How Is Australia Logistics Market Positioned?
The Australia logistics and warehousing industry is well established supported by modern infrastructure and an integrated supply chain. The industry has contributed 8.6% to Australia’s GDP in the Logistics industry has come a long way from the past. With the emergence of global players and with the increase in the use of the internet, many logistic companies developed interesting web and mobile applications to support their operations and customer service. Australia’s logistics market has shown an impressive growth rate owing to the expanding manufacturing & retail sector, increasing disposable income, growing number of foreign companies, and increasing value of exports and imports in the country.
Market: The logistics market has seen significant growth in the last few years, recording a CAGR of ~% during 2015-2020 primarily due to increasing infrastructure investment, e-commerce, and cold chain facilities in Australia. Australia currently ranks 20th in the Logistics Performance Index Ranking by World Bank (2020).
The freight forwarding sector is the leading segment towards the revenues of the logistics industry, followed by warehousing and courier & parcel activities. Value-Added services also contribute a significant proportion to the overall logistics market in Australia.
Australia Logistics and Warehousing Market
By Service Mix: The logistics industry has evolved over the years in terms of integration and digitalization of the supply chain which has led to better productivity and efficiency creating sustainable modes of transporting goods from one place to another. The market is segmented on the basis of service mix, geography, and normal and express delivery. The freight forwarding segment is driven by changing consumer preference, rise in e-commerce, and growing trade activities. Value-added services contributing a significant portion, majorly dominated by Freight Forwarding Agency Services along with Stevedoring and Port Handling Activities.
Australia Freight Forwarding Market Segmentation
By Mode of Service: Australian freight forwarding market was dominated by road freight in terms of revenue and by rail freight in terms of volume. Road and Rail Freight are majorly used for domestic transportation for Bulk & Non-bulk commodities.
By Road Freight Market:
Australia Road Freight is used for domestic transportation with most of the industry having less than 5 fleets. The industry is fragmented with ~ Road Transport companies existing in the market. The average net profit margin earned by Road Transport is approximate ~ 8.6% as of June 2020.
By FTL/LTL: The majority of the Volume transported by road is done on an FTL basis by Revenue and Volume with Average prices charged in case of LTL is ~% higher than FTL basis.
Cost Component analysis:
Out of the total operating cost, ~ % is held by Fuel, ~% is held by salary, and ~% by Toll earning ~% margin by trucking companies.
Australia Warehousing Market Segmentation
By Business Model: The industrial and retail warehouses dominated the overall Australia warehousing market with an area share of ~%, with average price ~ and occupancy rate of ~ in 2020. This is primarily due to increasing Industrial parks and real estate developers’ investments in the logistics space. This is followed by ICD’s /CFS near the ports.
By End Users: The major end-users of warehousing services in Australia include Food and Beverages which provide maximum revenue. The pharmaceutical companies generally prefer their own warehouses due to the extra precautions measures needed.
By Regions: The warehousing Market is divided into 4 Major regions such as New South Wales, Sydney, Brisbane, and Perth in Western Australia. Multiple Supermarkets and Grocery chains are increasing captive spaces in Australia.
Australia Warehousing Future Market Size: Land supply for building large warehouses is on the decline in Australia. Melbourne, Sydney is running out of prime lands to build quality large warehouses. Traditionally, single-storied warehouses are the norm in Australia. It is expected that to solve the problem of space crunch, multi-storied warehouses are expected to be built across Australia. Technology integration is expected to improve efficiency and effectiveness in Warehouses with more companies looking to integrate various technologies into their warehouses. Infrastructure spending is expected to be the highest during 2020-2023, with lot of transport infrastructure and an increase in government expenditure expected to take place.
Key Segments Covered: –
By Mode of Service- Freight Forwarding Market (Revenues)
By Type of Load- Freight Forwarding Market (Revenue and Volume)
By Business Model-Warehousing Market (Revenues)
By End User-Warehousing Market (Revenues)
Food and Beverages
Pharmaceutical and Medical Devices
Textile and Footwear
By Regions-Warehousing Market (Space)
New South Wales
By Service- Cold Chain Market (Revenues)
By Temperature-Cold Chain Market (Revenues and Number of Pallets)
Freezers and Chillers
By End User-Cold Chain Market (Revenues)
Food and Beverages
Meat and Seafood
Bakery and Confectionery
(Freight Forwarding and Warehousing Companies)
DHL Freight Forwarding
K & S Corporation
Freight Management Holdings (EFM)
Glen Cameron Group
(Cold Storage Companies)
Karras Cold Logistics
OFE Refrigerated Transport
Minus1 Refrigerated Transport
Victoria Cold Storage
Laverton Cold Storage
Freezex Refrigerated Transport
Key Target Audience
Third Party Logistic Providers
Potential Market Entrants
Freight Forwarding Companies
Cold Storage Companies
Time Period Captured in the Report:-
Historical Period: 2015-2020
Forecast Period: 2020-2025
Key Topics Covered in the Report
Comprehensive analysis of Australia Logistics Market and its segments
Listed major players and their positioning in the market
Identified major industry developments in last few years and assessed the future growth of the industry.
For More Information on the research report, refer to below link: –
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Turkey Logistics And Warehousing Market Outlook To 2025 – By Domestic And International Freight Forwarding Throughput, Revenue & Flow Corridor (Road Freight And Pipelines, Sea, Air And Rail Freight), By Warehousing (Industrial / Retail, Container Freight / Inland Container Depot & Cold Storage), By 3PL, Courier Express & Parcel, Domestic And Cross Border E-Commerce Logistics
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Ankur Gupta, Head Marketing & Communications