India’s logistics industry is expected to witness significant growth in the coming years, driven by various factors such as increased foreign investment, infrastructure improvement, and government support1. According to a report by McKinsey Global Institute, the logistics sector is expected to grow at a compound annual growth rate of more than 10 percent from $200 billion in early 2020 to at least $320 billion in 20252. Furthermore, the Indian logistics market is expected to touch $650.52 billion in the next five years at a CAGR of 8.4%3. To cater to the increasing demand, the industry is expected to witness widespread adoption of advanced technologies and supply chain digitization. The growth of e-commerce in India has further accelerated the demand for logistics services, especially the last-mile delivery segment1. Overall, the future looks promising for India’s logistics industry with abundant opportunities for growth, innovation, and investment.
Sources:
- “Transforming the future of Indian logistics sector.” EY, May 2022, https://www.ey.com/en_in/consulting/transforming-the-future-of-indian-logistics-sector. ↩ ↩2
- “India’s post-pandemic logistics sector: The need for technological change.” McKinsey & Company, 23 June 2021, https://www.mckinsey.com/industries/travel-logistics-and-infrastructure/our-insights/indias-postpandemic-logistics-sector-the-need-for-technological-change. ↩
- “Future of logistics: Tech trends to expect and how companies are positioning for success.” ETCIO, Times Internet Limited, 9 June 2022, https://cio.economictimes.indiatimes.com/news/strategy-and-management/future-of-logistics-trends-to-expect-and-how-companies-are-positioning-for-success/100808123. ↩