Hong Kong – Cathay Cargo says India air cargo growth is central to its regional strategy and plans to deepen investments as the country’s manufacturing and logistics ecosystem expands. According to The Economic Times, Cathay Cargo’s South Asia regional head highlighted India’s increasing strategic importance amid ongoing policy reforms that aim to strengthen the nation’s logistics and manufacturing base.
In an interview with PTI, Rajesh Menon, Regional Head of Cargo for South Asia, Middle East and Africa, said the airline currently operates 13 weekly freighter services across Delhi, Chennai and Mumbai and has seen robust demand trends. Demand is backed by sectors such as mobile devices, automotive components, and pharmaceuticals.
India’s Logistics Growth Backdrop
Under flagship programmes like Make in India and PM Gati Shakti, India aims to boost manufacturing capacity and reduce logistics costs through improved infrastructure. These initiatives are frequently cited by industry observers as key drivers for cargo demand growth and are frequently covered in aviation logistics analyses.
Cathay Cargo’s uptick in freight tonnage, approximately 103,000 tonnes offered in India as of October 31, 2025, representing an 11 % year-on-year rise, reflects this broader structural expansion.
Executive Insight on Market Momentum
Menon emphasised that India has long been an “incredibly important market” for Cathay’s cargo business, with roots extending back to services launched in 2000 and even earlier regional presence. “The growth trajectory in India is truly impressive,” he told PTI, noting that freight volumes have sustainably expanded across key commercial corridors.
He pointed to rapid expansion in manufacturing sectors, especially mobile, automotive, and pharmaceutical production, as supporting sustained air freight demand.
Addressing Freight Imbalances and Opportunities
While inbound freight volumes currently outpace exports, Menon believes that growth in outbound shipment capability will narrow this gap over time as supply chains mature and export markets strengthen.
The air cargo industry in India handled about 3.5 million tonnes in 2018, and government targets aim to scale that to 10 million tonnes by 2030, signalling significant opportunity for multinational air logistics operators.
What This Means for Indian Air Cargo
- Strategic Market Position: India is increasingly a focal point for global air freight carriers expanding regional capacity.
- Manufacturing-Led Demand: Mobile, automotive, and pharma sectors are major contributors to cargo demand growth.
- Policy Support Enabling Infrastructure: Government initiatives like Make in India and PM Gati Shakti are directly cited as facilitators of logistics expansion.
- Competitive Landscape: Awareness of shifting demand patterns and new market entrants underscores a diversifying regional cargo ecosystem.
Sources
- Cathay Cargo says India critical to growth; bets big on reform momentum — The Economic Times (ET).
- Expanded ET / Infra version with background — ET Infra.
- Cathay Cargo key quotes and market context — The Week (PTI syndicated).
- Industry commentary confirming market dynamics — Whalesbook summary.
- BangladeshMonitor summary on cargo trends in India.
