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Saudi Arabia Dry Logistics Market is Driven by Introduction and Adoption of Newer Technologies that will have Strong Influence on Delivery & Service Offerings in the Industry: Ken Research

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Ken Research

09 Jun, 2021, 14:15 GMT

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GURUGRAM, India, June 9, 2021 /PRNewswire/ --

Key Findings

  • During Covid pandemic, cargo was backlogged at KSA's major container ports; travel restrictions led to a shortage of truck drivers to pick up containers and ocean carriers canceled sailings.
  • Saudi customs authority has restricted freight forwarders to only 2 brokers from each company at all ports of entry, which is causing delays in freight clearances.
  • Strong demand is anticipated for full fledged integrated distribution centers including logistics facilities, dry storage; cold storage and supporting retail facilities.

Technological advancements would ensure improved supply chain transparency, enhance supply chain security and lead to improved cost efficiency within logistics framework in Saudi Arabia. Rise of automation and VASs to give a competitive edge is changing the way warehouses operate. In addition, warehousing companies are seeking business support, such as IT solutions and financing from both government as well as non-government sources.

Development of Logistics Infrastructure: Government of KSA is taking initiatives for development of economic zones and logistics centers to accommodate the increasing demand of freight forwarding owning to economic diversification & Vision 2030. KSA government aims to aggressively drive and position 50 islands and 100 miles of Red Sea as a global tourist destination. Expansion of Red Sea corridor in Jeddah, the minerals hub in Yanbu, King Abdullah port and NEOM project are also expected to drive the freight forwarding industry. Saudi Arabian government is investing to improve its port infrastructure that envisages using innovative technological solutions to also automate processes & activities. With the new plans of improvement, the rail network is expected to have connectivity with ports, major transport hubs, warehouses, freight terminals, and distribution centres, which will decrease the transportation time from coast to coast (which currently takes about 10 days, and is expected to decrease to 10-15 hours by rail).

KSA Government opened the retail and wholesale sectors to 100% foreign ownership and has launched a large privatization programme. Competition will intensify due to entrance of global players due to flexible rules and regulations thus, leading to surge in M&A's and further intensifying the competition in the freight forwarding market. The government is also developing Free Zones near KSA airports which are aimed to attract foreign businesses by relaxed licenses & taxation policies, thus increasing more foreign investments in the country.

Increasing adaptation of E-Commerce as a result of restrictions posed by the COVID-19 pandemic will bring change in terms of consumer buying behaviour. Big retailers for instance, Carrefour and Abu Dawood reported surge in online sales of up to 200-300% in 2020 and further expect an escalating growth trajectory in the long-term.

The report titled "Saudi Arabia Dry Logistics and Warehousing Market Outlook to 2025 – Warehousing Automation and Investment within Transport Infrastructure to Drive Market Revenue)" by Ken Research suggested that the dry logistics market is further expected to grow in the near future as companies are willing to expand in terms of fleet size and warehousing space; potential regional opportunities; shifting to asset light model for warehousing / storage availability. The government can establish a logistics manpower framework, establish a skills council for logistics; pricing at sea ports to attract FDI, revise regulations around customs licensing, promoting bonded logistics & strengthen-ing trade relations with other countries. The market is expected to register a positive six year CAGR of 1.3% in terms of revenue during the forecast period 2019-2025F.

Key Segments Covered in KSA Dry Logistics Market:-

  • Service Mix
    • Freight Forwarding
    • Warehousing
    • Value Added Services
  • Regions
    • Jeddah
    • Riyadh
    • Dammam
    • Rabigh
    • Others (Al- Khobar, Medina, Tabuk and several other cities)
  • KSA Dry Freight Forwarding Market
    • Mode of Freight
      • Road Freight
      • Air Freight
      • Sea Freight
      • Rail Freight
    • International and Domestic Freight
      • Road Freight
      • Air Freight
      • Sea Freight
    • International and Domestic Companies
    • Flow Corridors (International Freight)
      • Asian Countries
      • European Countries
      • Middle East
      • NAFTA (North American Free Trade Agreement)
      • Other Regions (Africa and South America)
  • KSA Dry Warehousing Market
    • Business Model
      • Industrial / Retail
      • Container Freight / Inland Container Depots
    • End Users
      • Construction Material / Industrial
      • Consumer Retail
      • Food and Beverage
      • Healthcare
      • Automotive
      • Others (Agriculture, Chemicals and Rest)
    • Entities
      • Real Estate Companies
      • Captive Companies
      • Logistics Companies
    • Cities
      • Jeddah
      • Riyadh
      • Dammam
      • Others (Al-Khobar, Medina, Tabuk and other cities)
  • KSA Customs Clearance Market
    • Overall Value Added Services
      • Customs Clearance Revenue by Sea
      • Customs Clearance Revenue by Air
    • Transhipment Cargo Volume
      • Discharged Transhipment Containers
      • Loaded Transhipment Containers

Key Target Audience:-

  • International Domestic Freight Forwarders
  • Warehousing Companies
  • Logistics Companies
  • Logistics Consultants
  • Customer Clearance and Container Yards
  • Integrated Logistic Companies

Time Period Captured in the Report:-

  • Historical Period: 2014-2019
  • Forecast Period: 2019–2025

Companies Covered:-

  • Karsf
  • LSC
  • JAS
  • Arabco
  • Mubarrad
  • Bahri
  • Defaf logistics
  • Wolf Logistics
  • Namma Cargo
  • Almajdieou
  • Al Ayed
  • Agility logistics
  • Four winds logistics
  • Globus Logistics
  • Space logistics
  • Atlas world
  • Uniworld Freight Services
  • Hellman
  • BAFCO International Logistics and Shipping Co.
  • Hala Supply Chain
  • RAZ
  • Gulf system
  • Platinum shipping and logistics
  • MSC
  • OCSCL (Oriental Commercial & Shipping)
  • NTF Group
  • Abdui Global
  • Al rashed
  • GAC
  • Kanoo terminal Services

Online Retail Companies Covered:-

  • Carrefour
  • Panda Retailing
  • Abdullah Othaim Market
  • Danube
  • Tamimi Market
  • Lulu Hypermarkets

Key Topics Covered in the Report:-

  • Saudi Arabia Overview and Major Economic Zones
  • Saudi Arabia Dry Logistics and Warehousing Market
  • Trade Scenario
  • Saudi Arabia Dry Freight Forwarding Market
  • Saudi Arabia Dry Warehousing Market
  • Snapshot on Saudi Arabia Customs Clearance and Transhipment Market
  • Industry Analysis (Decision Making Process, SWOT Analysis, VAT Impact and Law of Public Transport on Roads of KSA)
  • Cost of Setting up a Logistics Business in Saudi Arabia
  • Comparative Landscape – KSA Dry Logistics Market
  • Comparative Landscape in Saudi Arabia Online Retail Market
  • Recommendations / Success Factors
  • Research Methodology
  • Appendix
  • Warehousing Automation in Saudi Arabia
  • Transport Infrastructure Saudi Arabia
  • Seaport Operations Saudi Arabia
  • Jubail Port Saudi Arabia
  • Jeddah Islamic Port Saudi Arabia
  • King Abdul Aziz Port Saudi Arabia
  • Maritime Network Saudi Arabia
  • Yanbu Commercial Port Saudi Arabia
  • King Fahad Industrial Port Yanbu Saudi Arabia
  • Jubail Commercial Port Saudi Arabia
  • Ras Al-Khair Port Saudi Arabia
  • Dhiba Port Saudi Arabia
  • Jizan Port Saudi Arabia
  • Major Trade Routes Saudi Arabia
  • Port Handling Capacity Saudi Arabia
  • Saudi Arabia Port Berths
  • Saudi Arabia Port Terminal Operators
  • Saudi Arabia Cargo Logistics
  • Saudi Arabia Warehousing Operations
  • Trucks on Road Saudi Arabia
  • King Abdullah Economic City KSA
  • Dry Logistics Revenue Saudi Arabia
  • Value Added Services Saudi Arabia
  • Saudi Arabia Online Freight Platforms
  • Saudi Arabia Bonded Warehouses & Zones
  • Saudi Arabia Customs Clearance Procedures
  • Saudi Arabia Overall Logistics Revenue
  • Leading Export Categories Saudi Arabia
  • Leading Import Categories Saudi Arabia
  • Saudi Arabia Dry Freight Forwarding Market
  • International Freight Saudi Arabia
  • Dry Freight Saudi Arabia
  • Road Freight Saudi Arabia
  • Sea Freight Saudi Arabia
  • Air Freight Saudi Arabia
  • Rail Freight Saudi Arabia
  • Competition in Saudi Arabia Freight Forwarding
  • Saudi Arabia Trucking Industry
  • Autonomous Vehicles in Saudi Arabia
  • COVID Impact KSA Dry Freight Forwarding Market
  • Dry Warehousing Revenue Saudi Arabia
  • Industrial Warehousing Saudi Arabia
  • Retail Warehousing Saudi Arabia
  • Container Freight Saudi Arabia
  • Inland Container Depots Saudi Arabia
  • Real Estate Companies in KSA Warehousing
  • Logistics Companies in KSA Warehousing
  • Jeddah Warehousing Space
  • Riyadh Warehousing Space
  • Dammam Warehousing Space
  • Total Warehousing Space Saudi Arabia
  • Warehousing Price Saudi Arabia
  • Logistics and Distribution Centers Saudi Arabia
  • Warehousing Cost Component Model Saudi Arabia
  • Major Players Operating in KSA Warehousing Market
  • Warehousing Management System Saudi Arabia
  • Robotic Automation KSA Warehousing
  • Big Data Analytics KSA Warehousing
  • Drone Technology KSA Warehousing
  • COVID Impact on Saudi Warehousing Market
  • Supply Chain Interruptions Saudi Arabia
  • Supply Chain Disruptions Saudi Arabia
  • Number of Containers Imported in Saudi Arabia
  • Air Shipments Saudi Arabia
  • Container Yard Model in Dammam
  • Container Yard Model in Riyadh
  • Transhipment Cargo Volume Saudi Arabia
  • Loaded Transhipment Containers Saudi Arabia
  • Saudi Arabia Transhipment Hub
  • Saudi Arabia Port Terminal Charges
  • Transhipment Restrictions in Saudi Arabia
  • VAT Impact on KSA Logistics & Transportation
  • Cost of Setting up a Logistics Business in Saudi Arabia
  • Logistics Business Registration Saudi Arabia
  • Construction Cost for Warehouses Units Saudi Arabia
  • Logistics Companies in Saudi Arabia
  • Logistics Companies Fleet Size Saudi Arabia
  • Logistics Companies Fleet Type Saudi Arabia
  • Logistics Companies Average Occupancy Saudi Arabia

For More Information on the research report, refer to below link:-

Saudi Arabia Dry Logistics and Warehousing Market

Related Reports:-

Saudi Arabia Logistics and Warehousing Market Outlook to 2023 (Second Edition) - Expected Recovery in Demand Growth with Rising Infrastructure Spending, Government Reforms and Surge in Trade

The Saudi Arabia logistics and warehousing market was witnessed to remain buoyant over the past five years despite the temporary stagnation of the economy and decrease in oil prices owing to the global oil price shock. The market increased at a positive CAGR during the period 2012 to 2018. The improving road infrastructure, rise in government support in the form of incentives and subsidies, improving corporate working environment due to large availability of expatriate workforce and rise in the industrial activities are expected to support the growth of the market in future. Freight forwarding segment has dominated the logistics and warehousing industry in Saudi Arabia over the past few years.

Competition Benchmarking of Top Logistics Players in KSA in Transportation, Warehousing, 3PL, International Express, Domestic Express, Automotive, Pharma, Oil and Gas and Retail Logistics

The industry is dominated by Sea and land freight Movements considering the strong position in Oil Exports and import Dependency for all the Essential Products too. The country has strong trade relations with Asian countries, European countries, and the US. Land freight is usually common with UAE, Bahrain, Jordan, and Egypt. Air freight is quite expensive than any other Mode and is usually used for Express Shipments. The KSA also has a strong warehousing market segment where the real estate players are leasing out their space to logistics companies and Captive players for longer durations. Warehouses are concentrated in areas of Riyadh, Jeddah, Dammam, Al Khobar due to the high population and presence of Seaports. The Courier, Express, and Parcel market is driven by growth in Last-Mile deliveries and the E-Commerce segment in the country.

UAE Logistics and Warehousing Market Outlook to 2025 – By Road , Sea and Air Freight Forwarding; Domestic and International Freight, Major Flow Corridors, Integrated and Contract Freight Forwarding; By Warehousing (Industrial / Retail, CFS / Inland Container Depot & Cold Storage, Agriculture), End Users (Manufacturing, Retail, Food and Beverage, Automotive, Oil and Gas, Healthcare), Type of Warehouses; By Courier Express & Parcel Market , and, E-commerce Logistics

UAE logistics and warehousing market is on strong and sustainable growth trajectory. The economy has faced volatility in 2013-2019 owning to increasing foreign direct investments, increase investments in infrastructures, negative repercussions of global economic slowdown, 100% ownership in certain sectors and fall in oil prices. Foreign Direct investments in 2016-2018 is estimated to be USD 139 Billion leading to total foreign direct investments of USD 139 Billion in UAE. Government of UAE has consistently taken initiatives to reduce dependence on oil exports due to falling prices. Various government initiatives such as EXPO 2020, Dubai Vision 2020 , Abu Dhabi Vision 2030 and flexible rules and regulations have been taken up to promote economic diversification of the economy.

Competition Benchmarking of Top Logistics Players in UAE in Transportation, Warehousing, 3PL, International Express, Domestic Express, Automotive, Pharma, Oil and Gas and Retail Logistics

The industry is home to an extremely strong Freight Forwarding segment, driven by the UAE's position as a key facilitator for global re-exports. Moreover, given its high dependence on Imports for Consumer Products and Technology, the UAE has strong trade relations with far-Eastern countries, European countries and the US. Given its oil-producing capabilities, the country relies heavily on Sea Freight as a mode of cargo transport, with the service being almost a common feature amongst freight forwarding companies in the country. The UAE also has a strong warehousing market segment, driven by players that lease warehousing space for long durations of time. Warehousing operations near to the Jebel Ali Port and Dubai Airport are considered most favourable to reduce the transportation cost from port to mother-hub. The Courier, Express and Parcel market is driven by growth in Last-Mile deliveries and the E-Commerce segment in the country.

Philippines Logistics Market Outlook to 2024 (Sixth Edition)– By Sea, Land, and Air Freight Forwarding; By Warehousing (Industrial/ Retail, ICD/CFS, Cold Storage, Agriculture), By End Users; By Cold chain market (Cold transportation and Cold storages)

Philippines Logistics Market has witnessed an average CAGR during 2014-19 due to favorable laws from CTAP, Investments in Bridges to promote Inter-island transportation through RORO, and development of ports both by the government and with Public-Private Partnerships. The Current logistics cost comprise 27.16 % of sales in the Philippines which is very high in comparison to other SEA countries. The influx of foreign players, increasing consolidation, Green freight policies by the Government, and investing in innovative technologies has stimulated the growth in the market.

Contact Us:-
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249

Logo: https://mma.prnewswire.com/media/661352/Ken_Research_Logo.jpg 

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