A year-end look at the human face of India’s green logistics shift

As 2025 concludes, the narrative of India's logistics expansion is not solely about soaring GDP figures or expanding warehouse space; it is about the human cost, embodied by the 42-year-old truck driver, Rajesh, idling by a highway dhaba near Mumbai, waiting for a 'Green Corridor' clearance that remains elusive.

Rajesh, a fifteen-year veteran of the road, has experienced a paradoxical year. While logistics firms have reported record profits, driven by a nation demanding rapid, on-demand delivery of everything from groceries to appliances, his own experience has been one of stagnation and pollution.

"My daughter wants to be a doctor," Rajesh shares, wiping grime from his dashboard. "But when I return for the holidays, she’s the one using the nebulisernebulizer on me. It’s the irony of the road: I move the goods that build the country, but the air I breathe while doing it is taking my breath away."

The logistics sector, while the backbone of the economy, is also a contributor to India’s carbon footprint. Over 70% of freight transport relies on roads, predominantly using older, heavy-duty diesel vehicles. Congested infrastructure and checkpoints force trucks to idle for hours, releasing concentrated pollutants into surrounding communities. For millions of drivers and warehouse staff, PM2.5 is not a statistic but the stinging reality at the end of a 12-hour shift.

Vikas Choudaha, EVP & Business Head, Storage Solutions at Godrej Enterprises Group said, “Over the past year, India’s logistics sector has moved into a phase of deeper structural maturity. Continued infrastructure investments under PM GatiShakti, faster development of multimodal corridors, and the strengthening of digital platforms have significantly improved freight efficiency and network coordination.”

Saransh Narula, CFO at FuelBuddy, highlights, “The fuel management sector has moved decisively toward automation this year, with technology playing a critical role in optimising consumption, minimising losses, and enabling scalable, sustainable operations for enterprises.”

A tipping point for change
As 2025 ends, a shift is underway. In the same truck lot where Rajesh waits, a few sleek, silent electric cargo vans are visible, plugged in and charging. The industry is reaching a tipping point, with major players actively transitioning toward LNG for long-haul routes and EVs for last-mile delivery.

Government policies are reinforcing this change, advocating for green logistics parks that prioritise rail over road to reduce the carbon intensity of freight movement.

Sustainability has emerged as a central pillar of growth. The industry is now prioritising energy optimisation, improved asset utilisation, and the adoption of cleaner technologies across all aspects, from warehousing to material handling, alongside a greater emphasis on modal efficiency.

“I see the electric bikes in the city now,” Rajesh observes, watching a delivery rider pass by without a trace of smoke. “They don't leave a cloud behind. I hope by next December, I’m driving something that lets me breathe as easily as the people receiving the packages.”

The story of Indian logistics in 2025 is a bittersweet account: a sector that has mastered the speed of delivery but is still reckoning with the hidden cost of its fuel. Moving into 2026, the sector's challenge is no longer just moving goods from A to B, but doing so without casting a pall of grey over a world striving for blue skies, Rajesh added.