India road freight market seen nearly tripling by 2035

India’s road freight transport market is projected to rise from $165.0 billion in 2025 to about $401.9 billion by 2035, driven by highway expansion, freight corridor buildouts and e-commerce growth. East India is the fastest-growing region, while the market remains highly fragmented despite rising consolidation.

Why it matters: - India’s road freight network sits at the center of the country’s logistics, manufacturing and retail supply chains. - The projected jump to $401.9 billion by 2035 points to sustained demand for trucks, warehousing, digital freight platforms and intermodal connections. - Faster freight movement can lower logistics costs, shorten transit times and improve market access for manufacturers and consumer goods companies.

What happened: - India’s road freight transport market was estimated at $165.0 billion in 2025 and is forecast to reach $180.5 billion in 2026. - The market is projected to grow to about $401.9 billion by 2035, equal to a 9.3% compound annual growth rate over the forecast period. - East India is the fastest-growing region, supported by steel and mining freight corridors. - The forecast reflects highway investment, digitization of freight operations and growth in e-commerce and manufacturing.

The details: - Bharatmala Pariyojana has earmarked more than INR 5.35 lakh crore for 34,800 kilometers of economic corridors. - India’s national highway network expanded to 146,572 kilometers by March 2026 from 91,287 kilometers in fiscal 2014. - Bharatmala roadways completed reached 22,590 kilometers by March 2026. - The Eastern and Western Dedicated Freight Corridors are expected to absorb 15% to 20% of long-haul bulk cargo while creating more first-mile and last-mile road feeder demand. - Wholesale and retail trade held a 32.6% market share in 2025. - Manufacturing is forecast to grow at an 11.1% CAGR through 2035. - Construction contributed about $28.4 billion in 2025. - Agriculture is projected to grow at an 8.2% CAGR. - Domestic movements accounted for 67.0% of demand in 2025. - Cross-border freight is projected to grow at a 10.0% CAGR. - Full truckload freight was valued at about $112.7 billion in 2025. - Less-than-truckload is the fastest-growing truckload segment at a 10.9% CAGR. - Digital freight exchanges cut average waiting times at loading points from two to three days to under eight hours on high-density lanes. - Non-containerized cargo held a 91.2% share. - Containerized freight is growing at a 9.8% CAGR. - Solid goods accounted for a 77.9% share. - Fluid goods are expanding at a 10.2% CAGR. - West India led the market with about 32% of revenue in 2025. - Maharashtra held roughly 42% of the western regional share. - North India held about 28% of the market, with Delhi NCR accounting for roughly 38% of that regional share. - South India represented about 24% of the total market. - East India grew at a 10.8% CAGR, and Odisha grew at an 11.3% CAGR. - Central and Northeast India held about 6% of the market. - The Northeast was valued at about $1.4 billion and is emerging as a cross-border transit corridor. - The market’s Herfindahl-Hirschman Index was estimated below 500, signaling very low concentration. - The top ten organized players controlled only 12% to 18% of total market revenue. - Delhivery held an estimated 2.5% to 3.5% revenue share. - Transport Corporation of India held roughly 2.0% to 3.0%. - VRL Logistics held an estimated 1.8% to 2.8%. - Allcargo Logistics held about 1.5% to 2.5%. - Mahindra Logistics held roughly 1.2% to 2.2%. - Blue Dart Express held an estimated 1.0% to 2.0%. - Safexpress held roughly 1.0% to 1.8%. - TVS Supply Chain Solutions held about 0.8% to 1.5%. - Rivigo held roughly 0.8% to 1.5%. - Ecom Express held an estimated 0.7% to 1.2%.

Between the lines: - The Dedicated Freight Corridors do not appear to be shrinking road freight demand. They are shifting some cargo to rail while also creating new road feeder traffic around multimodal hubs. - The market remains fragmented, which gives digital platforms and larger logistics operators room to consolidate capacity. - East India’s faster growth suggests industrial freight demand is broadening beyond the traditional western and northern corridors.

What’s next: - Highway expansion, port-hinterland links and industrial corridor development are likely to keep supporting freight volume growth. - Consolidation is expected to accelerate as digital platforms aggregate capacity and venture-funded logistics firms buy regional operators. - The report highlights ongoing vehicle modernization, including Tata Motors’ launch of 17 next-generation trucks in January 2026 with expanded electric options and updated safety features. - More information is available in the report summary and the company’s sample request.