Middle East & Southeast Asia Fourth Party Logistics Market Forecast to 2030
The Middle East and Southeast Asia Fourth Party Logistics (4PL) market is expected to grow at a CAGR of 7.24% over the forecast duration of 2022-2030. The need for outsourced logistics services due to the growing complexity of supply chains is causing the fourth-party logistics market to expand. Additionally, the incorporation of dynamic logistics services by retailers and consumer electronics end users, as well as manufacturers looking to manage supplier collaborations and inbound procurement, are predicted to propel the growth of the fourth-party logistics market during the forecast period. In the increasingly complicated supply chain environment, the advent of the fourth-party logistics concept has essentially been a step toward eliminating all the bottlenecks stated above.
The Fourth Party Logistics (4PL) market is segmented based on services and end users and region. Based on the services, the market has been segmented into synergy plus operating model, solution integrator model, and industry innovator model. Of them, the solution integrator model segment is the largest segment of the Fourth Party Logistics (4PL) market. Based on end-user, the market is segmented into automotive, retail, technology, chemicals, food & beverage, fashion, and lifestyle, FMCG, industrial, and others. The retail segment accounted for the largest share of the market in 2021.
In order to meet customer needs, the fourth-party logistics market participants coordinate activities at OEM sites, contract manufacturing sites, suppliers, and other parties as needed. As a result, the consumer products industry places a high priority on implementing efficient logistical services, which opens up numerous chances for fourth-party logistics market players to play a key role. The market is driven owing to factors such as increasing demand for effective supply chain solutions and growing demand for customized solutions.
On the other hand, reluctance among companies to outsource logistics functions is expected to restrain the market growth over the forecast duration.
Regional AnalysisThe Middle East and Southeast Asia Fourth Party Logistics (4PL) market was valued at USD 14,155.42 million in 2021 and is expected to reach USD 26,298.82 million by 2030, registering a CAGR of 7.24% over the forecast duration. Southeast Asia accounts for the largest market share (58.34%) followed by the Middle East (41.66%). Southeast Asia is expected to register the highest CAGR (7.95%) followed by the Middle East (6.17%) over the forecast duration of 2022-2030. Fourth-party logistics, or 4PL, is a business operating model in which the supply chain management and logistics are completely outsourced to one outside service provider.
Major PlayersDeutsche Post AG, Agility Logistics, DB Schenker, BDP International, A.P. Møller – Mærsk A/S, United Parcel Service, Inc., Allyn International Services, Inc., CEVA Logistics, XPO Logistics, Inc., Logistics Plus Inc., Masa Logistics, DCFC Logistics & Distribution LLC, CBIP Logistics, Janio, and LogiNext Solutions Inc.
Companies MentionedDeutsche Post AG
Agility Logistics
DB Schenker
BDP International
A.P. Møller – Mærsk A/S
United Parcel Service
Inc.
Allyn International Services
Inc.
CEVA Logistics
XPO Logistics
Inc.
Logistics Plus Inc.
Masa Logistics
DCFC Logistics & Distribution LLC
CBIP Logistics
Janio
and LogiNext Solutions Inc.
Please note:The single user license is non-downloadable and non-printable. Global Site license allows these actions.