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Western India is emerging as a major hub for last-mile logistics, supported by upgraded air and road connectivity, expanding airports in tier II/III cities, and a growing multimodal infrastructure. The region's adoption of hybrid fleets, urban warehouses, and micro-fulfilment centres is improving delivery efficiency and reliability. E-commerce shipments reached 5 billion in FY25, growing at 29% CAGR since FY19. Tier II cargo share has risen to 24%, and national highways and rural roads have significantly expanded, enabling faster same-day and next-day deliveries across key urban and suburban markets.
Upgraded air and road connectivity is boosting last-mile delivery efficiency across Maharashtra and Gujarat, transforming the region into a high-capacity express logistics corridor, according to the Express Industry Council of India (EICI). Over the past decade, of the 85 new operational airports added nationally, a significant portion has been in Western India's tier II and III cities, enabling faster air express movements, the Council noted in its 2025 report, prepared with global consultancy KPMG. Advertisement
Western India's growing role as a national logistics hub is driven by strong multimodal infrastructure, a widening airport network, and rising consumption across both metro and emerging tier II cities. With last-mile delivery accounting for more than half of total logistics costs, adopting hybrid vehicle fleets, modern urban warehouses, and micro-fulfilment centres has become essential for operational efficiency and reliable service.
EICI's report highlights that India's e-commerce shipment volume reached 5 billion in FY25, representing a compounded annual growth rate of 29% since FY19. The Council emphasized that the region's expanding multimodal infrastructure, increasing tier II cargo volumes, and modern warehousing systems are making last-mile deliveries faster and more predictable.
Vijay Kumar, CEO of EICI, said that Western India is strategically positioned to support India's transition to sustainable, technology-enabled, and multimodal last-mile logistics ecosystems. Tier II airport cargo share in the western region has grown from 18% to 24% over the last decade, reflecting a shift toward decentralized cargo networks that reduce reliance on metro hubs.
National highways have also expanded from 91,000 km in FY14 to 145,000 km by mid-2024, while rural roads now total over 733,000 km. This enhanced road network is central to Western India's capacity to support same-day and next-day delivery models, underpinning the growth of urban and suburban commerce in cities such as Mumbai, Pune, Surat, and Ahmedabad.
Source PTI
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