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India Pharmaceutical Logistics Market

ID: MRFR/PCM/55376-HCR
200 Pages
Snehal Singh
October 2025

India Pharmaceutical Logistics Market Research Report By Service Type (Transportation, Warehousing, Distribution, Packaging), By Temperature Control (Ambient, Cold Chain, Controlled Room Temperature), By End User (Pharmaceutical Manufacturers, Healthcare Providers, Retail Pharmacies, Third-Party Logistics Providers) and By Mode of Transport (Air Freight, Sea Freight, Land Transport)-Forecast to 2035

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India Pharmaceutical Logistics Market Summary

As per analysis, the India pharmaceutical logistics market is projected to grow from USD 4.42 Billion in 2025 to USD 10.96 Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 9.5% during the forecast period (2025 - 2035).

Key Market Trends & Highlights

The India pharmaceutical logistics market is experiencing robust growth driven by technological advancements and increasing demand for efficient supply chain solutions.

  • Cold chain logistics remains the largest segment, catering to the stringent requirements of temperature-sensitive pharmaceuticals.
  • Non-cold chain logistics is the fastest-growing segment, reflecting the rising demand for cost-effective distribution methods.
  • Pharmaceutical manufacturers constitute the largest segment, while third party logistics providers are emerging as the fastest-growing players in the market.
  • Key market drivers include the growing demand for pharmaceuticals and advancements in technology, which are shaping the logistics landscape.

Market Size & Forecast

2024 Market Size 4.04 (USD Billion)
2035 Market Size 10.96 (USD Billion)
CAGR (2025 - 2035) 9.5%

Major Players

DHL Supply Chain (IN), Blue Dart Express (IN), TCI Express (IN), Gati Limited (IN), Allcargo Logistics (IN), Mahindra Logistics (IN), Kuehne + Nagel (IN), FedEx Express (IN), Xpressbees (IN)

India Pharmaceutical Logistics Market Trends

The India pharmaceutical logistics market is currently experiencing a transformative phase, driven by advancements in technology and increasing demand for efficient supply chain solutions. The sector is characterized by a growing emphasis on temperature-controlled logistics, which is crucial for maintaining the integrity of sensitive pharmaceutical products. As the healthcare landscape evolves, stakeholders are increasingly focusing on enhancing distribution networks to ensure timely delivery of medications across diverse geographical regions. This shift is indicative of a broader trend towards optimizing operational efficiencies and improving patient access to essential drugs. Moreover, regulatory frameworks in India are becoming more stringent, necessitating compliance with various standards related to storage and transportation of pharmaceuticals. This regulatory environment is prompting logistics providers to invest in innovative solutions that not only meet compliance requirements but also enhance overall service quality. The integration of digital technologies, such as real-time tracking and data analytics, is further streamlining operations within the India pharmaceutical logistics market. As the sector continues to adapt to these changes, it appears poised for sustained growth, with an increasing focus on sustainability and cost-effectiveness in logistics practices.

Rise of Temperature-Controlled Logistics

The demand for temperature-controlled logistics is surging within the India pharmaceutical logistics market. This trend is largely driven by the need to preserve the efficacy of temperature-sensitive products, such as vaccines and biologics. Companies are investing in specialized storage and transportation solutions to ensure compliance with stringent regulatory standards, thereby enhancing product safety and reliability.

Digital Transformation in Supply Chain Management

Digital technologies are playing a pivotal role in reshaping the India pharmaceutical logistics market. The adoption of advanced tracking systems and data analytics is enabling logistics providers to optimize their operations. This digital transformation facilitates better inventory management, reduces lead times, and enhances overall service delivery, ultimately benefiting healthcare providers and patients alike.

Focus on Regulatory Compliance and Quality Assurance

As regulatory requirements become more rigorous, the India pharmaceutical logistics market is witnessing a heightened focus on compliance and quality assurance. Logistics companies are prioritizing adherence to guidelines set forth by health authorities, which is fostering a culture of accountability and transparency. This trend is essential for maintaining the integrity of pharmaceutical products throughout the supply chain.

Market Segment Insights

By Application: Cold Chain Logistics (Largest) vs. Non-Cold Chain Logistics (Fastest-Growing)

In the India pharmaceutical logistics market, cold chain logistics holds the largest market share, primarily due to the increasing demand for temperature-sensitive pharmaceuticals such as vaccines and biologics. This segment's robust infrastructure and advanced technology adoption ensure the safe transportation and storage of these sensitive products. Conversely, non-cold chain logistics, while smaller in share, is rapidly expanding as the demand for non-temperature-sensitive pharmaceuticals increases, indicating a shift in logistics strategies across the industry.

Cold Chain Logistics (Dominant) vs. Non-Cold Chain Logistics (Emerging)

Cold chain logistics is characterized by its critical role in maintaining the efficacy of temperature-sensitive pharmaceuticals, leveraging insulated packaging and temperature-controlled vehicles. Dominating the market due to stringent regulations and heightened public health awareness, this segment plays a vital role in disease management, especially during vaccination drives. On the other hand, non-cold chain logistics is emerging as companies diversify their product offerings, catering to a broader range of pharmaceutical goods. The increasing complexity of the drug supply chain is paving the way for innovative logistics solutions, making non-cold chain logistics a notable focal point for growth and investment.

By End Use: Pharmaceutical Manufacturers (Largest) vs. Third Party Logistics Providers (Fastest-Growing)

In the India pharmaceutical logistics market, the distribution among end uses reveals Pharmaceutical Manufacturers holding the largest share, underlined by their crucial role in drug production and supply chain efficiency. The presence of numerous pharmaceutical companies, including large and medium-sized enterprises, significantly contributes to this dominance. In contrast, the rapidly growing segment of Third Party Logistics Providers has been gaining traction, owing to their ability to offer specialized logistics solutions and enhance operational flexibility for pharmaceutical companies.

Pharmaceutical Manufacturers (Dominant) vs. Third Party Logistics Providers (Emerging)

Pharmaceutical Manufacturers represent the dominant force in the India pharmaceutical logistics market, characterized by well-established networks and partnerships that streamline distribution channels. Their strength lies in their experienceful handling of sensitive pharmaceuticals that demand temperature control and timely delivery. Conversely, Third Party Logistics Providers are emerging as vital players, driven by increasing demand for specialized logistics expertise. They offer tailored services like cold chain management and inventory optimization, accommodating the diverse needs of pharmaceutical clients. Their flexibility and scalability position them as essential partners, especially for smaller pharmaceutical companies looking to enhance their logistic capabilities without extensive investment.

By Service Type: Transportation Services (Largest) vs. Distribution Services (Fastest-Growing)

In the India pharmaceutical logistics market, the service type segment demonstrates a diverse landscape of service offerings with transportation services leading the charge. This segment holds the largest share, reflecting the critical need for efficient transportation networks in delivering pharmaceuticals across the country. In contrast, distribution services have showcased remarkable growth, positioning themselves as the fastest-growing domain within this market, responding to the increased demand for rapid and reliable distribution channels.

Transportation Services (Dominant) vs. Warehousing Services (Emerging)

Transportation services dominate the India pharmaceutical logistics market due to their crucial role in ensuring timely and effective delivery of pharmaceutical products. These services encompass various modes of transport, including road, rail, and air, tailored to meet the unique requirements of sensitive pharmaceutical goods. Meanwhile, warehousing services are emerging as a significant player, driven by the need for specialized storage facilities that comply with stringent regulatory standards. The growth in e-commerce and online pharmacies is further propelling the demand for integrated warehousing solutions, positioning them for substantial growth in the coming years.

Get more detailed insights about India Pharmaceutical Logistics Market

Key Players and Competitive Insights

The pharmaceutical logistics market in India is characterized by a dynamic competitive landscape, driven by increasing demand for efficient supply chain solutions and the growing complexity of pharmaceutical distribution. Key players such as DHL Supply Chain (IN), Blue Dart Express (IN), and TCI Express (IN) are strategically positioned to leverage their extensive networks and technological capabilities. DHL Supply Chain (IN) focuses on innovation and digital transformation, enhancing its operational efficiency through advanced tracking systems and automated warehousing solutions. Meanwhile, Blue Dart Express (IN) emphasizes regional expansion, aiming to strengthen its presence in tier-2 and tier-3 cities, thereby broadening its customer base. TCI Express (IN) adopts a strategy centered on supply chain optimization, ensuring timely deliveries and maintaining the integrity of temperature-sensitive products, which is crucial in the pharmaceutical sector.

The market structure appears moderately fragmented, with several players competing for market share. Key business tactics include localizing manufacturing and optimizing supply chains to reduce lead times and costs. The collective influence of these major companies shapes a competitive environment where agility and responsiveness are paramount. As companies strive to differentiate themselves, the focus on customer-centric solutions and operational excellence becomes increasingly evident.

In November 2025, DHL Supply Chain (IN) announced a partnership with a leading pharmaceutical manufacturer to implement a state-of-the-art cold chain logistics solution. This strategic move is likely to enhance the company's capabilities in handling temperature-sensitive products, thereby reinforcing its position as a leader in the pharmaceutical logistics sector. The partnership not only signifies a commitment to quality but also aligns with the growing demand for reliable cold chain solutions in the industry.

In October 2025, Blue Dart Express (IN) launched a new service aimed at expediting the delivery of critical medical supplies to remote areas. This initiative reflects the company's strategic focus on expanding its reach and improving service levels in underserved regions. By enhancing its logistics capabilities, Blue Dart Express (IN) positions itself as a vital player in ensuring access to essential medicines, which is increasingly important in the current market landscape.

In September 2025, TCI Express (IN) unveiled a new digital platform designed to streamline order processing and enhance customer engagement. This platform is expected to improve operational efficiency and provide real-time tracking for clients, thereby addressing the growing demand for transparency in the supply chain. The introduction of this technology underscores TCI Express (IN)'s commitment to innovation and responsiveness in a competitive market.

As of December 2025, current trends in the pharmaceutical logistics market include a pronounced shift towards digitalization, sustainability, and the integration of AI technologies. Strategic alliances among key players are shaping the landscape, fostering collaboration that enhances service offerings and operational capabilities. The competitive differentiation is likely to evolve from traditional price-based competition to a focus on innovation, technology adoption, and supply chain reliability, reflecting the industry's response to changing consumer expectations and regulatory requirements.

Key Companies in the India Pharmaceutical Logistics Market market include

Industry Developments

The India Pharmaceutical Logistics Market has experienced significant developments recently, driven by the increasing demand for efficient supply chain solutions amid the growing pharmaceutical sector.

Notably, in October 2023, Blue Dart Aviation announced enhancements to its cold chain logistics services to support the distribution of temperature-sensitive pharmaceutical products. Additionally, C.H. Robinson has expanded its operations in India, focusing on improving its logistics solutions for pharmaceutical companies.

Major companies like Mahindra Logistics and Allcargo Logistics are also investing in technology-driven logistics solutions to optimize their operations. In terms of mergers, GATI Limited was acquired by Allcargo Logistics in April 2023, aimed at enhancing supply chain capabilities. Meanwhile, DB Schenker is exploring strategic partnerships with local logistics firms to bolster its presence in India.

The market is witnessing healthy growth, with the Indian pharmaceutical logistics sector projected to reach USD 16 billion by 2025, largely driven by the expansion of e-commerce and improvements in last-mile delivery services. Over the last few years, the Indian government has also implemented favorable policies to enhance supply chain efficiency, significantly impacting the logistics landscape for pharmaceutical companies.

Future Outlook

India Pharmaceutical Logistics Market Future Outlook

The Indian pharmaceutical logistics market is poised for growth at 9.5% CAGR from 2024 to 2035, driven by technological advancements, regulatory support, and increasing healthcare demands.

New opportunities lie in:

  • Implementation of temperature-controlled supply chain solutions
  • Expansion of automated warehousing systems
  • Development of real-time tracking and monitoring technologies

By 2035, the market is expected to achieve robust growth, enhancing efficiency and service delivery.

Market Segmentation

India Pharmaceutical Logistics Market End Use Outlook

  • Pharmaceutical Manufacturers
  • Contract Logistics Providers
  • Third Party Logistics Providers
  • Healthcare Institutions

India Pharmaceutical Logistics Market Application Outlook

  • Cold Chain Logistics
  • Non-Cold Chain Logistics
  • Pharmaceutical Warehousing
  • Transportation Management

India Pharmaceutical Logistics Market Service Type Outlook

  • Transportation Services
  • Warehousing Services
  • Inventory Management Services
  • Distribution Services

Report Scope

MARKET SIZE 20244.04(USD Billion)
MARKET SIZE 20254.42(USD Billion)
MARKET SIZE 203510.96(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)9.5% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Billion
Key Companies ProfiledDHL Supply Chain (IN), Blue Dart Express (IN), TCI Express (IN), Gati Limited (IN), Allcargo Logistics (IN), Mahindra Logistics (IN), Kuehne + Nagel (IN), FedEx Express (IN), Xpressbees (IN)
Segments CoveredApplication, End Use, Service Type
Key Market OpportunitiesAdoption of advanced cold chain solutions enhances efficiency in the India pharmaceutical logistics market.
Key Market DynamicsRising demand for temperature-controlled logistics solutions drives innovation in India's pharmaceutical supply chain.
Countries CoveredIndia

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FAQs

What is the expected market size of the India Pharmaceutical Logistics Market in 2024?

The India Pharmaceutical Logistics Market is expected to be valued at 3.83 billion USD in 2024.

What will be the market value of the India Pharmaceutical Logistics Market in 2035?

In 2035, the overall market is anticipated to reach 7.5 billion USD.

What is the expected compound annual growth rate (CAGR) for the India Pharmaceutical Logistics Market from 2025 to 2035?

The CAGR for the India Pharmaceutical Logistics Market is projected to be 6.3% from 2025 to 2035.

Which segment is projected to dominate the market by service type in 2024?

Transportation is expected to be the largest segment, valued at 1.15 billion USD in 2024.

What is the expected value of the warehousing segment in the India Pharmaceutical Logistics Market by 2035?

The warehousing segment is anticipated to be valued at 1.85 billion USD in 2035.

Who are the major players in the India Pharmaceutical Logistics Market?

Key players include Blue Dart Aviation, C.H. Robinson, Mahindra Logistics, and DHL Supply Chain.

What is the expected market size for the distribution segment in 2024?

The distribution segment is projected to be valued at 1.2 billion USD in 2024.

What is the market size forecast for the packaging segment in 2035?

The packaging segment is expected to reach a value of 1.0 billion USD by 2035.

What growth drivers are influencing the India Pharmaceutical Logistics Market?

Key growth drivers include increasing demand for pharmaceuticals and advancements in logistics technology.

What challenges does the India Pharmaceutical Logistics Market face?

Challenges include regulatory hurdles and the need for cold chain logistics solutions.

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