ACI delegates upbeat on India air cargo surge, despite trade jitters

air cargo india

Industry participants at the three-day Air Cargo India (ACI) event, which opened this week in Mumbai, struck an optimistic tone on the market outlook, even as they voiced concerns about lingering geopolitical trade risks.

Much of the confidence expressed by delegates and panelists centred on surging air freight demand from India’s ecommerce and pharmaceutical sectors.

“We are especially seeing a boom in ecommerce logistics,” Richard Theknath, CMD of Mumbai-based forwarder Jet Freight Logistics (JFL), told The Loadstar.

Participants lauded ongoing cargo infrastructure upgrades at Indian airports, though many noted that further improvements, particularly in the cold chain, would be needed to keep pace with expanding perishables exports/imports.

Kaushal Khakhar, CEO of Kay Bee Exports and a session panelist, said an integrated shipping documentation system covering both ocean and air freight could be a game-changer for the industry. Mumbai-based Kay Bee is a leading exporter of fresh fruit.

Cargo airlines attending ACI likewise signalled strong confidence in the Indian market.

Executives at Air India said the carrier remained committed to strengthening its market share, supported by additional belly-hold capacity from new widebody long-haul aircraft entering service. Sources also hinted at a freighter deployment plan in the works for the Tata Group-owned carrier.

“This will most likely involve a passenger-to-freighter conversion order,” they said.

Emirates SkyCargo is another carrier looking to capture a larger slice of the Indian air freight market by boosting dedicated freighter capacity. From early March, the Middle East-based carrier will increase its weekly freighter services from three to five, including two serving Mumbai and three connecting Ahmedabad.

“Our new freighter frequencies to India reflect both the strength of the country’s trade corridors and our long-term commitment to supporting them,” said Badr Abbas, divisional SVP of Emirates SkyCargo.

“India is a powerhouse in manufacturing, pharmaceuticals, perishables and ecommerce, and demand for reliable, stable capacity continues to grow. These additional freighters enhance our existing operations by providing greater connectivity and capacity to better serve our customers in India and worldwide.”

Notably, the doubling of freighter capacity at Mumbai comes as airport operator Adani has announced a revised 10-month freighter slot suspension plan starting in August.

Delegates from the forwarding community also noted potential cargo opportunities arising from a potential surge in volumes following the US tariff realignments.

India aims to handle 10m tonnes of air cargo annually by 2030 – nearly triple the current 3.5m tonnes.

“As margins tighten in general freight markets, the focus is increasingly shifting toward pharmaceuticals, perishables, aerospace components, healthcare products and premium automotive parts – sectors where precision, compliance and reliability matter more than sheer volume,” ACI noted in an official statement.

Cargo community system provider Kale Logistics Solutions also drew attention at the event with new ecommerce supply chain innovations, including the launch of a cross-border module, “AvSys”, designed to support airlines, e-tailers, shippers and consignees.

“The rise of ecommerce has created demand for modern, piece-level parcel logistics that traditional airline air waybill-based systems alone cannot support,” said Amar More, Kale’s CEO and co-founder.

“With AvSys, airlines, ground handlers, e-tailers and shippers and consignees can now achieve piece- or parcel-level visibility while remaining fully compliant in both domestic and cross-border environments.”

The product rollout followed Kale’s recent acquisition of AVLOG Systems, a specialist technology provider focused on express and ecommerce logistics.

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