In a major development, Inland Waterways Authority of India (IWAI) under the Ministry of Ports, Shipping and Waterways (MoPSW) signed MoU with Rhenus Logistics to operate their barge services in various national waterways in India. Rhenus Logistics is a Germany-based international logistics service provider operating globally in more than 70 countries with an annual turnover of EUR 8.2 billion. The agreement was signed in the presence of Minister of Ports, Shipping and Waterways Shri Sarbananda Sonowal in New Delhi. Shri T.K. Ramachandran, Secretary, MoPSW; Shri Vijay Kumar, Chairman, IWAI, along with other senior officials of the Authority and representatives of Rhenus Logistics India were present at the occasion. Under the MoU, Rhenus Logistics will deploy 100 cargo vessels along with pusher tugs in a phased manner along NW-1, NW-2, NW-16 and the Indo-Bangladesh Protocol (IBP) routes. During the first phase — starting from the third quarter of 2025, about 20 barges and six pusher tugs are expected to be deployed in these waterways. A combination of pushers and barges, to suit low-draft navigation in waterways, will be used to transport both bulk and break-bulk cargo across North and East India, North-East India, and subsequently to neighbouring countries. The operations will gradually be scaled up to include other national waterways in the country. Union Minister Shri Sonowal called the MoU between IWAI and Rhenus Logistics India a bold step towards building a resilient multi-modal logistics ecosystem in the country. He termed it a significant moment for private participation in the IWT sector and expressed hope that it will open new opportunities of innovation and capital investments in the sector. This move will ensure effective utilisation and expansion of waterways infrastructure thereby …

Adani Enterprises, the flagship company of the Adani Group, has deployed India’s first hydrogen-powered truck for mining logistics in Chhattisgarh, equipped with smart technology and three tanks that can carry 40 tonnes of cargo for 200 kms of range. Chhattisgarh Chief Minister Vishnu Deo Sai flagged off the first truck in Raipur on Saturday. It will be used to transport coal from the Gare Pelma III Block to the state’s power plant. The state-owned Chhattisgarh State Power Generation Company Limited has appointed Adani Enterprises as the mine developer and operator for the Gare Pelma III block through a competitive bidding process.

Stéphane Graber, Director General, FIATA said, “FIATA is responding by modernising industry standards—such as through the development of the electronic FIATA Multimodal Transport Bill of Lading—and by strengthening dialogue with international organisations to ensure that policy developments reflect operational realities. We are also investing in capacity-building to help our members remain agile in a fast-changing environment.”

Kamal Jain, Director, Cargomen Logistics said, “The temporary closure of key airports in Northern India—Amritsar, Srinagar, and Pathankot—has significantly disrupted cargo operations. Domestic shipments face rerouting delays, transshipment issues and pressure on alternate hubs like Delhi and Jaipur. International cargo, especially perishables, pharmaceuticals, and electronics, is severely impacted due to missed connections and ground handling congestion. Airspace restrictions over Pakistan have forced Indian airlines to take longer routes via the Arabian Sea or Central India, increasing fuel costs and turnaround times. As a result, freight rates on major routes like Delhi–Frankfurt and Mumbai–London will rise by 10–20%, with shippers exploring sea-air and land alternatives.

The Air Cargo Forum India (ACFI) organised a program focusing on the Cold Chain Packaging Solutions in Hyderabad on 8 May. “It was a resounding success, with participation from over 100 industry professionals. The organisers thanked their training partner, Envirotainer, and experts for sharing their in-depth knowledge and expertise, which added immense value to the session.”

Rajen Bhatia, MD, Tulsidas Khimji said, “The recent escalation in India-Pakistan tensions has led to significant disruptions in both domestic and international cargo movement. Time-sensitive cargo, including pharmaceuticals, perishables and e-commerce shipments, is experiencing delays or rerouting. Northern states like Punjab, Haryana, Jammu & Kashmir, and parts of Uttar Pradesh, which are logistics hubs, are particularly affected.  With air routes compromised, there’s an increased reliance on road and rail transport. This shift may lead to overburdened highways, delayed deliveries and increased costs. Numerous airlines have rerouted or canceled flights to avoid the affected airspace. This includes long-haul flights that typically traverse the region’s airspace. Indian airlines are incurring additional weekly costs of approximately ₹77 crore due to rerouted international flights from northern cities. The cumulative monthly operational impact could exceed ₹306 crore. There may be an increase in insurance claims due to cargo delays or spoilage. The ongoing situation underscores the far-reaching consequences of geopolitical conflicts on international air travel and cargo movement.

Gautham R, Senior Manager – Global Air Freight, Head – Air Freight, India said, “The closure of PAK airspace has any which way impacted the cost of operations of the Indian airlines like Air India, SpiceJet and Indigo. This had not only impacted the flying time and operational cost of Indian Airlines but also the few international carriers like Air France, British Airways, and Swiss Flights, which are followed by Lufthansa, ITA Airways, Lot Polish Airlines and many more, which obviously increased the cost of operations for every airline, which will impact the freight rates till this situation prevails based on the demand. The flights departing from Northern India, especially to Europe and the Middle East, have to take a long route (45 minutes to 1 hour of extra travel time), which will make them carry extra fuel, which affects the payload (reducing the tonnage capacity of cargo that can be carried), which will make airlines increase the cargo rates slowly with no other choice due to operational reasons. Considering the current border tensions, we believe the overall impact may not be too severe when weighed against the safety measures implemented by the Government. Moreover, short-term alternatives are available to navigate the disruption. The greater impact is expected on perishable cargo, especially for domestic shipments with limited shelf life. This season marks the harvest of mangoes, lychees, pineapples, apricots, and other fruits in Northern India—making timely logistics crucial. Given the situation, we recommend that customers opt for road transport to Delhi, from where the cargo can be dispatched both domestically and internationally. The closure of Amritsar airport—an important hub for international perishable cargo movement—has further affected operation.

Vipin Vohra, Chairman, Continental Carriers said, “The temporary closure of airports in Northern India has disrupted cargo operations and may led to delays, missed connections, and rerouting of shipments via alternate airports. Time-sensitive cargo, including perishables and pharmaceuticals, will face the brunt of these disruptions, and logistics operators are under pressure to maintain service levels amidst limited capacity and rising costs. With longer flight paths and increased fuel consumption due to airspace restrictions, operating costs have risen. However, freight rates have not been officially increased by airlines as of now. They have requested support to manage the financial strain and maintain operational continuity under the current circumstances.

Sunil Kohli, MD, Rahat Cargo said, “The closure of Pakistan airspace is bound to result in a considerable negative impact on both domestic and international cargo movement thereby consequently resulting in enhanced flight durations and resultant cost escalation on fuel. The longer time taken during the flight operations may adversely affect perishable goods and pharmaceutical shipments since these are time-sensitive with limited shelf-lives. An intake of increased fuel due to longer flight paths may further shrink the cargo capacity. On international routes, some of the airlines, which do not face space closure such as Etihad Airways, Thai Airways & few more, may derive an advantage over the Indian carriers as these won’t require extra fuel without reduction in their space for cargo especially on India-Europe & Gulf sectors. The Indian airlines operating to US/Canada routes may also have to opt for technical halts en-route for refuelling which entail higher costs with pruned cargo capacity. As regards an increase in the airfreights by Indian carriers, it has not yet been overtly done on a published basis. However, due to lesser cargo capacity being available to the exporters, the spot rates offered by the airlines as per practice evidently reflect an escalation justifying the longer routes requiring additional fuel coupled with the vital factor – higher demand & lesser space.

C K Govil, President, ACAAI said, “The temporary closure of airports in Northern India and the suspension of airline operations will have a significant ripple effect on both domestic and international cargo movement. Northern India, particularly cities like Delhi, Amritsar, and Srinagar, serves as a vital hub for cargo consolidation and distribution. The disruption of air traffic in these sectors leads to delays in time-sensitive shipments: Industries such as pharmaceuticals, perishables, and e-commerce will face delays, affecting supply chains and commitments. Airports in Western and Southern India may see increased load, leading to congestion and resource strain. Logistics costs are likely to rise due to extended trucking routes, storage at transshipment hubs, and rerouting charges by airlines. Disruption of International Freight Schedules: Freighter operations and belly cargo in passenger flights connecting to international destinations will be impacted, potentially affecting exports and imports, especially to Europe, the Middle East, and the Americas. Customers and forwarders will need to adjust to rapidly changing schedules, which could cause temporary inefficiencies. The closure of Pakistani airspace has forced Indian airlines to take longer routes for international flights, leading to increased fuel consumption and extended flight durations. This has resulted in additional operational costs estimated at approximately ₹306 crore per month. Longer flight paths necessitate carrying more fuel, which in turn reduces the payload capacity for cargo. This limitation affects the volume of goods that can be transported, thereby impacting supply chains and increasing costs. The ongoing Red Sea crisis has disrupted maritime shipping routes, prompting exporters to shift to air freight for timely deliveries. This surge in demand has further strained air cargo capacity, contributing to higher freight rates. While specific figures for the …