E-Commerce boom propels India’s air cargo expansion

India’s air cargo industry is gearing up for exponential growth, with experts projecting e-commerce to become its leading driver—elevating its current $5 billion contribution to a staggering $200 billion by 2030. To meet a cargo handling target of 10 million tonnes per annum (MTPA), the nation plans to triple its existing capacity within the next six years. According to estimates from the Air Cargo Forum India (ACFI), e-commerce, pharmaceuticals, and electronics will be the top contributors fueling this expansion.

The rising demand for time-sensitive deliveries is propelling the growth of air freight across domestic and international corridors. Private operators like IndiGo CarGo and Blue Dart Aviation are ramping up their freighter fleets to meet the escalating needs of e-commerce and pharmaceutical sectors. To keep pace, companies are embracing cutting-edge technologies—AI, IoT, robotics, and blockchain—to streamline cargo handling, minimize operational errors, and enhance end-to-end shipment visibility. These insights were highlighted in a knowledge paper unveiled at the Air Cargo Forum India (ACFI) Annual Conclave 2025.

The nation’s airports, from Delhi to Bengaluru, are evolving into critical nodes in the international supply chain, handling escalating export and import volumes with precision. This surge underscores the pressing need for strategic transhipment hubs and advanced transit facilities to ensure efficient connectivity. However, challenges such as infrastructure limitations, regulatory bottlenecks, and inconsistent digital integration persist, hindering the sector’s full potential, said the players in the air cargo sector.