DHL Group deepens India bet with €1 billion investment, strengthens Blue Dart synergies

DHL Group is sharpening its long-term commitment to India with a fresh €1 billion investment pipeline through 2030, betting on the country’s booming demographics, improving infrastructure and rising relevance as a global manufacturing and export hub, says Tobias Meyer, CEO DHL Group.

The logistics major, present in India for over four decades, is expanding capacity across warehousing, healthcare logistics, technology, and green operations, positioning the country as one of its most important growth engines worldwide he adds.

While addressing the media, Meyer said DHL’s bullishness on India is underpinned by what it describes as the country’s convincing and positive demographics, improved governance, and significant progress in infrastructure and digital systems. Multinational corporations are increasingly adopting a “China+1” or “Asia+1” strategy to diversify supply chains, and India is emerging as a preferred location not just for domestic sales but also for export-oriented manufacturing.

DHL views this shift as a major structural opportunity and has, therefore, included India in its GT20 initiative, a list of countries expected to experience strong tailwinds from geopolitical and economic realignments.

He adds that even as DHL deepens its India presence, the company is simultaneously navigating a complex global environment. In the latest quarter, the group saw revenue pressure due to a slowdown in US trade volumes and currency headwinds arising from euro movements against the rupee and dollar. Despite this, the company improved profitability, increasing operating profit by 8% and earnings per share by 16%, supported by cost optimisation and share buybacks.

Sustainability is another major pillar of DHL’s India strategy. Under its GoGreen Plus programme, the company is expanding solar adoption, electrifying last-mile deliveries, and investing in sustainable aviation fuel (SAF). While SAF production is still limited in India, DHL is using SAF purchased abroad to offset emissions and aims to scale its green initiatives as local availability improves.

DHL operates four major divisions in India Express, Global Forwarding, Supply Chain, and eCommerce each catering to a different layer of global and domestic logistics. DHL Express, the company’s asset-heavy international transportation arm, runs a fleet of about 300 aircraft worldwide and is designed to offer the fastest connections between any two points on the globe. In India, its network is heavily complemented by Blue Dart, a 75% DHL-owned subsidiary, which provides unmatched connectivity across remote and hard-to-reach PIN codes.

Blue Dart’s extensive footprint spanning more than 55,000 locations makes it one of the most formidable ground distribution networks in the country. This capability is further strengthened by Blue Dart Aviation, which operates 26 domestic flights daily and is headquartered in Chennai. The airline also manages its own MRO (maintenance, repair, and overhaul) facility, underscoring DHL’s deep operational integration in India. This partnership enables DHL Express couriers in metros and major cities to lean on Blue Dart for timely pickups and deliveries in Tier 2, Tier 3, and rural markets.

Across other business lines, the group’s scale in India is equally significant. DHL now employs about 40,000 people in the country and manages nearly 20 million square feet of warehousing space, much of it serving fast-growing sectors like pharmaceuticals, healthcare, automotive, and consumer goods. DHL Supply Chain recently inaugurated a new pharma-grade warehouse in Bhiwandi, showcasing its sector-focused expansion. The facility is part of a broader strategy to strengthen healthcare logistics, supported by acquisitions such as CryoPDP, which specializes in cold-chain transportation for sensitive medical products.

The company is also betting big on India as a global technology hub. Of the 6,000 employees in its global IT services arm, around 2,000 are based in India across five centers, including Chennai and Indore. These teams support DHL’s digital initiatives in automation, AI-enabled optimisation, and compliance systems, reflecting the country’s importance in the group’s long-term digital roadmap.

With its multi-billion-euro commitment, growing aviation presence, deepened Blue Dart synergies and specialised focus areas like healthcare logistics and digital technology, DHL sees India not just as a market but as a strategic pillar of its global network for the next decade, adds Meyer.