The IMARC Group has issued a report titled “India Air Cargo Market Size, Share, Trends, and Forecast by Type, Service, Destination, End User, and Region, 2025-2033”, which offers a comprehensive analysis of the industry, including market share, growth, trends, and regional insights.
Excerpts:
Size of India air cargo industry
The Indian air cargo market size reached 3.26 million tonnes in 2024 and is expected to reach 9.56 million tonnes by 2033, exhibiting a growth rate (CAGR) of 11.50% during 2025-2033.
Market trends
India’s air cargo industry is currently undergoing rapid evolution, courtesy technology development and changing supply chains. One primary trend is the rapid acceptance of digital freight platforms that provide transparency and efficiencies via real-time shipment tracking, automated documentation, and AI-based route optimisation. The demand of express cargo for perishables, pharmaceuticals and high-end electronics has increased recently, triggered by the rise of e-commerce and cross-border trade. Blockchain integration is another factor gaining interest for faster Customs clearances, fraud reduction and cargo security. On the sustainability front, the operational side is getting shaped. On the other hand, airlines and logistics service providers are keen on newer fuel-efficient freighters and carbon offsetting programs in keeping with environmental regulations.
Thus, the growth of cold chain logistics for temperature-sensitive materials such as vaccines and fresh produce is fostering specialised cargo solutions supported by advanced packaging and monitoring.
Interestingly, regional air connectivity expansion facilitated by the UDAN scheme is helping set up cargo hubs in Tier 2-3 cities, decentralising it from major population centres.
Scope and growth analysis
Robust growth opportunities in the Indian air cargo market have been created by industrialisation, a paradigm shift in global trade, and the modernisation of infrastructure. Government policies, such as the National Logistics Policy, are enabling multimodal connectivity, reduced transit time and costs of logistics. The pharmaceutical and automotive industry, for instance, have time-sensitive consignments, and therefore specialised cargo handling facility operators would be springing up at major airports. Airport cargo terminals and free trade warehousing zones (FTWZs) would be developed further, along with improvements in storage and transhipment facilities, thus drawing in international logistics operators.
Metro airports dominate the scenario by way of cargo volume, while non-metro airports are seeing growth mainly emanating from regional manufacturing and agricultural export. An emerging sector is drone cargo delivery, particularly last mile connectivity to far-flung regions. With omnichannel retail and just-in-time inventory being steadily developed, the sector would be a key to economic growth, cementing its status as a critical node in the global air cargo network.