India’s ambition to emerge as a leading global logistics and pharmaceutical export hub received a strategic boost with Air India becoming the first Indian airline — and among a select few in Asia — to achieve Good Distribution Practices (GDP) certification for its air cargo operations. While the milestone may appear, at first glance, as a technical compliance update, it in fact represents a wider systemic shift: the alignment of India’s national carrier with international pharmaceutical logistics protocols, and a broader effort to embed air cargo within high-value, regulation-intensive global supply chains.

As the pharmaceutical sector increasingly becomes a key growth vector for Indian exports, and as air cargo operators look to differentiate themselves in a competitive and compliance-driven market, Air India’s certification reflects an evolution in operational readiness, infrastructure sophistication, and policy alignment.

National strategic priority

India currently ranks among the top three global pharmaceutical producers by volume and is the world’s largest supplier of generic medicines. With FY 2023–24 pharmaceutical exports reaching US$27.9 billion, up 9.4 percent year-on-year, the sector is a critical component of the country’s export economy. A significant portion of these shipments—vaccines, biologics, active pharmaceutical ingredients (APIs)—require tightly controlled cold-chain logistics, which in turn necessitate air cargo capabilities that meet globally accepted standards.

GDP certification, governed by the European Union and the World Health Organization, establishes rigorous requirements for the proper distribution of medicinal products, with a focus on preserving quality throughout the supply chain. Air India’s certification thus fills a longstanding gap in the Indian logistics ecosystem by offering an indigenous, certified carrier option for pharma exporters—a move that could lower dependency on foreign carriers or integrators for GDP-compliant services.

Air India’s GDP-certified network currently spans major cargo-exporting cities including Delhi, Mumbai, Hyderabad, Bangalore, Chennai, Ahmedabad, Indore, and Goa. These stations align with India’s key pharmaceutical manufacturing clusters, enabling exporters to engage in international air freight without relying on transshipment or third-party compliance arrangements.

Operational execution

Achieving Good Distribution Practice (GDP) certification is far more than a procedural milestone; it demands a fundamental reengineering of operational, infrastructural, and process standards across the entire air cargo chain. For Air India, the path to certification involved a rigorous audit process that scrutinised quality assurance protocols, temperature-controlled facilities, deviation management systems, and corrective and preventive action (CAPA) mechanisms.

To meet these stringent requirements, the airline has undertaken a significant modernisation of its cargo operations. It has forged strategic partnerships with GDP- and CEIV-certified cargo terminal operators at major domestic and international airports, reinforcing the physical integrity of its cold chain network. In tandem, it has deployed advanced temperature-controlled containers, both active and passive, sourced from industry-leading providers such as Envirotainer and CSafe Global.

These efforts are complemented by the introduction of cool dollies at key hubs, including Delhi, to shield pharmaceutical shipments from excessive tarmac heat exposure. Air India has also upgraded warehousing protocols, incorporating thermal blankets and other cold-chain insulation measures to minimise the risk of temperature excursions. Staff have undergone specialised training aligned with IATA’s Temperature Control Regulations (TCR), while enhanced traceability systems have been introduced to ensure end-to-end visibility and robust documentation across the cargo journey.

Together, these measures embed pharmaceutical-grade integrity into the airline’s cargo infrastructure, ensuring that sensitive medical shipments retain their efficacy and compliance from origin to destination.

Building a compliant export ecosystem

Air India’s move dovetails with a broader transformation underway in India’s air cargo policy landscape. The National Logistics Policy (NLP), introduced in 2022, explicitly identifies pharmaceuticals as a key focus area for export-oriented logistics reforms. The Ministry of Civil Aviation’s draft Air Cargo Policy, currently under stakeholder review, also emphasises the creation of temperature-sensitive cargo corridors and the integration of GDP standards across the value chain.

This policy context is critical. Despite India’s leadership in pharmaceutical production, gaps in cold chain logistics—particularly in the air-side handling and intermodal transfer of sensitive cargo—have historically undermined export reliability. Only a limited number of Indian airports currently offer GDP-certified cargo terminals. Air India’s internalisation of GDP compliance may serve as a precedent and a catalyst for wider infrastructure upgrades, especially if supported by incentives or regulatory mandates from aviation authorities.

For EU-based regulators and importers, the presence of GDP-certified Indian carriers is likely to streamline compliance checks and reduce shipment delays. It also brings India’s pharma logistics ecosystem closer in alignment with European standards—an important consideration as EU trade policy increasingly incorporates sustainability and safety benchmarks into trade preferences and market access negotiations.

Market positioning

Air India’s entry into the GDP-certified category marks a decisive step into a domain historically dominated by global carriers such as Lufthansa Cargo, Emirates SkyCargo, and Singapore Airlines Cargo—all of which possess long-standing reputations for handling temperature-sensitive pharmaceuticals under internationally recognised protocols. Yet Air India brings a unique advantage to the competitive field: a robust domestic network combined with a rapidly expanding international presence, especially along strategic pharmaceutical trade corridors linking India to the United States, Europe, and emerging markets in Africa and Southeast Asia.

The airline’s recent transformation under the Tata Group is further sharpening its competitive edge. A major fleet renewal initiative is already underway, with orders placed for next-generation wide-body aircraft designed to accommodate high-value belly cargo.

Simultaneously, new routes are being launched to connect Indian pharma hubs more directly with major consumption markets. Digitalisation is playing a central role in this evolution, with investments in real-time cargo tracking, automated temperature monitoring, and upgraded cargo handling systems. On the ground, Air India is modernising its cargo infrastructure and implementing cargo community systems (CCS) to improve coordination and transparency across the logistics chain.

These structural reforms reflect a clear intent: to compete not merely on cost, but on capability and reliability—critical factors as India’s pharmaceutical manufacturers scale their global ambitions and face rising compliance expectations from regulators and buyers alike.