India’s express logistics and courier industry is poised for rapid expansion, projected to grow from Rs. 78,525 crore (US$ 9 billion) in FY25 to Rs. 1,57,050-191,950 crore (US$ 18-22 billion) by FY30, according to a joint report by the Express Industry Council of India (EICI) and KPMG. This growth is expected to create 6.5-7.5 million new jobs, reinforcing the sector’s role as a key driver of economic development and employment generation.

The sector has witnessed remarkable growth over the past decade, rising from Rs. 26,175 crore (US$ 3 billion) in FY17 to Rs. 78,525 crore (US$ 9 billion) in FY25, achieving a 12-15% compound annual growth rate (CAGR). Domestic express logistics contributes around 70% of the market, valued at Rs. 54,968-56,713 crore (US$ 6.3-6.5 billion), primarily driven by surface transport, while international express services are gaining momentum due to increasing global demand for Made-in-India products.

The report highlights several key drivers of growth, including agility, operational efficiency, customer-centric approaches, sustainability, and strong policy support. Flagship initiatives such as PM Gati Shakti, the National Logistics Policy, and Bharatmala Pariyojna have strengthened the sector’s infrastructure and connectivity, enabling faster and more reliable delivery services.

The express logistics industry has evolved beyond its traditional role of facilitating movement of goods to become an essential service, especially highlighted during the COVID-19 pandemic, when it enabled India’s largest vaccination drive and the timely delivery of essential goods nationwide. Growth is further fueled by booming e-commerce, increasing output from MSMEs, and rapid expansion of infrastructure in tier-II and tier-III cities, extending reach and improving supply chain efficiency.

Union Minister for Road Transport and Highways, Mr. Nitin Gadkari, emphasized the sector’s crucial role in connecting businesses to markets across India and globally. Mr. Vijay Kumar, CEO of EICI, highlighted the industry’s resilience and adaptability, while Mr. Girish Nair, Partner at KPMG India, noted its rapid expansion across air, road, rail, and coastal transport networks to meet growing demand.

The industry is also projected to generate Rs. 8,725-13,088 crore (US$ 1-1.5 billion) in GST revenues and Rs. 5,671 crore (US$ 650 million) in customs duty, underlining its contribution to government revenues. The express logistics sector’s future looks promising, driven by technological adoption, policy incentives, expanding domestic and international trade, and its pivotal role in India’s broader economic growth.

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