JNPA allots India Post 6-acre of land parcel for logistics hub

The Jawaharlal Nehru Port Authority (JNPA) has allocated a land parcel to India's Postal Department to develop a major logistics hub near the recently inaugurated Navi Mumbai International Airport. The lease for the six-acre plot is set for an initial term of 30 years.

V. K. Mishra, Additional Director General of Foreign Trade (DGFT) said, "JNPA has given a parcel of land, a big land piece to the postal department which will be creating a hub there, especially in view of the airport which was inaugurated".

The announcement was made during the India Post Logistics: Connecting India with the world event, organised by the Department of Maharashtra Circle to celebrate National Postal Week 2025.

Amitabh Singh, Chief Post Master General of Maharashtra and Goa, elaborated to Indian Transport & Logistic News and said, "It's six acres of land, we'll start with 30 years then go up from there".

Expanding logistics capabilities

India Post has been adapting to new logistical challenges, including handling heavy and unconventional shipments. Singh noted that the department faced a steep learning curve with parcels starting from over 80 kgs. Despite this, the organisation has successfully managed large-scale deliveries.

"If I look at my figures, we've delivered 7,81,000 of these parcels to all kinds of tradesmen including toymakers, blacksmiths, armorers, potters, and masons handling heavy-duty equipment,” he said.

The department also successfully in early 2025, dispatched nearly 9 lakh FIFA footballs from Bhiwandi near Thane for distribution to schools nationwide.

The initiative, known as Footballs For Schools (F4S), was a collaboration between the Department of Posts, the Ministry of Education, and Educational Consultants India.

The distribution involved sending 45,000 boxes, each weighing 10 kg, from four warehouses in Bhiwandi. These were sent to 670 locations across India, from Srinagar to Kanyakumari.

International expansion and US market update

On the international front, India Post is extending its reach and technological prowess, playing a central role in India's digital diplomacy initiatives.

A key element of this strategy is a collaboration with the Universal Postal Union (UPU) to integrate India's Unified Payments Interface (UPI) with the UPU's global interconnection platform. This initiative is set to create a secure and low-cost channel for cross-border remittances, leveraging the trusted postal networks of participating countries, with a significant focus on nations in Africa and South America.

This effort complements the broader mission of the National Payments Corporation of India (NPCI) to expand UPI's global footprint. While NPCI brokers direct country-level adoption such as Namibia's licensing agreement in April 2024 and South Africa's exploration of UPI QR acceptance in August 2024, India Post's role is to facilitate these financial flows through the established international postal system.

In recognition of its growing global influence, India Post has been selected as a member of the UPU's prestigious Postal Operations Council and the Council of Administration.

Regarding trade with the United States, Chief Post Master General Amitabh Singh provided a positive update on recent challenges. He confirmed that all shipments to the US have resumed as of five days ago, marking the end of a temporary suspension that began on August 25, 2025.

The suspension was a response to a US executive order issued on July 30, which eliminated the long-standing $800 duty-free allowance for low-value imports. The rule change meant that all postal items, regardless of value (except for gifts up to $100), would attract customs duties.

While the Indian government continues negotiations to address the underlying tariff issues, India Post has successfully adapted to the new framework, allowing services to be fully restored.

Revenue growth targets

Addressing the future outlook, Singh outlined growth targets for the organisation and said, "We're targeting a 30% growth, and we expect to achieve a 18 to 20% growth in FY26".

The strategy for achieving this growth hinges on expanding service offerings to attract new clientele and win back former customers who had shifted to competitors. "A lot of segments were not using our services; they were using our competitors or other service providers," Singh said. "So, if we provide those services which they wanted, they might find us an opportunity."

While acknowledging that the 30% target is ambitious, Singh expressed strong confidence that a growth rate between 18% and 20% is very likely, with the higher target remaining achievable.

The India Post Payments Bank (IPPB) has demonstrated financial performance, recording revenues exceeding ₹2,000 crore (₹20 billion) and a profit of ₹134 crore (₹1,340 million).

As per the news reports, the bank has successfully expanded its customer base to over 12 crore and has maintained a compound annual growth rate (CAGR) of 60% to 70% over the past two years.