The air cargo market is expected to increase significantly over the review period, with a CAGR of 8.25%. The market was anticipated to be worth USD 10,212.34 million in 2023, rising to USD 20,563.72 million by the end of the forecast period (2024-2032).
The tremendous rise of e-commerce in India is propelling the country's air freight business, necessitating effective and timely logistics solutions. The development of online shopping has significantly increased demand for fast delivery services, requiring businesses to rely on air freight to transport things across the country. Furthermore, the government's ""Make in India"" drive is boosting manufacturing activity, raising demand for air cargo to facilitate the transportation of goods, particularly in the pharmaceutical, electronics, and automobile components industries. Air cargo is an important component of the supply chain since these industries require both fast and dependable delivery solutions.
The growing e-commerce industry and the increasing demand for quick logistics solutions are propelling India's air cargo business. Businesses are becoming increasingly reliant on-air cargo due to the development in online shopping for the speedy delivery of products across the country, particularly in areas where rapid shipping is critical, such as electronics, pharmaceuticals, and automobile parts.
Another significant contributor is increased investment in airport infrastructure and logistics centers. The Indian government, in collaboration with private sector operators, is enhancing the country's air cargo infrastructure by building new cargo facilities and extending existing ones. Initiatives like the UDAN (Ude Dash ka Aam Naagrik) initiative, which focuses on regional air connectivity, help to grow the air freight industry by boosting access to rural areas. Furthermore, liberalization of aviation policy and the lifting of restrictions on foreign direct investment (FDI) in the sector are attracting international enterprises, resulting in increased market competitiveness and efficiency.
Market Segmentation
The India Air Cargo Market is divided into four service types: airport-to-airport, door-to-door, freight forwarding, and others.
The market is divided into four categories based on aircraft type: narrow-body freighters, wide-body freighters, very large freighters, and others.
The India Air Cargo Market is divided into three segments based on delivery time: normal delivery, same-day delivery, and express delivery.
The Market has been segmented into Dedicated Cargo Airports, Mixed-Use Airports, and Others based on the Airport Type in connection.
Major Players
Blue Dart Aviation, SpiceXpress, IndiGo Cargo, Air India Cargo, Fulcrumslgroup, Vistara Cargos, Quikjet Cargo, FedEx Express, DHL Express India, and DTDC Express Limited are the major operators in India's air cargo market.
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