New Delhi, Dec 26 India’s logistics costs are projected to decline to 7–8 per cent by 2035 from current level of 13–14 per cent of GDP, aligning India with global benchmarks and boosting export competitiveness, a report said on Friday.
The report from Grant Thornton Bharat said the sector recorded 48 deals in 2025, a 37 per cent increase over 2024, with private equity and venture capital investments reaching $659 million, largely focused on tech-enabled, asset-light models.
India’s transportation and logistics sector witnessed significant reforms, accelerated infrastructure commissioning, and deeper digital integration, signalling a shift toward more connected and competitive systems, the report noted.
The professional services firm forecasted that road freight’s share is expected to fall from 72 per cent in 2014 to nearly 50 per cent by 2035, while rail could rise to 40 per cent, supported by Dedicated Freight Corridors.
“India’s transportation and logistics sector has undergone a phase of structural transformation in 2025, driven by policy reforms, accelerated infrastructure commissioning, and expanding digital integration,” Bhavik Vora, Partner and Transportation & Logistics Industry Leader, Grant Thornton Bharat.
Investments in multimodal infrastructure and digital platforms are reshaping freight movement, with GST reforms streamlining the logistics ecosystem and reinforcing the shift toward more efficient, integrated supply chains, Vora added.
The long-term vision positions India as a digitally synchronised, multimodal logistics hub with 35 operational MMLPs, AI-driven scheduling, and deeper integration into Indo-Pacific trade corridors.
Recent GST changes have introduced a dual-rate environment for freight and multimodal transport, influencing cost planning, procurement strategies, and compliance priorities across the ecosystem, it said.
The Unified Logistics Interface Platform now integrates 125 APIs across 11 ministries, enabling real‑time data exchange and reducing friction at key interchange points, the report added.
Five multimodal logistics parks in Chennai, Bengaluru, Nagpur, Indore and Jogighopa are in advanced stages, strengthening India’s modal shift agenda.
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