India aims to lift air cargo to beat Red Sea bump

India's commerce ministry is pitching for air cargo to ship products such as pharmaceuticals, textiles, electronics and perishables that rely on swift delivery as disruption in the Red Sea trade route has increased freight costs, two people aware of the development said.

- Dhirendra Kumar

"The government is considering measures to promote this segment, including tax incentives, rationalization of aviation turbine fuel prices, and infrastructure development for handling air cargo," said one of the two people cited above requesting anonymity.

"Expanding cargo capacity is also a priority. To reach our export target of $2 trillion by 2030, collaboration across all sectors is vital, and air cargo will play a key role."

India's strategic location between Europe and Asia positions it well to benefit from rerouted cargo flows, the person said.