Friday, May 24, 2019

Philippines Logistics and Warehousing Market is driven by Growing Domestic market for E-commerce logistics and Surge in Trade Volumes with Increase in Trade Capacity of Ports: Ken Research

“Philippines Development Plan undertaken by National Economic Development Authority during the period 2011-2016 led to a considerable infrastructure development in the logistics sector of the country”

Rise in Trade Volumes and TEU Capacity: The growth in trade flows in the Philippines has significantly impacted the logistics industry of the country. In the year 2018, the Philippines registered imports worth USD 115.03 billion whereas exports stood at USD 67.5 billion. The rise in cargo traffic has propelled customers to shift from general logistics and freight forwarding services to express delivery services. The total capacity of handling the number of containers of the ports in the country has increased from 5.2 million TEU (twenty-foot equivalent unit) to 7.1 million TEU during 2012-2017. The domestic containerized cargos grew by 7.6% in 2017, from 2.6 million TEU in 2016 to 2.8 million TEU in 2017, while the foreign containerized shipments increased from 3.9 million TEU in 2016 to 4.1 million TEU in 2017, growing by 5.1% in 2017. The key ports in the country handling heavy container traffic include Manila International Container Terminal, Manila North Harbor, Manila South Harbor, Subic and Batangas.

Growing Fleet Size: The Archipelago Philippines Ferries Corporation is responsible for servicing and connecting the 7,107 islands of Philippines through Ferry services. The provision of Roll-on/Roll-off catamaran services has positively impacted the sea transport services. In the year 2017, Sea Transport Solutions in partnership with Guangdong Bonny Fair Heavy Industry Ltd. launched two new vessels thereby bringing the total fleet of APFC to 12. The growing fleet size has indicated the high demand for water transport for freight forwarding services required in Philippines. However, in case of express delivery, the market continues to remain dominated by air and road transport networks in the country.

Growth in E-Commerce Industry: Ecommerce industry in the Philippines has grown significantly at a CAGR of 27.0% in terms of GMV during 2012-2017. The online purchase of goods by Filipinos was recorded at over USD 2.0 billion by 2018. The increased penetration of digital systems in the country has bolstered the sales through ecommerce portals. The growth in the e-commerce orders for logistics has been majorly driven with an increase in internet affinity and demand for value added services. In addition to this, various logistics service providers offer additional services and discounts for online orders as they help in reduction of additional management processes. Introduction of multiple E-commerce portals such as b2bpricenow, asiarx, the Philippines trade key & others have led to increase in online shopping and digital payment modes. Vendors were also observed to turn to online payments, thereby creating a positive impact on the Philippines E-commerce logistics market.

The report titled, “Philippines Logistics and Warehousing Market Outlook to 2024 – By Freight Forwarding (Air, Sea, Land), Domestic and International Freight Flow Corridor; By Warehousing (Industrial/Retail Freight, Container Freight, Cold Storage, Agriculture and Others), Express and E-commerce Logistics, Balikbayan Box, Third Party Logistics” by Ken Research recommends that the companies operating in logistics and warehousing industry can expand their market share and increase revenue generated by focusing on international freight forwarding, investing in air and sea freight logistics and incorporate advanced technologies like RFID and EDI in warehouses to improve efficiency. The market is expected to register an overall positive CAGR of 8.4% by revenue during the forecast period 2018-2024.

Key Segments Covered
Logistics and Warehousing:
By Service Mix (Freight Forwarding, Warehousing and Value Added Services)

Freight Forwarding:
By Mode of Transport (Water Transport, Road Transport and Air Transport)
By Major Flow Corridors (Asia, North America, Europe, Middle East and Others)
By Owned and Rented / 3PL
By Delivery Type (Normal Delivery and Express Delivery)
By Mode of Freight (International Freight and Domestic Freight) 

Express Delivery:
By Mode of Transport (Air Express and Road Express)
By Delivery Type (International Express and Domestic Express)      
By Business Model (B2B, B2C and C2C)

E-Commerce:
By Channel (E-Commerce Merchants and 3PL Companies)
By Time Duration (One Day Delivery, Two Day Delivery, Same Day Delivery and Others)
By Area of Delivery (Intracity and Intercity)
By Payment Method (Cash on Delivery and Others)

Third Party Logistics:
By Market Type (Freight Forwarding and Warehousing Services)

Warehousing:
By End User (Food and Beverage, Pharmaceuticals and Medical Consumables, Textile and Footwear, Electronics, Chemicals and Others)
By Domestic and International Companies
By Business Model (Industrial / Retail Freight, Container Freight, Cold Storage, Agriculture and Others)
By Owned and Rented Warehouses

Balikbayan Box:
By Seasonal Demand (On-Season and Off-Season)
Key Target Audience
Logistics Companies
Warehousing Companies
Cold Chain Companies
Courier and Parcel Companies
Express Logistics Companies
E-Commerce Logistics Companies
E-Commerce Companies
Logistics Association
Government Association
Investors and Private Equity Companies 
 
Time Period Captured in the Report:
Historical Period: 2013-2018
Forecast Period: 2019-2024

Companies Covered:
Freight Forwarding and Warehousing Market:
Chelsea Logistics Holdings Corporation
International Container Terminal Services Inc.
Lorenzo Shipping Corporation
Metro Alliance Holdings & Equity Corporation
Asian Terminals Inc.
AAI Worldwide Logistics Inc.
Kintetsu World Express
Royal Cargo
Yusen Logistics Co. Ltd.
All Transport Network Logistics (ATN)
F2 Logistics All Systems Logistics (ASL) 
LF Logistics
Nippon Express
Panalpina
Expeditors
Orient Freight International
Metro Combined Logistics Solutions Inc.
Infinity Logistics Philippines Co.
MMG Corporation Philippines

Express Delivery Market:
LBC Express
Philippines Postal Corporation
2Go Group Inc.
JRS Express
AirFreight 2100 (Air21)
Xend Business Solutions
Abest Express

E-Commerce Logistics Market:
Lazada Express
Shopee
DHL Philippines
Zalora

Balikbayan Box Market:
Jolly B Box
Forex Cargo
Afreight
Zalora
Manila Forwarders
LBC Express

Key Topics Covered in the Report
Freight Forwarding Market Philippines
Logistics Companies Philippines
Courier and Parcel Market Philippines
Free Trade Agreements of Philippines
Philippines Cross Border Transportations
Philippines Pipeline Transport
Balikbayan Box Philippines

For more information on the research report, refer to below link:

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Ankur Gupta, Head Marketing & Communications
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