Press Release

Due to Growing E-Commerce Sector, India Logistics Market to Surge at a CAGR of Around 8% During 2025-30

The India Logistics Market size was valued at around USD 230 billion in 2024 and is projected to reach USD 360 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 8% during the forecast period, i.e., 2025-30, cites MarkNtel Advisors in the recent research report. The rapid expansion of e-commerce is one of the main factors that is driving the growth. Also, favorable government policies like the Make in India Campaign, Bharatmala, and Sagarmala aim to improve logistics efficiency by developing road, port, and rail networks that further boost market growth. Integration of advanced technology like; AI and the adoption of IoT devices are enhancing efficiency and transparency in logistics operations. The market is providing various opportunities for market players through the creation of various special economic zones coupled with the development of multiple logistics parks in the country. Also, the increased trade agreements and exports between India and other nations are pushing the market demand.

Furthermore, the sector is seeing trends like the regional growth in metropolitan cities including Mumbai, Chennai, Bangalore, and Delhi- NCR. With digital transformation, and the rising focus on sustainability through the adoption of green logistics practices, the market is set to grow effectively during the forecast period. This dynamic market landscape underscores the critical role of logistics in India's economic development.

Several factors drastically affect the market growth. A significant market portion is fragmented into a large number of unorganized players leading to poor resource optimization. The shortage of unskilled labor further introduces complications in the growing market. In various parts of India, transportation issues are highly common due to road congestion and improper infrastructure. This highly hinders the efficient movement of goods. Addressing these challenges is crucial for the market to support India's economic growth and enhance its global competitiveness, further states the research report, “India Logistics Market Analysis, 2025.”

India Logistics Market Segmentation Analysis

3PL (Third Party Logistics) is the Most Preferred Model

Based on the model, the market is further bifurcated into 2PL (Second Party Logistics), 3PL (Third Party Logistics), and 4PL (Fourth Party Logistics). Out of them, the 3PL (Third Party Logistics) segment dominates the India Logistics Market. It holds around 61% of the total market value. They provide comprehensive logistic services that allow them to outsource their supply chain operations to experts who streamline the business and help in the effective management of logistics. The growth is further propelled due to cost efficiency using economics of scale as they can offer logistics services at lower cost compared to in-house logistics. Also, they are highly flexible in cases of demand fluctuation which helps in their extensive adaptability in the market.

With their ability to handle complex logistics demands, they are highly preferred in industries like; manufacturing, e-commerce, retail, and others that further boost the segment’s growth in the market.

Forward Logistics Serving a Large Pool of Customers

Based on type, the forward logistics segment leads the India Logistics Market with a major market share of around 70%. This domination is due to several factors. They involve an extensive network of transportation modes that helps them in the transportation of goods smoothly in both domestic and international markets. Increased order volumes & timely delivery to consumers in the booming e-commerce sectors have created an extensive demand for forward logistics. Also, various government initiatives have streamlined logistics operations that help in the reduction of transit times and costs, further boosting the segment’s revenue growth. Also, they allow a seamless flow of goods from manufacturers to consumers with great efficacy with the help of end-to-end services that boost their demand in the industry.

Competitive Landscape

With strategic initiatives such as mergers, collaborations, and acquisitions, the leading market companies, including FM Logistics, Gati, Mahindra Logistics, Ekart Logistics, Blue Dart, DTDC, Ecom Express, DHL, Delhivery, FedEx, Xpressbees, Shadowfax, Aramex, Shiprocket Fulfillment, Transport Corporation of India Ltd. (TCI), Allcargo Logistics Ltd., and others are looking forward to strengthening their market positions.

Key Questions Answered in the Research Report                                  

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the country?
4. How has the industry been evolving in terms of geography & service adoption?
5. How has the competition been shaping up across the country?
6. How have buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2020-30?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?