FedEx to invest $150 million in Delhi airport to develop air cargo hub

US-based Federal Express Corporation (FedEx) plans to invest $150 million to develop an integrated air cargo hub spread across 2,30,000 square feet at Delhi's Indira Gandhi International Airport (IGIA). 

The proposed investment, valued at more than ₹1,400 crore at the current exchange rate, is aimed at strengthening air cargo connectivity across North and East India and linking businesses with global markets.

A ceremony for the facility was held in the national capital on Tuesday in the presence of Civil Aviation Minister K Rammohan Naidu. 

The hub will be developed at GMR Cargo City and is expected to increase FedEx's processing capacity in Delhi. 

Once operational, the facility will be able to process 5,000 packages per hour, compared with the current capacity of around 600 packages per hour, and can be scaled up further, FedEx said in a release.

"The proposed facility represents a long-term investment of approximately USD 150 million by FedEx," the company said.

The facility is part of FedEx's broader expansion of its air cargo infrastructure in India. The company has previously invested $100 million in Hyderabad to establish an Advanced Capability Community focused on technology, digital transformation and innovation. 

It has also strengthened its cargo operations in Delhi and opened a 60,000-square-foot integrated air hub in Bengaluru in 2025.

In February 2026, FedEx also broke ground on a 300,000-square-foot fully automated air cargo hub at Navi Mumbai International Airport, involving an investment of more than ₹2,500 crore. The Navi Mumbai facility is aimed at strengthening FedEx's cargo network in Western India, while the proposed Delhi hub will focus on North and East India.

FedEx said GMR Cargo City will be developed in phases, with construction work expected to begin shortly. The company uses a global air and ground network to provide express transportation and logistics services.

Speaking at the ceremony, Civil Aviation Secretary Samir Kumar Sinha said efforts were being made to remove bottlenecks in air cargo movements. Naidu said India should become the backbone of global air cargo movements, underlining the government's focus on expanding the country's air cargo infrastructure.

(With PTI inputs)