India will require more than 200 next-generation multimodal logistics parks (MMLPs) over the next two decades to handle rising freight volumes, improve cargo movement efficiency and support the country’s long-term manufacturing and trade ambitions, according to a new industry assessment. The report, prepared by the Confederation of Indian Industry (CII) and property consultancy Knight Frank India, estimates that the country will need approximately 215–216 integrated logistics hubs by 2047 as freight demand expands alongside industrial growth, urbanisation and increasing consumption. India’s freight movement is projected to reach nearly 28 billion tonnes by 2047, creating significant pressure on existing transport infrastructure. The report argues that large-scale logistics parks connected to rail, road, ports and industrial corridors will be essential to manage future cargo volumes while reducing dependence on road transport. According to the study, multimodal logistics parks integrated with Dedicated Freight Corridors (DFCs) could reduce door-to-door freight costs by as much as 43% compared with conventional road-based transportation. Such facilities are expected to improve cargo aggregation, lower handling costs, shorten transit times and reduce congestion across major freight routes. The findings come as India accelerates investments in logistics infrastructure under initiatives such as PM Gati Shakti and the National Logistics Policy. Policymakers have identified logistics efficiency as a key factor in improving export competitiveness and attracting manufacturing investments. Over the past decade, infrastructure spending worth nearly $360 billion has helped reduce India’s logistics costs to an estimated 10–10.7% of GDP from around 13–14% previously, according to the report. Despite this progress, industry experts argue that further gains will depend on the development of integrated freight ecosystems capable of supporting multimodal transportation networks. The report highlights inadequate rail connectivity between industrial clusters and freight terminals as one of the major structural challenges facing the sector. Expanding multimodal logistics infrastructure is expected to encourage a larger shift of cargo from roads to railways, which are generally more cost-efficient for long-distance freight movement. The government has already identified 35 multimodal logistics park projects under the Bharatmala programme, although implementation has faced challenges including land acquisition delays, financing constraints and connectivity issues. Several states have recently advanced logistics park projects near key industrial and port locations, reflecting growing recognition of their role in strengthening supply chain networks. Industry stakeholders believe the next phase of logistics development will increasingly focus on integrated infrastructure rather than standalone warehousing assets. Modern logistics parks are expected to combine freight terminals, container depots, warehousing facilities, cold-chain infrastructure and digital cargo management systems within a single networked ecosystem. As India targets higher manufacturing output and export growth over the coming decades, the scale and pace of logistics infrastructure development are expected to become critical determinants of supply chain competitiveness. The report suggests that without substantial expansion of multimodal freight facilities, existing transport networks could face mounting pressure from rising cargo volumes, potentially increasing logistics costs and limiting economic efficiency. Follow CARGOCONNECT for more such updates.