Kuwait Logistics and Warehousing Market Growth Strategy
Kuwait
is one of the fastest-growing markets, which is driven by a strong purchasing
power vested in Infrastructural projects, the retail industry, and a strong
trading and oil industry. Kuwait's transport infrastructure sector is expected
to see a more rapid return to growth in 2021 in comparison with the energy and
utilities infrastructure and construction sectors.
The
Kuwait warehousing industry is in the growing stage and is undergoing radical
changes as warehouses are becoming increasingly sophisticated. Kuwait
Warehousing Market is currently undersupplied with well-known players such as
Agility, KGL Logistics and City Group establishing themselves as regional
leaders. Warehousing firms initially gained a foothold by serving US military
personnel in Kuwait, however it is diversifying away from public sector
contracts and increasingly catering to businesses and households.
Government
initiatives are expected to expand Kuwait’s warehousing capacity, presenting
sizeable opportunities for warehousing and warehousing related value-added
services. However, lack of storage areas in ports, difficulty in demand
forecasting, insufficient storage space and technology adoption are some of the
major challenges in the industry. Advanced sortation systems, Drones, IoT and
Automated guided vehicles are some of the emerging technologies in the Kuwait
warehousing ecosystem.
Kuwait Logistics and warehousing Market
Segmentation
Market Overview:
Kuwait
warehousing market has been continuously growing @ 9.6% CAGR (2016-2021) owing
to surging logistics volume, rising imports, trend of logistics outsourcing and
government efforts to enhance the logistics infrastructure.
By Captive and Logistics Companies: In Kuwait, logistics companies capture
majority of the space with few companies such as Alghanim and The Sultan Center
having their own captive space.
By Licensed and Non Licensed Warehouse: Kuwait Warehousing market is a highly
regulated industry with majority of the warehouses having proper licenses and
certifications issued from the concerned authority or department.
By Grade A/B/C Warehouse: Grade A Warehouses contribute majority
of the market space in the industry. As the demand for sophisticated storage
and distribution facilities increases, owing to the expanding volume of
e-commerce, Grade A warehouses are expected to grow at a phenomenal rate in the
future.
By Commercial Models: Real estate developers and end users
opting for warehousing in Kuwait usually look for
longer lease tenures and lock-ins to ensure rental yields
from properties. Majority of the logistics companies prefer the leasing model
or built to suit model over the rental model since discounts are offered in
terms of pricing.
By Region:
The major Industrial zones in Kuwait are located in areas such as Mina
Abdullah, Sulaibiya, Shuwaikh, Ardiya Shuaiba, Subhan and Al Ahmadi. The major
warehousing hubs in Kuwait are located in areas such as Mina Abdullah,
Sulaibiya, Shuwaikh and Ardiya with Mina Abdullah occupying majority of the
total warehousing Space in 2021.
Request for Free Sample Report @ https://www.kenresearch.com/sample-report.php?Frmdetails=NTc0NDQz
Kuwait warehousing Market (excluding Captive)
Kuwait
Warehousing market is rapidly growing owing to Surge in Food and Beverage,
Manufacturing and FMCG Sector along with burgeoning international trade,
thereby generating KD ~ Mn in 2021.
By Type of Warehouses: Dry and ambient warehouses dominated
the Kuwait warehousing market in 2021 due to rise in the industrial, F&B
and retail sectors in the country. Cold storage warehousing has inclined over
the years with the rising requirement of temperature controlled products
majorly (pharmaceuticals, sea food and frozen foods).
By End Users: Kuwait is one of the fastest-growing markets, which is
driven by a strong purchasing power vested in Infrastructural projects, the
retail industry, and a strong trading and oil industry.
Comparative landscape in
Kuwait warehousing market
Kuwait’s
warehousing market is moderately concentrated with top 3 players accounting for
~80% of the market space and companies are concentrated to Sulaibiya, Shuwaikh
and Mina Abdullah regions. Companies in Kuwait have been focusing on providing
data oriented solutions and other services for operational excellence, timely
customer support, thus providing customer satisfaction and retention of
customers.
Kuwait warehousing
market outlook and projections
The
growth of local companies within the logistics sector points to widening
industry potential in the country with total warehousing space growing @10.7%
CAGR (2021-2026F). Strong leasing momentum is likely to continue throughout the
year; 3PL and e-commerce players are expected to drive demand for logistics
space. Key factors which are expected to drive demand across the country:
consolidation and expansion by existing players and entry of new players.
Increasing adoption of warehouse automation technologies such as EDI, RFID,
Human Centric Designs and Drones are expected to improve operational
efficiency.
Key Topics
Covered in the Report
- Executive Summary
- Kuwait Warehousing Management System Market
- Kuwait Country and Logistics Sector Overview
- Snapshot of Industrial Market Landscape in
Kuwait
- Major Regulations for the Warehousing and
Logistics Industry in Kuwait
- Emerging Technologies in Kuwait Warehousing
Market
- Key Trends in Kuwait Warehousing Market
- Major Challenges in Kuwait Warehousing Market
- Competitive Landscape in Kuwait Warehousing
Market
- Strengths and Weaknesses of Major Warehousing
Players in Kuwait
- Detailed Analysis on Kuwait Warehousing Market
(Market Size, 2016-2021; Market Segmentation; Market Shares; Competition;
Future Market Size, 2026F)
- Competitive Landscape in Kuwait Warehousing
Market
- Analyst Recommendations
Related
Reports
Contact Us:-
Ken
Research
Ankur
Gupta, Head Marketing & Communications
No comments:
Post a Comment