FedEx Corp. is stepping up its investment in India’s air freight infrastructure, announcing plans to invest $150 million in a dedicated air cargo hub at Delhi International Airport.
The project marks the company’s second major air freight expansion commitment in India this year. The new facility is intended to support rising international trade across the northern part of the country and strengthen FedEx’s ability to handle growing shipment volumes.
The proposed terminal will cover approximately 230,000 square feet and feature an advanced high-speed conveyor system with automated sorting capabilities. AI-enabled computer vision scanners will also be deployed to help route packages through the facility.
Once operational, the terminal is expected to increase FedEx’s processing capacity at Delhi airport from 600 to 5,000 packages per hour. The facility will also bring currently scattered international pickup and delivery operations at the airport together under one roof, improving operational efficiency and accelerating the flow of shipments, according to the freight transportation company.
The terminal will incorporate flexible design elements intended to accommodate future expansion.
Part of a larger cargo campus
FedEx’s new terminal will form part of a broader cargo campus being developed by GMR Airports Ltd. The planned site is designed to bring airlines, freight forwarders and other service providers together within the airport property, supporting India’s expanding trade, e-commerce and express logistics sectors.
The first phase of the campus is expected to cover approximately 1 million square feet, with construction set to begin soon. A second phase could add between another 500,000 and 1 million square feet of developed space.
FedEx will lease the cargo warehouse, while taking responsibility for installing the systems, equipment and technology required to operate the facility.
“India is a critical market in our global network, with North and East India playing an important role in the country’s growing trade and economic opportunity. Strengthening our presence in Delhi will enhance connectivity across these markets and support businesses as they grow and expand. It reflects our long-term confidence in India and our commitment to investing in the capacity and capabilities needed to support the country’s evolving trade needs,” said Kami Viswanathan, president of FedEx Middle East, Indian Subcontinent and Africa.
Viswanathan made the comments in a statement issued in connection with a groundbreaking ceremony for the project.
Expanding across India’s key markets
India is among the fastest-growing economies in the world and ranks as the United States’ 10th-largest trading partner. According to the Ministry of Commerce and Industry, the country recorded more than $1.2 trillion in merchandise exports and imports last year.
FedEx’s Delhi investment follows another major commitment announced in February. The company said it would invest $250 million in a purpose-built air cargo facility at Navi Mumbai International Airport.
Navi Mumbai International Airport opened to passenger traffic in December and operates alongside the original Mumbai airport. FedEx currently shares a multi-user cargo terminal at Mumbai International Airport, with some processing activities taking place off airport property.
The new Navi Mumbai facility is being designed to allow parcel and freight processing directly on the airport site. FedEx will continue operating from the original Mumbai airport even after its operations move into the Navi Mumbai facility.
The Adani Group is also developing an integrated cargo area at Navi Mumbai intended to serve as a trade gateway for western India. The first phase is planned with a capacity of 500,000 million metric tons per year.
FedEx has also been expanding its footprint in southern India. In December, the company opened a 60,000-square-foot freight facility at Kempegowda International Airport in Bengaluru, consolidating import and export activities in a single location.
The Bengaluru operation handles parcels alongside industrial, pharmaceutical and manufacturing shipments and has a throughput capacity of 4,000 packages per hour.
Together, the investments underline FedEx’s broader effort to expand its infrastructure and capabilities across India as trade, e-commerce and international freight demand continue to grow.
