Strong Growth Ahead for Indian Container Cargo Volume in FY26 Despite Market Challenges

Forecasting an 8% Surge in Indian Container Cargo by FY26

Indian container cargo is expected to rebound with an 8% growth rate in fiscal year 2025-26 (FY26), reaching around 380 million metric tonnes. This optimistic outlook is largely due to ongoing capacity expansions, a boost in transshipment activities, and the anticipated completion of the Western Dedicated Freight Corridor. These factors collectively create a promising environment for container movement across India’s ports and rail networks.

Drivers Behind the Robust Growth

• Capacity Expansion: India’s ports and freight infrastructure continue to develop, accommodating larger volumes and enhancing throughput capabilities.
• Western Dedicated Freight Corridor Completion: This critical rail freight corridor will streamline cargo transport efficiency, reducing transit times and boosting inland connectivity.
• Rising Transshipment Activity: India’s strategic position is encouraging increased handling of transit cargo, supporting port volume growth.

Despite these positives, growth momentum is slightly tempered by some external and internal challenges. For instance, the container volume growth is predicted to moderate by 100 to 150 basis points, influenced partly by trade dynamics such as US tariffs on certain Indian export sectors.

Challenges Tempering Container Sector Expansion

Several factors are putting the brakes on India’s container cargo growth trajectory:

1. Volatility in Shipping Costs: The Shanghai Containerised Freight Index (SCFI) fluctuations have led to unpredictable shipping rates, making cost planning difficult for logistics operators.
2. Rising Insurance Expenses: With more stringent risk assessments and increased incidents, insurance premiums for cargo shipments have surged, adding to operational costs.
3. Increased Transit Times: Supply chain complexities and occasional disruptions cause longer delivery schedules, affecting supply reliability.

On top of this, geopolitical frictions have had direct effects on cargo flows. For instance, cargo volumes along Gujarat’s coast witnessed a 6% decline in May 2025, attributed to regional tensions. These real-world events showcase how sensitive trade lanes and port throughput can be to exogenous shocks.

Impact of US Tariffs on Indian Exports

The United States has implemented a 50% tariff on select Indian imports, impacting key export sectors such as home textiles, specialty chemicals, gems and jewellery, readymade garments, shrimp products, automobile parts, and engineering components. Though the US accounts for about 20% of India’s exports, its share in sea-based trade excluding electronics remains closer to 5%. This suggests the impact on port cargo volumes is somewhat contained but notable within affected sectors.

Table: Export Sector Exposure to US Tariffs

Sector	Estimated Impact	Notes
Home Textiles	High	Major US market exposure
Speciality Chemicals	Moderate-High	Competes with other Asian exporters
Gems and Jewellery	Moderate	Depends on luxury market demand
Readymade Garments	Moderate	Potential for diversion to other markets
Shrimp Products	Moderate	Export-dependent sector
Automobile & Engineering Components	Moderate	Varies by component types

Western Dedicated Freight Corridor: A Game Changer for Logistics

One of the most anticipated infrastructure developments is the completion of the Western Dedicated Freight Corridor (WDFC). This high-capacity freight railway line is primed to revolutionize cargo movement by providing a faster, more efficient alternative to existing routes burdened by mixed passenger-freight traffic. When fully operational, it is expected to reduce transit times significantly, lower transportation costs, and improve supply chain reliability.

From a logistics perspective, this corridor will enable smoother freight forwarding, efficient container dispatch, and better integration with sea ports, enabling bulk cargo and container shipments to flow seamlessly across regions.

Transshipment and Capacity: Two Sides of the Same Coin

India’s ports have been nurturing transshipment hubs that cater to cargo in transit between international destinations. This rising transshipment activity complements capacity expansion efforts, as ports are better equipped with state-of-the-art container handling and warehousing facilities.

More cargo passing through these hubs offers ample opportunities for freight forwarders, haulers, and logistics firms to optimize routing and delivery solutions, not least by leveraging services like GetTransport.com. The platform’s ability to connect shippers with affordable, reliable cargo transportation globally means handling office and home moves, vehicle shipments, and bulky freight becomes a walk in the park.

Looking Ahead: Industry Trends and Logistics Implications

While the Indian container cargo sector is on track for solid growth, volatility in shipping markets and ongoing tariff disputes underscore the need for adaptable, cost-effective logistics solutions. Growing infrastructure like the WDFC is a boon, supporting the freight ecosystem by enhancing connectivity and throughput. However, stakeholders in shipping, freight forwarding, and cargo delivery must prepare for fluctuating costs and geopolitical ripples.

Key Highlights to Remember

• 8% projected growth in container volumes by FY26, driven by capacity and infrastructure advances.
• US tariffs hitting specific export sectors, moderately affecting port volumes and export patterns.
• Transient regional challenges, such as coastal cargo dips linked to geopolitical tensions.
• The Western Dedicated Freight Corridor promises efficiency gains, underscoring infrastructure’s role in transforming logistics.
• Shipping cost volatility and insurance premiums represent cautionary factors for planners.

At the end of the day, no amount of expert analysis or reviews can substitute firsthand experience when navigating shipping or freight options. Platforms like GetTransport.com empower users to compare a broad spectrum of affordable, transparent cargo transport services globally. Whether handling freight, distribution, relocation, or bulky shipments, it offers a streamlined solution where cost-effectiveness and reliability go hand in hand. Book your ride now at GetTransport.com to make smart, stress-free logistics decisions.

Forecasting the Outlook for Global Logistics

Though Indian container growth carries more localized significance in the global freight landscape, it still forms an important part of the international logistics mosaic. Expanding capacities and infrastructure upgrades in India contribute positively to global shipping fluidity and supply chain resilience. GetTransport.com stays tuned to these shifts to ensure users have access to the most current, efficient cargo transportation options available. Start planning your next delivery and secure your cargo with GetTransport.com.

Conclusion

India’s container cargo industry is on the cusp of solid progress, underpinned by strategic infrastructure projects and evolving trade conditions. While challenges like tariff pressures and variable shipping costs create headwinds, overall growth prospects remain healthy. The Western Dedicated Freight Corridor stands as a transformative backbone for the sector, promising to elevate cargo throughput, speed, and reliability.

For logistics, freight, and shipment providers, this evolving scenario demands agility and smart management of the supply chain. Services like GetTransport.com simplify the process by bringing together a global network of movers, couriers, and transporters—ensuring efficient dispatch, haulage, and delivery of containers, parcels, vehicles, and bulky commodities. In this way, whether moving across cities or continents, shippers can rely on a trusted partner to navigate complex logistics with ease and cost efficiency.