New Delhi Facility Will Expand Processing Capacity More Than Eightfold
FedEx plans to invest approximately $150 million in a new integrated air cargo hub at Indira Gandhi International Airport in New Delhi, expanding its ability to serve businesses across northern and eastern India while strengthening connections to international markets.
The 230,000-square-foot facility will be located within GMR Cargo City, the airport’s integrated logistics and cargo development. FedEx expects the hub to process as many as 5,000 packages per hour once operational, compared with its current capacity of about 600 packages per hour.
The proposed investment is valued at more than ₹1,400 crore, or roughly $150 million. It represents the latest stage in FedEx’s broader effort to expand its logistics infrastructure in India, where growing trade volumes and rising demand for time-sensitive deliveries are increasing pressure on cargo networks.
Federal Express Corporation, the express transportation subsidiary of FedEx Corp., announced the project during a groundbreaking ceremony held in New Delhi on August 25. Indian Civil Aviation Minister K Rammohan Naidu attended the event.
Delhi Cargo Hub Targets Major Capacity Increase
The new facility is designed to deliver more than an eightfold increase in FedEx’s package-processing capacity at Delhi airport. Its design will also provide room for further expansion as shipment volumes grow.
Construction is expected to begin shortly, with GMR Cargo City developing the facility in phases. The project is intended to improve cargo-handling efficiency and increase the speed at which packages can move between domestic markets and the FedEx global transportation network.
GMR describes Cargo City as a 50-acre logistics ecosystem that brings together warehouses, cargo infrastructure, trade-support services and other logistics facilities with direct airside connectivity. The development is intended to support faster cargo movement while reducing operational delays around the airport.
Delhi’s Importance to Indian Logistics
Indira Gandhi International Airport is India’s busiest airport and one of the country’s most important gateways for international passenger and cargo traffic. The location gives FedEx access to major commercial centers in northern India and offers stronger connections to markets across the eastern region.
The investment could be particularly significant for manufacturers, exporters, small and midsize businesses, and e-commerce companies that depend on predictable delivery times. Additional processing capacity may also help companies move higher volumes of electronics, pharmaceuticals, industrial products and other time-sensitive goods through Delhi.
FedEx Builds Regional Cargo Network Across India
The Delhi hub is part of a wider FedEx investment program that includes logistics, technology and automated cargo infrastructure across several Indian cities.
FedEx has expanded its operations in Bengaluru and invested $100 million in an Advanced Capability Community in Hyderabad. That center focuses on technology, innovation and digital transformation intended to support the company’s international operations.
The company is also developing a major facility at Navi Mumbai International Airport. FedEx broke ground on the 300,000-square-foot, fully automated cargo hub in February 2026 as part of a long-term investment exceeding ₹2,500 crore.
While the Navi Mumbai project is expected to reinforce FedEx’s presence in western India, the Delhi development will focus primarily on northern and eastern markets. Together, the facilities are designed to create a more balanced regional network capable of supporting domestic distribution and cross-border commerce.
Infrastructure Investment Supports Trade Growth
India’s aviation authorities have placed increasing emphasis on expanding air cargo infrastructure and removing bottlenecks that can slow the movement of goods.
At the groundbreaking ceremony, Civil Aviation Secretary Samir Kumar Sinha discussed government efforts to address constraints affecting air cargo operations, according to Fortune India. Naidu also emphasized India’s ambition to become a central link in global air cargo movements.
FedEx’s planned investment supports that objective by adding capacity at one of the country’s principal aviation gateways. It also reflects the growing importance of India to international logistics companies as manufacturing activity, online commerce and overseas trade continue to expand.
Delhi Airport Strengthens Its Global Cargo Role
The new FedEx hub is expected to deepen Delhi airport’s role as both a passenger gateway and a major logistics center. Its higher processing capacity should enable the airport to handle more express and time-critical shipments while offering businesses improved access to FedEx’s international air and ground network.
Combined with the company’s investments in Navi Mumbai, Hyderabad and Bengaluru, the Delhi project signals a long-term strategy to position FedEx for continued growth in India and support the country’s expanding participation in global supply chains.
