Ports And Logistics Look Set for a Comeback After Muted 2025, Says Jefferies — Check Top Picks

After a disappointing 2025, India’s ports and logistics sector may finally be setting up for a rebound. Jefferies believes the comeback will be helped by a low base, capacity additions, and long-awaited infrastructure connectivity coming into play.

In its 2026 outlook, the brokerage firm said that ports and logistics stocks underperformed the Nifty 50 last year as volumes failed to meet expectations, weighed down by tariff-related uncertainty and weak coal demand. With those pressures now easing into the base, the brokerage expects volume growth to recover from the first quarter of FY27.

Container volumes — which account for roughly 22% of industry throughput — grew just 6% year-on-year in the first eight months of FY26, well below the historical 10–11% average.

Coal volumes were even weaker, rising only 2%, as subdued power demand dragged on port activity. Jefferies believes both trends are likely to reverse as demand normalises and global trade conditions stabilise, with a potential India–US trade deal acting as an added tailwind.

A key catalyst on the horizon is the Dedicated Freight Corridor’s connectivity to Jawaharlal Nehru Port by the end of Q1FY27, which is expected to improve rail efficiency, reduce logistics costs, and support container traffic.

Against this backdrop, Jefferies named Adani Ports and Special Economic Zone, JSW Infrastructure, and Container Corporation of India as its top sector picks.

Adani Ports is seen as a key beneficiary of a recovery in coal and container volumes, given its high exposure to both segments. While geopolitical tensions and tariff uncertainty weighed on organic growth in the first half of FY26, Jefferies expects base normalisation to support sustainable organic volume growth of 8–10%, supplemented by international port additions and a ramp-up in logistics and marine businesses.

JSW Infrastructure’s growth thesis rests on capacity. The company has visibility on achieving nearly 390 million tonnes of capacity by FY30 — close to its stated target — aided by new port wins, including Oman, and government-led privatisation opportunities. Jefferies expects this to translate into over 20% EBITDA growth between FY26 and FY30.

For Concor, the upcoming DFC connectivity to JNPT is the key trigger. Despite a sharp underperformance in 2025, valuations have turned attractive, with Jefferies flagging a favourable risk-reward even under conservative market share assumptions.

Elsewhere, TCI Express could see operating leverage reverse as volumes recover, while Delhivery continues to face near-term headwinds from e-commerce insourcing, particularly from Meesho.