India’s freight-forwarding industry plays a critical role in facilitating domestic and international trade, acting as a vital link between manufacturers, exporters, importers, and end consumers. Freight forwarders manage key functions such as transportation coordination, customs clearance, warehousing, and documentation.
Amid growing complexities in global supply chains and increasing demand for timely deliveries, the role of freight forwarders in India is evolving. Many players are moving beyond basic coordination services to become integrated logistics partners, offering tailored solutions and embracing multimodal logistics to ensure greater efficiency, flexibility, and reliability in cargo movement
The Indian freight forwarding industry is experiencing growth driven by five key factors. Infrastructure developments through programs like Freight Corridors, Sagarmala, and Bharatmala are enhancing connectivity nationwide. The rise of e-commerce is creating increased demand for efficient forwarding services, with the government planning 50 e-commerce export hubs to manage growing parcel volumes and cross-border shipments. Technological advancements, including AI, ML, data analytics, and IoT are transforming industry operations.
Additionally, the government is actively supporting MSME exporters by establishing clear export targets and offering export credit to facilitate market expansion. Various government initiatives such as PM Gati Shakti, National Logistics Policy, and Multi-Modal Logistics Parks are contributing to the modernization of the logistics industry. Together, these drivers are propelling significant growth in India's freight forwarding sector.
The freight forwarding industry is facing major challenges, from supply chain disruptions and port congestion to fluctuating freight costs & trade uncertainties. Factors like geopolitical tensions, natural disasters, & pandemics have intensified delays, increased costs, and strained global trade networks, making efficient logistics management more critical than ever.
Addressing these challenges requires strategic planning, enhanced infrastructure, and resilient supply chain solutions. As global trade continues to evolve, industry players must adapt to volatility, leveraging technology and alternative logistics strategies to mitigate risks. Strengthening supply chain resilience will be key to ensuring smoother operations and sustained growth in international freight forwarding