Hyderabad airport rising as South Asia’s pharma and cargo powerhouse

How do you assess the growth of India’s air cargo sector in the last few years, and what are the key drivers behind it?

India’s air cargo sector has witnessed steady growth in recent years, driven by policy reforms, infrastructure development, and strong export momentum. The country handled over 3.7 million tonnes of cargo in FY2024–25 and is projected to reach 10 million tonnes by 2030, fueled by increasing demand for high-value, time-sensitive commodities such as pharmaceuticals, perishables, and electronics. This growth has been supported by initiatives like the National Air Cargo Policy Outline (NACPO), PM Gati Shakti, and airport modernization efforts that have enhanced connectivity, efficiency, and multimodal integration.

Within this dynamic landscape, GMR Aero Cargo & Logistics, a specialized initiative of the GMR Group, has emerged as the leading air logistics player in India with a clear business advantage. In FY2024–25, GMR handled over 1.25 million metric tonnes, representing nearly 34% of India’s total air cargo, reaffirming its position as the country’s Global Gateway. This leadership was achieved through strategic investments in safety, technology and digital agility, global network expansion, and sustainable operations, resulting in a year-on-year growth of 11%, outpacing the national average and reinforcing GMR’s status as the preferred partner for customers worldwide.

 What role do you see for Indian airports, particularly Hyderabad, in positioning India as a global air cargo hub?

India is strategically positioning itself as a global air cargo hub, leveraging its geographic location, policy support, and infrastructure development. The government’s Mission 2030 aims to triple air cargo volumes to 10 million metric tonnes annually, supported by initiatives like Gati Shakti and the National Logistics Policy. These efforts focus on multimodal connectivity, digitalisation, and sustainability, making India attractive for global logistics operations.

Hyderabad International Airport plays a pivotal role in India’s pharmaceutical supply chain and has become the preferred gateway for pharma and vaccines in South Asia. With 40 per cent of India’s pharma production and one third of global vaccine production, Telangana has emerged as India’s capital for Pharmaceuticals. Hyderabad International airport, with this advantage, serves as pharma cargo origin for the world. With strategic location in south central India and growing aerospace & defense and electronics industries, Hyderabad international airport is best positioned for becoming a cargo hub. Hyderabad Airport collaborates with international bodies, implements globally recognized standards such as WHO-GDP, IATA ISAGO, TAPA, and CTPAT, and is investing in cold chain and perishable export facilities to strengthen its global standing.

 What policy or regulatory changes would accelerate India’s cargo growth story?

Key policy reforms and initiatives that would accelerate India’s cargo growth story include:

• Double-dipping for freighters to enhance international reach.
• Government-backed export facilities like packhouses, irradiation centers, and plant quarantine units near airports.
• Promotion of green logistics and implementation of uniform GST for multimodal cargo to enable integrated, sustainable transport.
• Investment in air-rail corridors for improved hinterland connectivity.
• Streamlining customs processes via digital single window systems and expanding Express Cargo Clearance System (ECCS) for faster, paperless operations.

These steps bridge infrastructure gaps and enhance operational efficiencies, supporting India’s ambition to become a global air cargo leader.

How has Hyderabad Airport performed in terms of cargo growth in the last financial year? Could you share some recent numbers or trends in cargo volumes handled at Hyderabad, particularly pharma and perishables?

In FY24-25, Hyderabad International Airport handled 182,472 MT, with international cargo comprising 109,667 MT and domestic cargo at 72,804M.  In FY 24-25, Pharma constitutes 72 per cent of exports positioning Hyderabad airport as a key gateway for India’s life sciences sector. Hyderabad International Airport handled approx. 3300 Freighter movements with addition of 15 per cent Freighter Capacity who operate freighters to Middle East, Europe and Africa. The passenger belly capacity has also increased by 12 % further supporting the growth of capacity requirement for Cargo. We are actively engaging with airline partners to explore new routes and enhance connectivity, especially for high-demand sectors like pharma, perishables, and express cargo. In International Cargo, 35-40% cargo is handled on freighters and 60-65% cargo is handled on belly cargo (passenger flights).

 How does Hyderabad compare with other Indian airports in terms of cargo growth momentum?

GHIAL handled ~182k MT cargo in FY24-25 with a CAGR of ~9% taking FY21-22 as base (i.e., post Covid).

Also, in FY24-25, we have grown by 16% YoY which is the fastest growing airport terminal among major metro cities.

 What new infrastructure projects are being planned or implemented at Hyderabad Airport to strengthen cargo handling capacity?

Our current terminal (CT1) with an annual capacity of 1,50,000 MT is being expanded by an additional 1,00,000 MT. The upcoming second terminal (CT2), expected to be ready by Q3, can also be scaled up to 1,00,000 MT, taking the total cargo capacity to 3,50,000 MT.

 The upcoming expansion of the Cargo’s infrastructure is a strategic move to enhance operational efficiency, reduce logistics costs, and elevate customer satisfaction. Here’s how the new terminals will help:

 ·       Domestic Terminal: The new facility will significantly reduce congestion during cargo handling, improve cut-off and dwell times, and streamline operations with advanced Material Handling Equipment (MHEs). This ensures faster and more efficient movement of cargo from landside to airside, benefiting both forwarders and airlines.

·       International Courier Terminal: By enabling direct handling of courier and express shipments at HYD, this terminal will eliminate the need for road transport to other airports. This translates to cost savings for shippers and faster delivery timelines, while also significantly reducing carbon emissions by eliminating long-haul trucking enhancing the service quality for integrators and customers in the HYD catchment area.

·       Cargo Terminal 2: This is a major step forward in our commitment to building world-class infrastructure that supports growing cargo volumes and specialized handling needs. With a total capacity of 100,000 MT, this terminal is designed to deliver seamless, efficient, and future-ready cargo operations. The development of this second cargo terminal ensures our customers and trade partners have access to competitive service options, promoting operational flexibility and enhanced market dynamics that benefit the entire logistics ecosystem.

·       Transshipment Cargo Security Hold Area: WithnewBCAS guidelines on TCSHA for air-to-air transshipments, Hyderabad Airport is planning to develop a dedicated transshipment facility on the airside which will support air-to-air transshipments without re-screening.

 These developments are designed to support future growth, improve service levels, and position HYD as a sustainable and key logistics hub in the region.

 How is technology and digitalisation being integrated into airport cargo operations for efficiency and visibility?

Answer: Hyderabad Air Cargo enhances operational efficiency with digital single window customs processes and the Express Cargo Clearance System (ECCS) to enable paperless cargo processing. However, system integration across transport modes remains fragmented, resulting in challenges for real-time tracking and end-to-end visibility. The airport regularly collaborates with IATA, WHO, and industry bodies to align processes with international best practices.

 Further, Hyderabad Air Cargo Terminal is equipped with IoT sensors to ensure end-to-end cold chain solution for shippers. We have introduced temperature-controlled cool dollies (multi-ULD trolleys) that handled temperature sensitive cargo e.g., vaccine, pharma and perishables consignments from terminal to aircraft while actively regulating temperature as per shipper requirement. Further, we have a large pool of active containers (Envirotainer, C-Safe, Dokasch etc.) and provide plug-in points for refrigerated trucks and ULDs.

Hyderabad is known as India’s pharma capital—what specialised facilities and processes has GMR Airport put in place for temperature-sensitive pharma shipments?

The cargo terminal at Hyderabad Airport features:

• Dedicated temperature-controlled pharma zone and cold rooms (storage down to -10°C)
• Compliance with WHO-GDP, IATA ISAGO, TAPA, and CTPAT certifications
• Collaborations with global organizations to maintain international standards and facilitate exports, especially to the United States
• These measures safeguard the integrity of pharmaceutical shipments and support Hyderabad’s reputation as India’s pharma gateway.

Where do you see the biggest opportunities for Hyderabad Airport in cargo growth over the next decade?

With growing investments in Hyderabad and Telangana in the sectors of Electronics and Aerospace & Defense, Hyderabad is poised to diversify its cargo portfolio into these sectors apart from pharmaceuticals and perishables. Additionally, we need opportunity in Transshipment cargo growth with strategic geographical location of Hyderabad Airport.