GCC Freight And Logistics Market Size & Share Analysis – Growth …
ReportLinker
The GCC Freight And Logistics Market is projected to register a CAGR of 5.76%. Key Highlights. Rail is the Fastest-growing Mode Of Transport : Increased rail freight investments in the region contribute to the segment’s growth, further facilitated by Saudi Arabia’s USD 266.6 million investment in the rail sector in 2022.
New York, June 21, 2023 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "GCC Freight And Logistics Market Size & Share Analysis - Growth Trends & Forecasts up to 2029" - https://www.reportlinker.com/p06465969/?utm_source=GNW[1]
Domestic is the Largest Destination Type : E-commerce growth has been a driving factor for the segment, which registered a size of USD 33.2 billion in GCC as of 2022. The market volume is expected to rise to around USD 63.31 billion by 2027.Saudi Arabia is the Largest Country : Following the adoption of the country’s new policy, the transport and logistics sector is anticipated to represent 10% of the Saudi Arabian GDP by 2030, up from 6% in 2021.Wholesale and Retail Trade is the Largest End User : Wholesale and retail trade contributed by 11.6% to the GDP in 2022, owing to unprecedented growth in the e-commerce sector, specifically in Qatar and Saudi Arabia.Temperature Controlled is the Fastest-growing Temperature Control : Cold chain logistics growth has largely been driven by the UAE logistics sector’s growth initiatives like Abu Dhabi Vision 2030, UAE Vision 2021, and Dubai’s Industrial Strategy for 2030.
GCC Freight And Logistics Market Trends
Rising Value of infrastructure sector in GCC
GCC announced that it had committed USD 121.3 billion to schemes focused on improving land transportation infrastructure, such as road, bridge, and railway projects. This cash injection will benefit Dubai, Saudi Arabia, Qatar, Kuwait, Oman, and Bahrain. With an expanding population, a strengthening economy, and two of the world’s largest events - the World Cup 2022 and the World Expo 2020 - organized in the GCC countries, there was a need to improve the capacity and efficiency of the region’s transportation network.The value of the infrastructure sector in the GCC region was the highest in Saudi Arabia, which recorded a value of about USD 6.4 million in 2019. The GCC region was expected to lead the economic development of the Middle East and North African region in 2019 due to its diversification and business development reforms. The GCC region has undertaken various preparations for significant projects during the period, such as the Dubai Expo 2020 and the FIFA World Cup 2022 in Qatar. As of 2022, around USD 50 billion of social infrastructure work is under execution, while around 70 billion is in various stages of planning. Out of this, USD 71 bn is located in Saudi Arabia, followed by Kuwait (USD 33 bn), Qatar (USD 5.7 bn), UAE (USD 4.7 bn).Public and private sectors in the GCC require a combined USD 1.6 trillion in capital to upgrade and build infrastructure during 2020-2025. The requirement is for infrastructure projects not included under the category of mega-developments. While the private sector across the GCC has emerged as a key player in contributing the resources required to ease the burden on governmental sectors, national governments need to bridge the gap with the private sector’s investments of USD 600 billion.
Government Initiatives are Driving the Market
In 2022, Qatar’s freight and logistics market was valued at USD 2.17 billion. It is projected to reach USD 3.19 billion by 2029. Ports in Qatar saw a growth in cargo handling, with a total of 1,828 ships reported at Hamad Port, Doha Port, and Ruwais Port in 2019, thus boosting the country’s maritime industry. The country’s maritime industry saw a growth in transshipment volumes in 2022, as about 116,000 TEUs (20-foot equivalent units) and more than 142,000 tons of general cargo were handled at its ports. In 2022, Qatar Airways reported a 25% increase in the cargo handled by 3.3 million tons of goods. The airline transported more than 600 million doses of COVID-19 vaccines.The UAE freight and logistics industry is mainly driven by the growth of the e-commerce and pharmaceutical sectors across the region. The revenue generated from the e-commerce sector in 2021 accounted for around USD 11.49 billion. The country’s recent efforts at economic diversification have facilitated fast adoption and innovation, enabling the growth of e-commerce in the United Arab Emirates. The e-commerce sector is expected to generate a revenue of around USD 19.83 billion, and the number of users is anticipated to reach 6.9 million by 2027.Saudi Arabia leads oil production in the Arab region and is also a leader in global markets. It is the largest oil-producing member of OPEC and ranks second in the world in terms of oil production after the United States. Its transport and logistics industry is expected to account for 10% of the Saudi Arabian GDP by 2030, up from 6% in 2021, following the implementation of the Kingdom’s new strategy. The Saudi Arabian freight and logistics market is expected to generate a revenue of USD 16.52 billion by 2029.
GCC Freight And Logistics Industry Overview
The GCC Freight And Logistics Market is fragmented, with the top five companies occupying 32.53%. The major players in this market are BAHRI, Deutsche Post DHL Group, DP World, DSV and Kuehne + Nagel (sorted alphabetically).
Additional Benefits:
The market estimate (ME) sheet in Excel format3 months of analyst supportRead the full report: https://www.reportlinker.com/p06465969/?utm_source=GNW[2]
About Reportlinker[3]ReportLinker is an award-winning market research solution. Reportlinker finds and organizes the latest industry data so you get all the market research you need - instantly, in one place.
__________________________
CONTACT: Clare: [email protected] US: (339)-368-6001 Intl: +1 339-368-6001
References
- ^ https://www.reportlinker.com/p06465969/?utm_source=GNW (www.globenewswire.com)
- ^ https://www.reportlinker.com/p06465969/?utm_source=GNW (www.globenewswire.com)
- ^ Reportlinker (www.globenewswire.com)