Federal Express Corporation (FedEx) has announced a $400 million investment commitment in India this year, with the company's India revenue growing more than 40% last year. According to Mint, Kami Viswanathan, president of FedEx Middle East, Indian Subcontinent and Africa (MEISA), stated that India is a strategic growth market and one of the fastest-growing markets in FedEx's global network. "Our business in India has grown in strong double digits in the last two years. We grew over 40%," she said. The company is investing in logistics infrastructure across Delhi, Bengaluru and Navi Mumbai, while also adding freighter capacity from India to Europe and the US and from Asia into India. FedEx could also explore scheduled freighter services domestically, depending on demand, as currently DHL-owned Blue Dart Aviation is the only scheduled domestic cargo airline.
FedEx announced a $150 million investment to develop an integrated air cargo hub at Delhi airport, with the facility spread across 230,000 square feet at the Indira Gandhi International Airport (IGIA). According to ZeeBiz, the groundbreaking ceremony was held in the national capital on Tuesday in the presence of Civil Aviation Minister Kinjarapu Rammohan Naidu, who emphasized that India should be the backbone for air cargo movements. The company also announced a $250 million long-term investment in a cargo hub at the Adani-operated Navi Mumbai airport in February. Both cargo hubs are expected to become operational over the next 12-18 months. The Delhi hub will increase processing capacity from 600 to 5,000 packages per hour once operational, with the facility being highly automated and having room for further expansion as shipment volumes and demand increase.
At the groundbreaking ceremony, Civil Aviation Minister Kinjarapu Rammohan Naidu congratulated FedEx and Delhi GMR Airport for entering into the partnership to create a dedicated air cargo facility. According to The Times of India, Naidu highlighted that cargo operations had been consistently increasing and that volumes were seeing an increase of almost 40 per cent. He emphasized India's vision to create cargo hubs and pointed to the government's efforts to strengthen the country's logistics network, including the introduction of the transshipment policy as a proof of concept. Civil Aviation Secretary Samir Kumar Sinha noted that efforts are underway to remove all bottlenecks for air cargo movements, indicating government support for the project's success.
India is now the world's third-largest smartphone exporter, with electronics exports growing over 40% year-on-year in the first half of fiscal 2026, according to FedEx executives. India's cumulative exports (merchandise & services) during April-July are pegged at $316.42 billion, up 13.16% year-on-year, as per commerce ministry data. Electronic goods exports increased 57.40% to $5.92 billion in July 2026, and engineering goods exports rose 17.71% to $12.24 billion. FedEx expects the changing composition of Indian exports to create opportunities for specialized logistics services, with the company seeing movement towards Indian manufacturing getting into more complex goods where medium and high-tech activities are predominant, including healthcare, aerospace, electronics and semiconductors being drivers of high value "express logistics."
FedEx has expanded its direct operational coverage to 93% of India's cities and towns and added 38 cities to its footprint over the past year. The expansion aims to bring businesses in tier-II and tier-III cities more deeply into international commerce. India's air-cargo market has grown significantly over the past decade, with volumes rising from 2.53 million tonnes in FY15 to 3.80 million tonnes in FY26, according to the civil aviation ministry. However, India has only 18 dedicated freighter planes against China's 200 planes and the US's over 900 planes. The government is looking at policy interventions to take the sector to 10 million tonnes by 2030, almost trebling it, with new cargo infrastructure built at airports such as Bhogapuram, Navi Mumbai and Jewar expected to support that expansion.
