How Nigeria Logistics And Warehousing Market Evolved?
Logistics is vital for the economic performance of any economy. Nigeria, like other African countries, has structural issues such as logistics infrastructure and cumbersome customs procedures at the seaports. Freight forwarders usually provide a full range of services such as tracking inland transportation, negotiating freight charges, freight consolidation, cargo insurance, and filing of insurance.
The Lagos Port Complex and Tin can Port in Lagos are the largest commercial ports in Nigeria. MMIA is the major commercial airport in Nigeria, situated in the capital city of Lagos. Most warehouses and industries are even centered in Lagos due to the presence of Special Economic zones. Lagos is the commercial and trading hub of Nigeria. Growing investments in Industrial parks, growing manufacturing units of the banned products for importing are the factors that are contributing to the increased demand for warehouses in the market.
Nigeria Logistics market was evaluated to grow from USD ~ million in 2013 to USD ~ million in the year 2018 at a compounded annual growth rate (CAGR) of ~% during the period. In 2016, Nigeria was hit by a very bad recession where it had a setback because oil prices fell down from ~ a barrel in 2014 to below ~ in 2016. This affected the country’s logistics sector and fall to a growth rate of almost ~% in 2016-2017 but finally came out of recession in 2018.
In 2018, Nigeria has achieved rank 145 in the Ease of Doing Business Index and ranks 112 in the Logistic Performance Index. The increasing middle class and urban-educated population have pushed the demand for shopping centers and e-commerce in Lagos and urban counties of Nigeria. This is increasing the demand for logistics and warehousing market.
Nigeria Freight Forwarding Market Segmentation
By Mode of Freight
Sea Transport dominates the freight forwarding market as all major imports and exports are done by sea. Road transport is important for last-mile delivery in e-commerce and transporting goods to other neighboring African countries but suffered from the poor conditions of the roads. Air transport is not very popular in cargo transportation and used mostly for passengers. Rail Transport is expected to grow with the introduction of SGR in Nigeria.
By Type of Freight
International freight forwarding accounted for larger revenues share in overall Nigeria Freight Forwarding Market, accounting for a share of ~% in the year 2018.
By Flow Corridors
Over the past decade, Europe has replaced Asia as the major trading partner of Nigeria with a share in overall share of ~% in international freight. ~%. Asian countries such as China and India are major trading partners with Nigeria.
By End Users
The major end-users of freight forwarding services in Nigeria include Food and Beverage, Industrial and Retail sectors with a share of ~% and ~% respectively. The F&B sector also creates a demand for cold transportation for perishable items. Increasing demand for Nigerian local food products and shipping structures has triggered the demand for logistics and warehousing services.
By Contract and Integrated
Third-Party Logistics in Nigeria has been thriving in the Nigeria Freight Forwarding Market with a share of ~% in overall market revenue.
Nigeria Warehousing Market Segmentation
Revenue by End User
The Food and beverage industry has been contributing ~% due to the increasing trade of food products. Increasing automotive industries, the emergence of retail stores, Cold storages for agricultural and pharmaceutical drugs and medicines are increasing the demand for the warehousing sectors.
By Operational Model
The Industrial/Retail segment has contributed ~% with massive revenue in the year 2018. CFS/ICD warehousing contributes ~% in the market. Cold Storage warehousing has increased due to temperature-controlled products for agricultural goods and seafood.
By Contract and Integrated
Contract warehouses contributed ~% in the warehousing market. Small and medium players lease out their warehousing requirements due to the shortage of good quality warehouses and huge capital requirements.
By Type of warehouses:
Open yards and warehouses are less in number in Nigeria and contribute ~% share in the market due to less ICD’s. Closed warehouses include `% of the warehousing market.
By Region:
All the warehouses are majorly situated in and around Lagos only due to the presence of industrial parks and proximity to seaports and airports. It has around ~ warehouses in the country.
Key Segments Covered:-
Freight Forwarding Market
By Mode of Freight
Road Freight
Rail Freight (Volume and Revenue)
Air Freight (Airfreight in Nigeria (Volume- Imports and Exports of Cargo and Mail by Airports)
Sea Freight (Volume By Import –Export And Cargo Type, Logistic cost, Container Freight Rates, Cargo duty, General Cargo Delivery Charges, And Ship Dues)
By Type of Freight
International Freight Revenue
Domestic Freight Revenue
By Flow Corridors
Asian Countries
European Countries
Middle East
America
African Countries
By Contract and Integrated
Contract Logistics Revenue
Integrated Logistics Revenue
By End-User
Food and Beverages
Industrial and Retail
Automotive
Others (Chemical products, fertilizers, pharmaceutical products, perfumes, etc)
Warehousing Market
Revenue by Business Model
Industrial/Retail
CFS/ICD
Cold storage and agriculture
Revenue by Region
Lagos
Kano
Kaduna
Ogun
Nassaraw
Others
Revenue by Type of Warehouses
Open warehouses
Closed warehouse
Revenue by Contract and Integrated warehouses
Contract warehouses
Integrated warehouses
Revenue by End User
Food and Beverages
Automotive
Consumer retail
Health care
Others (Agricultural products and other perishable commodities)
Revenue by Market Structure
Regulated
Unregulated
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
Volume by Delivery Period
Same Day Delivery
Next Day Delivery
Two or More Days Delivery
Revenue by Intra City and InterCity
Intra City
InterCity
Revenue by Region
Lagos
Abuja
Kano
Others (Enugu, Port Harcourt, Calabar and many more)
3PL Logistics Market
By Market Type (Freight Forwarding and Warehousing)
Snapshot on E-Commerce Logistics Market in Nigeria
Snapshot on Trucking Aggregators
Kobo360
Lori system
Companies Covered
DHL
BHN Logistics
ABC Transport
UPS (United Postal Services)
Redstar Logistics
Maersk Line
MSC (Mediterranean Shipping Company)
TSL Logistics
Bollore Transport and Logistics
UPS (United Postal Services)
GMT Logistics
GIG logistics
Nipost (Nigerian Postal Service)
MDS logistics
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 – 2019-2023F
Key Topics Covered in the Report:-
Logistics Industry Nigeria
Open warehouse Market Share
Import and Export Shipment Cost Nigeria
Industrial parks Nigeria
Special Economic zones Nigeria
Nigeria food and beverages industry
Nigeria Packaged food industry
International trade of Nigeria
Nigeria logistics and warehousing services
Nigeria export Revenue Market
Bollore Transport and logistics market share
UPS Nigeria Logistics Market Analysis
For More Information, Refer To Below Link:-
Nigeria Logistics and Warehousing Market
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