Logistics Market Eyeing Phenomenal Growth at a healthy CAGR of 7.2% | Market Research Future (MRFR)

Key players profiled in the Logistics Market report include C.H. Robinson Worldwide, Inc. (U.S.), Ceva Holdings LLC (U.K.), FedEx Corp. (U.S.), XPO Logistics Inc. (U.S.), Expeditors International of Washington, Inc. (U.S.), DHL International GmbH (Germany), DSV Global Transports and Logistics (Denmark), A.P. Moller – Maersk (Denmark), Schenker AG (Germany), GEODIS (France), DTDC Express Limited (India) and other.

Pune, April 08, 2021 (GLOBE NEWSWIRE) -- Logistics is a promisingly growing market space, states Market Research Future (MRFR), the leading Indian research firm. MRFR, in its recent research report, asserts that the global logistics market would touch an exponential valuation by 2027, growing at a 7.2% CAGR during the forecast period (2020-2027). The market growth is directly related to the rising landscape of international trades and the global economy.

The global supply chain is changing continuously, and technological advances in integrated solutions, such as warehousing, security management, information & inventory management, material handling, packaging, and transportation, streamline operations in the long run. 

Favorable government trade policies provide significant expansion opportunities to the existing vendors, increasing the demand for logistic services. Simultaneously, economic reforms and government initiatives to strengthen manufacturing sectors attract vast investments.

The development of transport and logistics-related infrastructures, such as dedicated freight corridors, logistics parks, free trade warehousing zones, and container freight stations, helps improve transportation efficiency. Governments across countries worldwide strive to make the economy competitive by increasing domestic and international trades, creating employment, and reducing logistic costs and congestion on roads. 

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Logistics plays a causal role in minimizing the effect of variable temperature and protecting the product from physical damage, maintaining product specifications by keeping them warm, frozen, or refrigerated. Growing uses of logistics that can preserve the cold chain for shipping temperature-sensitive products such as food & beverage, chemical, and personal care stimulate the market size.

COVID-19 Impact

The COVID-19 outbreak severely hit the Logistics market industry, causing huge revenue losses to end-user industries. Also, the coronavirus-driven lockdown halted trades within the domestic and international market. However, the logistics market soon returned to normal, witnessing the steadily increasing demand, especially from the healthcare sectors. 

Constant demand for healthcare supplies and COVID-19 vaccine, alongside the rising distribution activities of coronavirus vaccine worldwide, is increasing the logistic market share. As pharmaceutical manufacturers race to respond to the global health crisis with a vaccine, the need for timely delivery and distribution remains a priority.

Industry Trends

Policy reforms that have improved the business landscape and ease of doing business contribute to the market growth. Moreover, rapid globalization, alongside the growing population and changing consumption patterns, has increased import-export activities in countries worldwide. The rise of e-commerce over the past couple of years has further boosted transportation revenues.

There has been considerable growth across the supply and value chain as a whole. Logistics infrastructures are vast developments, which are expected to continue till 2023. Automation in supply chains and logistics has become a prevalent trend. Strategic partnerships, especially between new suppliers & competitors and policy reforms, alongside the increasing consumerism, increase the complexity of the already fragmented supply chains.

Logistic leaders adapt changing landscape by improving collaboration skills, equipping their teams with appropriate insights and eliminating existing system-wide silos. Logistics provide access to a broad array of products and reduce supply chain waste and expenses, delivering quality customer service with premium care.

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logistics industry.



The logistics market analysis is segmented into transportation type, logistic type, end-user industry, and region. The transportation type segment is sub-segmented into airways, waterways, railways, and roadways. The logistic type segment is sub-segmented into first party, second party, and third party. Among these, the sub-segment second-party logistics accounts for the largest market share. 

The End-user segment is sub-segmented into industrial & manufacturing, retail, healthcare, oil & gas, and others. Among these, the sub-segment manufacturing accounts for the largest market share. By regions, the market is sub-segmented into the Asia Pacific, Americas, Europe, and rest-of-the-world.

Regional Segmentation

The Asia Pacific region dominates the global logistics market, heading with the increased trading in domestic and international markets. Besides, the increased adoption of outsourced logistic services drives the growth of the market in the region. Increasing imports and exports, alongside the huge demand for logistic services due to the economic growth and urbanization, impact the market growth positively. 

Among major logistics markets such as China, Japan, India, Australia, and Indonesia, China holds the largest market share, followed by India due to the huge population and large manufacturing base in these countries. Moreover, vast investments for developments and upgrades in the logistic industry in the region increase the market share. 

North America accounts for the second-largest market for logistics, mainly due to the increasing trade activities between the region and most European and APAC countries. Additionally, the growing demand from the pharmaceutical sectors, alongside the burgeoning eCommerce sector, drives the market demand. The US, with its largest import-export sector, dominates the regional market.

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The European logistics market has emerged as a profitable market globally. Increased demand for foreign goods has strengthened the trade relations of the region. Furthermore, the vast adoption of logistic solutions for the pharmaceutical industrial goods sectors increases the region's market share. The growing manufacturing sector and increasing e-commerce businesses in the region boost the growth of the market. 

Competitive Analysis

The logistics market is witnessing several strategic approaches, such as collaboration, mergers & acquisitions, expansion, and product launches. Leading industry players make strategic investments in research and development activities and foster their expansion plans. 

India is increasingly becoming a trading hub worldwide. The country is strategically important for international exports of goods and services, totaling about a significant valuation. International players strive to expand their global footprint by increasing their presence in India. 

 For instance, recently, on Apr. 01, 2021, World Logistics Passport (WLP), a loyalty program to increase trading opportunities between emerging markets, announced its expansion in India, adding Hyderabad state as its second hub and partnering with two GMR group's subsidiaries operating at the Hyderabad airport. GMR group (Grandhi Mallikarjuna Rao Group) employs the public-private partnership model.

Also, the Group has implemented several infrastructure projects in India. On Feb. 03, 2021, WLP signed with Mumbai International Airport, Nhava Sheva International Container Terminal, and Emirates SkyCargo in India as partners, sharing expertise to smooth trade flows around the world.

India is also set to expand its military logistics integration. On Apr. 01, 2021, the Indian military got a formal roll-out of its long-awaited theaterization plan to best utilize its military's resources amid growing security threats, with the Air Defence Command and the Maritime Theatre Command set to be launched by May.

Key players profiled in the Logistics Market report include.

  • Ceva Holdings LLC (UK)
  • C.H. Robinson Worldwide, Inc. (US)
  • FedEx Corp. (US)
  • Expeditors International of Washington, Inc. (US)
  • XPO Logistics Inc. (US)
  • DHL International GmbH (Germany)
  • A.P. Moller – Maersk (Denmark)
  • DSV Global Transports and Logistics (Denmark)
  • Schenker AG (Germany)
  • DTDC Express Limited (India), and
  • GEODIS (France), among others.

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