Kenya Logistics and Warehousing Market Outlook to 2023: Ken Research

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The report titled Kenya Logistics and Warehousing Market Outlook to 2023 – By Sea, Land, Pipeline, Air Freight Forwarding; International and Domestic Freight, Integrated and 3PL Freight Forwarding; By Warehousing (Industrial/ Retail, ICD/CFS, Cold Storage, Others), 3PL Warehousing, Type of Warehouses; By Courier Express and Parcel Logistics and E-commerce Logistics” provides a comprehensive analysis of the Logistics market in Kenya. Then report covers the overall size and future outlook of Kenya Freight Forwarding, Warehousing, Courier Express, and Parcel, 3PL, and E-Commerce market in terms of value, segmentation on the basis of service mix, by geography, by ownership and by type of industries. The report also covers the competitive landscape and company profiles of major Freight Forwarding, Warehousing and Express Logistics Companies in Kenya. The report concludes with market projections for future and analyst recommendations highlighting the major opportunities and challenges.

Kenya Logistics Market Overview and Size

Logistics is vital for the economic performance of any economy.  Kenya, like other African countries, has structural issues such as logistics infrastructure but the ease of doing business and favorable political climate has steered it ahead in the race. In 2018, Kenya has achieved rank 61 in the Ease of Doing Business Index and rank 68 in the Logistics Performance Index. Kenya Logistics Market has witnessed positive growth over the past few years. The growth was mainly due to government initiatives such as the Standard Gauge Railway (SGR), Kenya’s strategic location as the gateway to East Africa and the prospering retail and import business.

Kenya Logistics Market Segmentation

By Freight Forwarding

The F&B, FMCG and Industrial sectors in the country played a significant role, especially for the international market, in the growth of freight forwarding market in Kenya. Road freight was observed to be the most preferred mode of transportation due to the development in the road infrastructure; followed by sea and air freight. Kenya has a lot of difficulty areas or remote regions that are not penetrable by any other mode of transport. Asia flow the corridor was observed as the largest contributor in terms of revenue in Kenya freight forwarding market.

By Warehousing

Kenya Warehousing market has grown at a slow pace due to the massive lack of supply of good quality modern warehouses. Warehousing is one of the key developmental areas for logistics, requiring increased investment and advancement in technology. The advent of automation technology along with more advanced inventory management systems is expected to help in the growth of the warehousing segment.

By Courier, Express, and Parcel Logistics Market

The CEP Logistics market grew at positive CAGR during 2013-2018. Online customers are now demanding more convenient methods of delivering their parcels as well as more efficient methods of returns. Majority of the customers prefer normal delivery to express delivery as express service is seen as a premium service. In spite of the challenge, the market has attracted many international players such as DHL, Aramex, and FedEx-TNT among others. The express delivery market will grow in the future at strong pace due to the demand for faster delivery services and the advent of e-commerce.

 By Third Party Logistics Market

For companies whose core business is not logistics, it makes a lot more sense to outsource logistics contracts. It enables them to gain access to resources and capabilities that are not available internally. For a retail business that is prospering in Kenya, logistics needs often depend on seasonal importation. Nearly half the cost of goods in Kenya is the cost of transportation, so outsourcing becomes all the more important as a function. Companies dealing with perishable items and dangerous goods have complex transportation and warehousing needs. SMEs, therefore, prefer to free resources from physical capital investment to working capital and other short term needs.

By E-Commerce Logistics Market

The E-Commerce market developed quite late in the African continent as compared to the US and China, and accounts for only 0.6% transactions. The e-commerce market in Kenya is estimated to be worth KSh 4.3 Billion. In 2017, 6% of all purchases made were through e-commerce. The logistics needs of the market are also growing with the growth of the industry, especially in the express delivery segment.

Competitive Landscape

The competition within Kenya Logistics and Warehousing Market is highly fragmented in nature with the presence of national and international players such as DHL, FedEx-TNT, DB Schenker, Panalpina, CEVA Logistics, Kuehne Nagel, Siginon, Bollore, Freight Forwarders Kenya, Agility and many more.

Future Outlook and Projections

Expansion of industrial activity, e-commerce, and an influx of international companies in the country is expected to impact the market in a positive way. The high growth in the future is expected to be owed to the high rate of growth in the warehousing segment as compared to the dominating freight forwarding segment. The logistics companies are expected to invest in advanced technologies solutions such as autonomous logistics, real-time tracking, and automation in order to provide improved customer service. With the growing international trade, incorporation of advanced technology-based solutions will help in the efficient delivery of products by the logistics providers. The largest trigger of the logistics and warehousing market, in the long run, is the development of the infrastructure and construction sector. This has caused a spree of developments in the country which has increased the trade and warehousing activity in the country.

Key Segments Covered:-

Freight Forwarding Market

By Mode of Freight

Road Freight (Revenue, Transport Costs)

Rail Freight (Revenue, Volume, Stock of Transport Equipments, Railway Lines, Tariff and Volume Discounts

Air Freight (Revenue, Volume, Flow Corridors, Clearing & Forwarding Charges, Export/Import Rates)

Sea Freight (Revenue, Number of Ships & Containers, Volume, Principal Commodities, Clearing & Forwarding Charges)

Pipeline (Revenue, Throughput Volume)

By Type of Freight

International Freight Revenue

Domestic Freight Revenue

By Flow Corridors (Revenue, Volume of Trade, Principal Commodities)

Asian Countries

European Countries

Middle East

North America

African Countries

By Contract and Integrated

Contract Logistics Revenue

Integrated Logistics Revenue

By End User Revenue

Food and Beverages

FMCG

Industrial

Others (Construction, Chemical, Automotive and others)

Warehousing Market

Revenue By End User

FMCG

Horticulture

Retail

Revenue By Type of Warehouse

Closed Normal

Open Yard

Closed Ac

Cold Storage

Revenue By Contract and Integrated Logistics

Contract

Integrated

Revenue By Operation Model

Industrial/Retail

ICD/CFS

Cold Storage/Freezer/Chiller

Warehousing Space By Region

Nairobi

Mombasa

Others (Eldoret, Thika, Nakuru, Kiambu, Machakos and Kakamega)

Courier, Express and Parcel Logistics Market

Revenue By International and Domestic Shipments

International Shipments

Domestic Shipments

Revenue By Type of Express

Air Express

Ground Express

Revenue By Market Structure

B2B

B2C

C2C

3PL Logistics Market

By Market Type (Freight Forwarding and Warehousing)

Snapshot on E-Commerce Logistics Market in Kenya

Companies Covered

DHL

DB Schenker

CEVA Logistics

Kuehne Nagel

Panalpina

Maersk Line

Agility Logistics

FedEx TNT

Bollore Transport and Logistics

Siginon Group

Freight Forwarders Kenya

Key Target Audience

Freight Forwarding Companies

E Commerce Logistics Companies

3PL Companies

Consultancy Companies

Express Delivery Logistics Companies

Logistics/Warehousing Companies

Real Estate Companies/ Industrial Developers

Time Period Captured in the Report:-

Historical Period – 2013-2018

Forecast Period – 2019-2023

Key Topics Covered in the Report:-

Logistics Infrastructure in Kenya

Kenya Logistics Market Size

Kenya Logistics Market Segmentation

Kenya Logistics Market Future Outlook

Kenya Logistics Market Future Segmentation

Kenya Freight Forwarding Market Size

Kenya Freight Forwarding Market Segmentation

Kenya Freight Forwarding Market Future Outlook

Kenya Freight Forwarding Market Future Segmentation

Kenya Warehousing Market Size

Kenya Warehousing Market Segmentation

Kenya Warehousing Market Future Outlook

Kenya Warehousing Market Future Segmentation

Kenya CEP Logistics Market Size

Kenya CEP Logistics Market Segmentation

Kenya CEP Logistics Market Future Outlook

Kenya CEP Logistics Market Future Segmentation

Snapshot on Kenya E-Commerce Logistics Market

Kenya Outsourced/3PL Logistics Market Size

Kenya Outsourced/3PL Logistics Market Segmentation

Kenya Outsourced/3PL Logistics Market Future Outlook

Kenya Outsourced/3PL Logistics Market Future Segmentation

Regulatory Environment

Trends and Developments

New Technological Advancements

Issues and Challenges

Analyst Recommendation

For More Information, Refer To Below Link:-

Kenya Logistics and Warehousing Market

Related Reports by Ken Research:-

South Africa Logistics Market Outlook to 2023 – By Sea, Land, Air Freight Forwarding; International and Domestic Freight, Integrated and Contract Logistics Freight Forwarding; By Warehousing (Industrial/ Retail, ICD/CFS, Cold Storage, Others), 3PL Warehousing, Cold Chain; By Express Logistics and E-commerce Logistics

Kenya Freight Forwarding Market Outlook to 2023 – By Sea, Land, Air, Rail and Pipeline Freight; International and Domestic Freight, Integrated and Contract Logistics Freight Forwarding

Indonesia Logistics and Warehousing Market Outlook To 2023 – Driven By Infrastructure Spending For Airport And Seaports Albeit By Poor Existing Road Network

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

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