FY26, compared with the previous year. This comes at a time when the World Bank, in June, cut its 2025 global growth forecast to 2.3%, citing heightened trade tensions and policy uncertainty.
Meanwhile, IATA said that Asia-Pacific airlines saw cargo demand increase by 6.8% year-over-year in September, while capacity rose by 4.8%. Overall demand rose 2.9% YoY in September, the seventh straight month of growth. Cargo flow within Asia and between Asia and Europe, Africa and the Middle East is booming, offsetting the decline in North America-Asia demand, according to a report.