Logistics - Industry - MEA Market, Share and Trends 2023-2028

Summary of Logistics

The logistics landscape across the Middle East and Africa is undergoing rapid transformation as the region capitalizes on its strategic location at the crossroads of Europe, Asia and Africa. Major trade corridors are being enhanced to facilitate growing intra-regional commerce as well as international trade flows.

Hubs like Dubai, Doha, Cairo and Johannesburg have well-established transportation and warehousing infrastructure supporting their positions as logistics hubs within the region. An extensive network of seaports, airports, rail lines and roads connects these centers to other global markets. Based on our estimates, we can say that Europe’s regional logistics industry is forecasted to be a $1462.82 billion industry in 2029 from $1113.2 billion in 2023 with a CAGR of 4.80%.

Throughout the rest of MEA– developing nations are making significant infrastructure investments to strengthen domestic connectivity between population centers and industries. This includes ambitious projects upgrading ports in East and West Africa – as well as – rail expansion plans linking resource-rich northern regions to southern trade gateways.

As a result of these infrastructure developments and continued economic growth projected across multiple nations, the total value of the MEA logistics industry is forecast to exceed $1 trillion by 2030. This rapid expansion is creating substantial opportunities for logistics operators and real estate developers to capitalize on rising demand for modern transportation and warehousing facilities.

The strategic focus on logistics infrastructure will help further integrate regional economies and position MEA as a critical hub facilitating global commerce between Europe, Asia, the Middle East and Africa.

Recent Trends and Insights

Infrastructure expansion across MEA is enhancing regional integration and access to key global markets. Major projects include the East African Railway, Moroccan ports and Saudi Arabia’s rail plans.

Logistics real estate is booming, with over 10 million square meters of new warehouse space under construction in the GCC and Egypt through 2025. E-commerce growth is fueling strong demand for fulfillment centers and distribution hubs.

Major infrastructure projects, such as the East African Railway, Moroccan ports and Saudi Arabia’s rail plans– are enhancing regional integration and access to key global markets. The development of logistics infrastructure is a significant focus – with the Middle East and Africa projected to grow significantly – especially in terms of air transport and cargo volumes

Adoption of advanced technologies like TMS, WMS and fleet telematics is accelerating to optimize complex multi-modal supply chains spanning vast distances across Africa and the Middle East.

Regional free trade initiatives like the AfCFTA and GCC Customs Union are increasing cross-border flows, growing the need for efficient regional logistics networks and corridors.

Product Insights

Fleet telematics solutions are becoming increasingly popular in the Middle East and Africa (MEA) region to track shipments in real-time, provide proof of delivery documentation and monitor driver behavior/safety. This helps logistics operators achieve on-time performance.

In addition– blockchain applications are being trialed to strengthen supply chain visibility and security for temperature-sensitive pharmaceuticals and other high-value cargoes moving throughout the region. Through blockchain technology, companies can monitor shipment statuses, locations, incidents, pickups, delivery times, etc. – as they happen in real-time – thereby facilitating supply chain management. These technologies are expected to play a significant role in the MEA logistics market– providing a range of services to support the region’s supply chains and trade activities.

The increased technology adoption in the Middle East and Africa has led to a higher demand for advanced logistics solutions such as- fleet telematics and blockchain. Companies in the MEA region are focusing on improving their supply chains to ensure timely and efficient delivery, with a focus on supply chain resilience

The growth of e-commerce is transforming the logistics industry in the MEA region, increasing the importance of sectors like warehousing and last-mile delivery. Demand for sophisticated warehouse management systems (WMS) is growing as the e-commerce sector expands in GCC nations and across North Africa. Automation technologies are being implemented to improve productivity.

Key Companies

Some major players within this vast domain of industry are

• DHL
• FedEx
• UPS
• RAK Logistics
• Ceva Logistics
• Agility Logistics
• DP World
• GAC Group
• Asyad Group

Regional Analysis

North Africa represents a major growth market, with countries like Morocco and Egypt significantly expanding port and road infrastructure to capture rising intra-African trade under the AfCFTA.

The GCC remains the most developed sub-region, with the UAE, Saudi Arabia and Qatar emerging as important re-export hubs between Europe, Asia and Africa. Automation adoption is accelerating across major facilities.

East Africa is working to strengthen regional connectivity through projects like the Standard Gauge Railway, which will better integrate the economies of Kenya, South Sudan, Rwanda and beyond.

Southern Africa continues to leverage strategic ports like Durban and Cape Town to capitalize on growing trans-shipment traffic between Asia, Europe and the rest of the continent.

Logistics real estate development is booming across multiple major markets to accommodate the rapid e-commerce sector growth and third-party logistics outsourcing.

Companies in the MEA region are focusing on improving their supply chains to ensure timely and efficient delivery, with a focus on supply chain resilience. This is driving the adoption of advanced logistics technologies and solutions.

Market Segmentation

By Type:

• Transportation management systems
• Warehouse management systems
• Fleet management solutions
• Asset tracking technologies
• Order management software

By End user:

• Third-party logistics providers
• Manufacturers
• E-commerce retailers
• Wholesalers

By Enterprise Size:

• Large logistics companies
• Small parcel and LTL carriers
• Startups innovating new solutions

By Country:

• Saudi Arabia
• Iran
• United Arab Emirates
• Israel
• Egypt
• Iraq
• Qatar

Our Methodology

We have offered a well-founded review of the Middle East and Africa’s regional aviation market along with ongoing trends and upcoming projections to highlight proximate investment opportunities in this report. Moreover, an extensive analysis of any future prospects, challenges, competitors, or navigating aspects is also provided. A methodical detailed regional examination is presented.

Primary Research  

Our multi-pronged research approach includes interviews with industry leaders and a global survey of advanced manufacturing professionals to gain qualitative insights. We utilize our proprietary databases encompassing key performance indicators worldwide in order to collate relevant data points. A multivariate forecasting framework considering historical performance, current dynamics and qualitative factors are utilized to develop market sizing and growth projections through 2029.

We supplement our primary research with a careful examination of secondary materials such as– case studies, news stories and references from other sources. Organizations can benefit from the strategic advice and conclusions offered because they will be better equipped to respond to the dynamic nature of this industry and seize emerging possibilities.

We employ a comprehensive and iterative research methodology focused on minimizing deviation to provide the most accurate market estimates. Our research utilizes a combination of bottom-up and top-down approaches across segments and utilizes databases, primary research insights and industry experts for analysis.

Raw data is obtained from multiple sources and thoroughly filtered to ensure only authenticated and validated sources are considered. We collect data from raw material suppliers, industry associations, technology providers, and buyers to gain a holistic perspective.

Quantitative Analysis

Our market estimates are derived through statistical models, beginning with collection of historical data and analysis of macro- and micro-economic factors influencing the market. Gathered information on market dynamics, technology and pricing trends are utilised to build the models.

Econometric and technological models are applied to project short- and long-term market potential respectively. A bottom-up approach is preferred to minimize errors. Key parameters considered include market drivers and restraints, material pricing trends, regulatory scenarios, and capacity additions.

Weights are assigned to these parameters based on impact analysis and market forecasting is performed via statistical tools and techniques. We believe this methodology results in an accurate and realistic market picture.