|
The express logistics industry in India is expected to double its size and reach USD 18-22 billion by FY30 from USD approx. 9 billion in FY25, growing at a rate of 12-15 per cent CAGR, according to a report by professional services firm KPMG.
The report highlighted that the industry is also expected to generate 6.5-7.5 million jobs in the coming years and contribute significantly to the Indian economy. It stated "the express industry in India is expected to reach USD18-22 billion by FY30 from USD approx 9 billion in FY25, marking 12-15 per cent CAGR." The express logistics industry is a segment of logistics that deals with time-bound, fast, and reliable movement of goods across domestic and international locations. It ensures quick transportation through efficient systems, playing a crucial role in supporting industries, businesses, and consumers with their immediate delivery requirements. The report also mentioned that to continue being a key enabler of the country's growth, both the industry and the government must keep building on five pillars. It includes agility and adaptability, efficiency improvement, customer centricity, sustainable outlook, and a robust policy and regulatory framework. Technological advancements and a focus on inclusivity were identified as two themes cutting across these pillars. Over the past decade, India's express industry has emerged as one of the core contributors to the economy. The growth of the manufacturing sector, driven by industries such as automobiles, electronics, and pharmaceuticals, together with high digital penetration, rising discretionary spending, and exponential growth of e-commerce, has fuelled the expansion of this sector. The report noted that the Union Budget 2025-26 has given a further push to the sector with initiatives such as the transformation of India Post into a major logistics organisation, introduction of BTN, modification of the UDAN scheme, enhancement of domestic production capabilities, and infrastructure and process improvements in cargo handling. These steps are expected to provide the required impetus to accelerate the growth of the express industry. At the same time, the report highlighted the importance of sustainability for express players. It said companies in the sector should adopt green practices to reduce environmental impact, comply with regulations, save costs, and meet rising customer demand. The report outlined that with booming e-commerce and manufacturing sectors driving demand and regulatory support paving the way for a sustainable and efficient ecosystem, the express industry is set to be a key facilitator for India's growth during its Amrit Kaal and achieve the objectives of Viksit Bharat. (ANI)
|
