South Africa Logistics Market Research Report And Forecast To 2023: Ken Research


South Africa Logistics Market Size:-

Growth In The Market: The Logistics and Warehousing Market in South Africa has grown from USD ~ Billion in 2012 to USD ~ Billion in 2018 at a positive CAGR of ~ % during the period 2012-2018.

FMCG, Retail and Automotive sectors have contributed for the growth: Due to the rising demand for logistics services from the FMCG, Retail and Automotive industries, the market has witnessed growth over the years.

Growing E-Commerce Market: Better access to secure payment gateway, along with the gradual improvement in the delivery system, has further led to the expansion of the e-commerce market in South Africa.

By Service Mix:-

Road Transportation contributes exceedingly for the revenue generation in the freight forwarding market: Infrastructure in the country allows road transportation to be effectively employed in the logistics market. It is convenient and affordable for the companies in the market. It is preferred for transporting goods between cities in South Africa, as well as for international trade.

Rising Trade: For South Africa, international trade is of utmost importance. Through the support of government, intra-African trade has got prominence over the years and in the coming years, it is anticipated to grow tremendously. The demand for warehousing, freight forwarding and Value Added Services has grown, as a result.

South Africa Logistics Market

By International And Domestic Freight:-

Geographical Advantage: South Africa is close to the coast and that allows it to engage in international trade at a much higher scale than other African countries. Owing to its geographical advantage over other African countries, South Africa is in a position to transport the imported goods  to the other African nations. Furthermore, Prices for road freight are lower in Southern Africa than other regions in Africa.

The South Africa-Europe flow corridor followed South Africa-Asia with a revenue share of ~ % in the year 2018. The largest EU trade partners of South Africa are Germany, UK and Netherlands.

South Africa’s exports to the European countries have grown. Moreover, the composition of these exports has become more diverse as South Africa is gradually moving from mainly commodity-based products to a more diversified export profile that includes manufactured products.

South Africa’s primary exports to the European countries are fuels and mining based products, machinery and transport equipments, and other semi-manufactured goods whereas, the EU countries exports to South Africa are dominated by machinery and transport equipment, chemicals and other semi-machinery.

South Africa Logistics Future Market Size:-

In terms of revenue recognition, freight forwarding market is estimated to see a positive growth trend with an estimated CAGR of ~ %.

Development in Infrastructure and Technology: Development in infrastructure and use of technology to troubleshoot some of the major problems faced by the industry will lead to the growth in the market.

Growth in the Maritime Sector: Development in the maritime sector and incorporation of technological advancements such as IoT will improve the functioning of sea freight.

By International And Domestic Freight 2023E:-

Development In Infrastructure: Moreover, development in the infrastructure will allow South Africa to cater to more regions across the globe.

Focus on Intra-African Trade: Intra continent trade will gain focus of the government and thus gain momentum in the coming years.

Transportation of Medical Devices to rise: South Africa became the world’s leading manufacturer and exporter of isotopes of medical diagnostics in 2018, which has further supported the country’s trade relations with others nations. This development in the field of medical devices will drive the South Africa freight forwarding market in the coming years.

By Flow Corridors 2023E:-

Intra-African Agricultural Trade is Underexploited:  Moreover, intra-African agricultural trade is particularly underexploited owing to high import tariffs, other non-tariff barriers (such as health and safety standards), low productivity, and a lack of rural connectivity. AfCFTA would provide access to markets at the regional and international levels, which would further contribute for improvement in intra-African trade.

Growth Eastern African regions: The growth of the East African regions will also raise the trade between South Africa and other African nations.

Market Size, 2013-2018:-

Warehousing is simply the process of storage. A support function of logistics and transport, it forms a core part of the logistics process by providing space and storage for goods to be transported or distributed.

The Warehousing Market in South Africa has grown from USD ~ Billion in 2012 to USD ~ Billion in 2018 at a positive CAGR of 7.6% during the period.

Slow Growth Due To Declining Economy: The slow growth in the warehousing market in the last five years is attributed to the declining economy and political and economic instability in the country. However, there has been an improvement in the sector as the growth rate above ~ % is maintained since 2013.

By End Users, 2018:-

Automotives have a low revenue share in the Warehousing market because the major player in the Automotive Sector, Toyota manufactures its cars in South Africa. Toyota has its own premises, and therefore, does not engage in outsourcing for warehousing services.

Healthcare and Pharmaceutical Sector, with a revenue share of ~ %, requires warehousing service for the storage of medical equipments and also for medicines.

The pharmaceutical companies manufacture their own products and have their own premises to store the manufactured drugs because of which they do not require Warehousing service.

By Business Model:-

Rising Retail Sector: The rising retail sector in South Africa has elevated the requirement of warehouses in the country majorly due to increasing demand for storage of processed packaged foods and beverages, as modern food retailing businesses expanded their operations in order to meet the consumer requirements. The industrial warehouses now have a more complex infrastructure designs which can handle greater loads, larger cubic capacity and higher bays.

One Location for Distribution: Although it has not been common yet, retailing warehouses have been growing in areas where it has been more profitable to have one location for distribution, especially in concentrated consumer clusters.

Shipping docks in South Africa contribute for high demand: Containers and shipping docks in South Africa are used on a daily basis by different companies from these regions to store their freight. This has resulted into a rise in the demand for warehousing services.

Future Market Size, 2018-2023:-

The warehousing market is expected to grow from USD ~ Billion in 2018 to USD ~ Billion in 2023.

Rising Trade to contribute for future growth: Rising trade within the continent as well as with the non African nations will propel the growth in the warehousing market.

Dependence on imports: Growing dependence on imports from the consumers’ side will also contribute for high demand for warehousing services, especially for consumer durables.

By End Users, 2023E:-

The pharmaceutical companies manufacture their own products and have their own premises to store the manufactured drugs because of which they do not require Warehousing service.

Automotive industry will continue to contribute for a less share of revenue in the warehousing market because of its being majorly an imports driven industry which does not require warehousing facility.

Others, with a revenue share of ~ %, include Raw materials, coal, plastics, etc. and dangerous goods such as chemicals and paints, etc. There will be not be any change in the share of revenue generated by this category of end users in the warehousing market in South Africa. Poultry and Dairy products generate the highest revenue in the others category.

By Ownership:-

Strict regulations for the companies to maintain a cold chain warehouse: The Cold chain market is majorly rented (both the Cold storages and the Cold transport), because companies do not want to deal with the strict regulations prevalent in the cold storage market. The companies rather, plan to focus on their core business.

Dependence on the availability of space: Outsourcing is mainly dependent upon the warehouse space available, type of storage needed and other services which takes the company from their focus areas.

Cost efficiencies due to outsourcing: Logistics players can reduce costs through outsourcing for cold storage and cold transportation. Since cold chain infrastructure requires capital, expanding the operations in this direction and owning a cold storage warehouse or maintaining a fleet of reefer trucks will only increase the cost. Outsourcing for cold chain operations is a more feasible and affordable option.

Key Segments Covered:-

South Africa Freight Forwarding Market

By Mode of Transport

Road Freight

Rail Freight

Air Freight

Sea Freight

By International and Domestic Freight

International Freight

Domestic Freight

By Flow Corridors

Asian Countries (China, India, Taiwan and Japan)

European Countries

Middle East

North America

African Countries

By 3PL and Owned

3PL Logistics

Owned Logistics

By Type of Delivery

Normal Delivery

Express Delivery

South Africa Warehousing Market

By End User

Consumer and Retail

Food and Beverages

Healthcare and Pharma


Others (Dangerous Goods, Chemicals and Paints)

By Business Model


Consumer Freight/Inland Container Depot

Cold Storage

By 3PL and Owned

3PL Logistics

Owned Logistics

By Region



Cape Town

Port Elizabeth

East London

South Africa Cold Chain Market

By Type of Market

Cold Storage

Cold Transportation

By Application

Meat and Seafood

Fruits and Vegetables

Dairy Products

Bakery and Confectionary


By Ownership

Owned Logistics

3PL Logistics

Cold Storage Market Segmentation By Temperature of Storage




By Regions



Cape Town


Cold Transportation Market Segmentation By Type of Possession

Owned Logistics

3PL Logistics

By Mode of Transportation




By Location



South Africa Express Logistics Market

By International and Domestic Express

International Express

Domestic Express

By Type of Express (International)

Air Express

Ground Express

By Type of Express (Domestic)

Air Express

Ground Express

By Market Structure


B2C and C2C

South Africa E Commerce Logistics Market

By Delivery Time Duration

1-2 Working Days

3-5 Working Days

More than 5 Working Days

By Express/Normal

Express Delivery

Normal Delivery

By Merchant/3PL



South Africa Outsourced/3PL Logistics Market

By Market Type (Freight Forwarding and Warehousing)

Companies Covered:-


Imperial Logistics


DB Schenker

Barloworld Logistics

DPD Laser Express Logistics

ID Logistics


CEVA Logistics

City Logistics

Cargo Carriers

Kargo Logistics

Vital Distribution

ACT Logistic

Santova Logistics

GMA Logistics

Kuehne Nagel

Key Target Audience:-

Logistics Companies

Warehousing Companies

Freight Forwarding Companies

Express Logistics Companies

E-Commerce Logistics Companies

Outsourced Logistics Companies

E-Commerce Companies

Cold Chain Logistics Companies

Companies seeking logistics Services

Time Period Captured in the Report:-

Historical Period – 2013-2018

Forecast Period – 2019-2023E


South Africa Logistics Market

Market Research Report Of South Africa Logistics

Logistics Industry In South Africa

South Africa Logistics Market Growth

South Africa Logistics Market Major Players

South Africa Logistics Market Future Outlook

South Africa Domestic Freight Forwarding Market

South Africa Freight Forwarding Industry

South Africa Logistics Cost

South Africa Sea Freight Flow Corridor

Distribution Market Logistics South Africa

Container Freight Market South Africa

Export Import Transportation South Africa

South Africa Cold Chain Industry

South Africa Outsourced Logistics Market

South Africa Logistics Infrastructure

South Africa Cold Chain Logistics Companies

For more information, refer to below link:-

South Africa Logistics Market

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Thailand Logistics and Warehousing Market Outlook to 2022 – By Service Mix (Freight Forwarding, Express Logistics, E-commerce Logistics and Warehousing Services)

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


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