India is poised to move from seeking a place in global logistics networks to actively shaping them by 2040, according to Vandana Singh, Chairperson of Aviation Cargo at the Federation of India Airlines (FAII). She said air cargo is rapidly evolving from a support function into a strategic national capability, marking a decisive phase in India’s aviation logistics journey.
Singh described the next 15 years as a period of structural reset for global supply chains, where preparedness—not just growth—will determine a country’s position in global trade. She emphasised that logistics has become a core national capability critical to competitiveness, noting that India’s air cargo volumes are projected to more than triple by 2040.
The domestic air cargo market is currently growing at 8–10 per cent CAGR, consistently outperforming global averages. However, Singh stressed that India’s ambitions must extend beyond volume growth to cost efficiency. With logistics costs accounting for 13–14 per cent of GDP, she said, reducing this to around 8 per cent, in line with global benchmarks, is imperative, with air cargo expected to play a central role.
Outlining the Vision 2040 roadmap, Singh called for a shift from capacity expansion to capability building. This includes the development of cargo-first airports, freighter terminals designed for speed rather than retrofitted passenger infrastructure, and integrated multimodal cargo zones that seamlessly connect air cargo with road, rail and ports.
She highlighted the growing importance of time-definite and temperature-controlled infrastructure for pharmaceuticals, perishables and advanced manufacturing, arguing that reliability will define future supply chains. “In air cargo, time is not just money. Time is trust,” Singh said, underscoring that predictability and reliability will outweigh sheer scale.
Technology and digitisation, she added, will form the operating system of modern air cargo hubs. Singh advocated end-to-end paperless cargo ecosystems, AI-driven demand forecasting and capacity optimisation, and blockchain-enabled documentation to enhance trust, traceability and transparency. Digitally advanced hubs, she noted, can significantly accelerate cargo movement while reducing costs.
On investment and sustainability, Singh called for policy clarity and long-term visibility to attract capital into cargo infrastructure through PPP-led development, private cargo terminals, global partnerships and green financing models. By 2040, sustainability will be foundational, encompassing energy-efficient warehousing, low-emission ground handling, fuel optimisation and carbon transparency. “Sustainability is no longer about compliance. It is about credibility,” she said, linking environmental responsibility directly to global competitiveness.
Singh concluded that India’s air cargo vision for 2040 cannot be achieved by any single stakeholder, stressing the need for policy alignment, cross-industry collaboration, skilled talent development and trusted global partnerships to build resilient and future-ready logistics networks.
