Post COVID-19, the global logistics market size is projected to grow from USD 2,734 billion in 2020 to USD 3,215 billion by 2021, at a Y-O-Y of 17.6%. The major drivers of this market are increasing focus on the continued supply of essential commodities, creation of supply chain stabilization task force to fight COVID-19, and growing demand and distribution of personal protective equipment. The factors that restrain the market are labor shortage and a shortage of COVID-19 testing kits. The projection for 2021 is estimated to be down by over 10-15% as compared to the pre-COVID-19 estimation.
FMCG is expected to have the largest market sizing in the global logistics market during the forecast period. FMCG and healthcare are among the major industries facing prominent logistics challenges.Most consumers are experiencing the fear of limited availability of fast-moving consumer goods as well as healthcare goods such as disinfectants.
Most countries are experiencing supply pressure due to panic buying by consumers amid COVID-19 impact. As a result, FMCG companies are continuously tracking the current situation and are coming up with new strategies to ensure continued supply. The agriculture sector has been exempted from the restrictions laid by the countries. This has ensured sufficient supplies of food and other daily needs products.
E-groceries continue to meet the increasing demand for daily supplies by the consumers. Amid the COVID-19 pandemic, Grocery application hit all-time high downloads in the US.
Roadways is the largest segment for the logistics market by mode of transport.
Roadways are relatively less affected by the COVID-19’s impact on the logistics sector when compared with airways and waterways. Trucking is seen as a critical mode of transport amid the pandemic. However, the primary concern faced by the road transport segment is driver shortage and ensuring the health safety of the available drivers as well as their infrastructure. Being the preferred mode of transport for essential goods, road transport is relied upon heavily for the continued supply of food, medicine, and other essential products.
Israel companies have developed solutions for smart logistics and supply chain issues, Relevant companies, interested to learn more on Israel innovative technology are invited to contact the Trade and Economic Department at the Israeli Consulate General in Bengaluru.
For further queries:
contact: Kavitha Saravanan, Trade Officer, Trade and Economic Mission
Tel: +91-80-49406515. email@example.com