Saudi Arabia Third Party logistics Market Growth and Analysis by 2027

Historic Data: 2016-2017   |   Base Year: 2018   |   Forecast Period: 2019-2027

Saudi Arabia Third Party logistics Market to 2027 - Country Analysis and Forecasts by Mode of Transport (Roadways, Railways, Waterways, and Airways); Services (International Transportation, Warehousing, Domestic Transportation, Inventory Management, and Others); and End-user (Chemicals & Petrochemicals, Automotive, Healthcare, Retail, Consumer Goods, and Others)

  • Report Date : Jul 2019
  • Report Code : TIPRE00006273
  • Category : Automotive and Transportation
  • Status : Published
  • Available Report Formats : pdf-format excel-format
  • No. of Pages : 141

The Saudi Arabia third-party logistics market accounted to US$ 14.86 Bn in 2018 and is expected to grow at a CAGR of 6.7% during the forecast period 2019 – 2027, to account to US$ 26.40 Bn by 2027.

Saudi Arabia is one of the largest economy amongst the GCC countries owing to its rich oil reserves and various economy diversification initiatives taken by the Government of the country. As of 2018, the GDP of the country was valued US$ 310 Bn and the population of the country was approximately 23.8 Mn. The country has emphasized on non-oil sectors to create more job opportunities for the youth population of the country. Cities such as Riyadh, Jubail, Yanbu, Ras Al-Khair and Jazan are considered to be the industrial heartlands of the country. The emerging industries and manufacturing hubs of Saudi Arabia include minerals and metal processing center, automotive manufacturing industry, and plastics and packaging industry. Third-party logistics market is gaining immense popularity in Saudi Arabia and is considered as an optimum solution by companies to manage the increasing cross-border flow of goods while expanding the logistics process concept. Companies operating in the country are considering supply chain engineered logistics as an essential means to improve their cash flows, boost their cost savings, and enhance servicing levels for offering their products to market.

Third-Party Logistics Market Insights

Logistics Industry Witnessing Progressive Growth in Saudi Arabia

Logistics is the core area of the third party logistics (3PL) firms and their proficiency in this areas is always superior to that of the core companies. Since the past few years, Saudi Arabia has made progress for improving its logistics services, and the relevant infrastructure & traceability in order to meet the world-class standards. The processes for import and export processes are more reorganized and governance regulations and structures are being reformed. KSA is also pursuing the public-private partnerships for both, to finance the infrastructure and for acquiring the capabilities from the other leading logistics markets. Furthermore, the country is moving forward towards modernizing airports and expanding air cargo facilities for eliminating the infrastructure bottlenecks. Additionally, for the waterways, the focus on growing port specialization, reforming the governance, and updating the concession frameworks is expected to proliferate the third-party logistics market growth.

Lesser Control of Manufacturers on Logistics Service and Delivery Processes

One of the disadvantage of opting for 3PL is that it leads the beneficiary companies to loss control over their shipping functions. The client businesses have no direct control over their operation when they use 3PL services. In such cases, businesses are highly dependent upon third party to consistently come through delivering the promised services. Client companies may have to bear certain losses and damage to their business if the 3PL services fail to deliver certain products to the customers on time. Moreover, third-party logistics market firms promote their services in most cost efficient way and the client company has to comply with pricing model specified in the business agreement. However, in certain cases, companies can figure out the cheaper and more efficient solution in their in-house logistics department. The aforementioned factors may hinder the growth of the third-party logistics market.

Mode of Transport Insights

Transportation is one of the most important service comprised in the 3PL operations and involves physically moving assets and goods in relatively safe manner on right time, in right condition, and in a cost effective manner. The role of transport is ensuring the movement of goods from the point of manufacturer or storage to the point of use or the distribution points to end use. On the basis of mode of transport, the Saudi Arabia third-party logistics market is segmented into roadways, railways, waterways, and airways. The most prominent mode of transport in third-party logistics market accounted for the roadways segment, which is further expected to dominate in the forecast period.

Services Insights

The third-party logistics market is categorized on the basis of various services such as international transportation, warehousing, domestic transportation, inventory management, and others. Domestic transportation service dominated the service segment and is expected to continue its dominance year on year till 2027. Domestic 3PL provides their clients with the similar quality of services that internationally located 3PL companies’ offers to their clients. The technological advancement in 3PL system allow to deliver superior services to the clients irrespective of international or domestic.

End-User Insights

The end use segment of third-party logistics market is bifurcated into automotive, healthcare, retail, consumer goods, chemicals & petrochemicals, and others. The third-party logistics market by end-use was led by chemicals & petrochemicals segment which held maximum market share and is anticipated to dominate the market in the forecast period. The need for diversification of the economy of Saudi Arabia from crude oil business to a more sophistical chemicals and petrochemicals industry is a step to secure the economy of the country. Initiatives taken to ensure growth in the petrochemicals sector drive the logistics business for the sector.

TIPRE00006273-img1
  • This FREE sample will include data analysis, ranging from market trends to estimates and forecasts.

Customize This Report To Suit Your Requirement

You will get customization on any report - free of charge - including parts of this report, or country-level analysis, Excel Data pack, as well as avail great offers and discounts for start-ups & universities

Saudi Arabia Third Party logistics Market: Strategic Insights

Saudi Arabia Third Party logistics Market
  • Market Size 2018
    US$ 14.86 Billion
  • Market Size 2027
    US$ 26.40 Billion

Market Dynamics

GROWTH DRIVERS
  • XXXXXXX
  • XXXXXXX
  • XXXXXXX
FUTURE TRENDS
  • XXXXXXX
  • XXXXXXX
  • XXXXXXX
OPPORTUNITIES
  • XXXXXXX
  • XXXXXXX
  • XXXXXXX

Regional Overview

Regional Overview
  • Saudi Arabia

Market Segmentation

Market SegmentMode of Transport
  • Roadways
  • Railways
  • Waterways
  • Airways
Market SegmentServices
  • International Transportation
  • Warehousing
  • Domestic Transportation
  • Inventory Management
Market SegmentEnd-user
  • Chemicals & Petrochemicals
  • Automotive
  • Healthcare
  • Retail
  • Consumer Goods
  • Get Top Key Market Trends of this report.
    This FREE sample will include data analysis, ranging from market trends to estimates and forecasts.
Saudi Arabia Third Party logistics MarketReport Scope

Saudi Arabia Third Party logistics Market Report Scope

Report Attribute Details
Market size in 2018 US$ 14.86 Billion
Market Size by 2027 US$ 26.40 Billion
Global CAGR (2019 - 2027) 6.7%
Historical Data 2016-2017
Forecast period 2019-2027
Segments Covered By Mode of Transport
  • Roadways
  • Railways
  • Waterways
  • Airways
By Services
  • International Transportation
  • Warehousing
  • Domestic Transportation
  • Inventory Management
By End-user
  • Chemicals & Petrochemicals
  • Automotive
  • Healthcare
  • Retail
  • Consumer Goods
Regions and Countries Covered Saudi Arabia
  • Saudi Arabia
Market leaders and key company profiles
  • C.H. Robinson Worldwide, Inc.
  • CEVA Logistics AG
  • DB Schenker
  • Deutsche Post AG (DHL)
  • Kuehne + Nagel International AG
  • Sankyu Inc.
  • Saudi Logistics
  • United Warehouse Company Ltd.
  • United Parcel Service, Inc.
  • Naveen Chittaragi
    Naveen Chittaragi
    Associate Vice President,
    Market Research & Consulting

    Naveen is an experienced market research and consulting professional with over 9 years of expertise across custom, syndicated, and consulting projects. Currently serving as Associate Vice President, he has successfully managed stakeholders across the project value chain and has authored over 100 research reports and 30+ consulting assignments. His work spans across industrial and government projects, contributing significantly to client success and data-driven decision-making.

    Naveen holds an Engineering degree in Electronics & Communication from VTU, Karnataka, and an MBA in Marketing & Operations from Manipal University. He has been an active IEEE member for 9 years, participating in conferences, technical symposiums, and volunteering at both section and regional levels. Prior to his current role, he worked as an Associate Strategic Consultant at IndustryARC and as an Industrial Server Consultant at Hewlett Packard (HP Global).

    • Historical Analysis (2 Years), Base Year, Forecast (7 Years) with CAGR
    • PEST and SWOT Analysis
    • Market Size Value / Volume - Global, Regional, Country
    • Industry and Competitive Landscape
    • Excel Dataset

    Testimonials

    user

    I wish to appreciate your support and the professionalism you displayed in the course of attending to my request for information regarding to infectious disease IVD market in Nigeria. I appreciate your patience, your guidance, and the fact that you were willing to offer a discount, which eventually made it possible for us to close a deal. I look forward to engaging The Insight Partners in the future, all thanks to the impression you have created in me as a result of this first encounter.

    DR CHIJIOKE ONYIA, MANAGING DIRECTOR, PineCrest Healthcare Ltd.
    user

    The Insight Partners delivered insightful, well-structured market research with strong domain expertise. Their team was professional and responsive throughout. The user-friendly website made accessing industry reports seamless. We highly recommend them for reliable, high-quality research services

    Yukihiko Adachi CEO, Deep Blue, LLC.

    Reason to Buy

    • Informed Decision-Making
    • Understanding Market Dynamics
    • Competitive Analysis
    • Customer Insights
    • Market Forecasts
    • Risk Mitigation
    • Strategic Planning
    • Investment Justification
    • Identifying Emerging Markets
    • Enhancing Marketing Strategies
    • Boosting Operational Efficiency
    • Tracking Industry Innovations
    • Aligning with Regulatory Trends
    Your Key Concerns Addressed - Question & Answer
    Can I view a sample of the report before purchasing?

    Yes! We provide a free sample of the report, which includes Report Scope (Table of Contents), report structure, and selected insights to help you assess the value of the full report. Please click on the "Download Sample" button or contact us to receive your copy.

    Is analyst support included with the purchase?

    Absolutely — analyst assistance is part of the package. You can connect with our analyst post-purchase to clarify report insights, methodology or discuss how the findings apply to your business needs.

    What are the next steps once I place an order?

    Once your order is successfully placed, you will receive a confirmation email along with your invoice.

    • For published reports: You’ll receive access to the report within 4–6 working hours via a secured email sent to your email.
    • For upcoming reports: Your order will be recorded as a pre-booking. Our team will share the estimated release date and keep you informed of any updates. As soon as the report is published, it will be delivered to your registered email.

    Can the report be tailored to suit my specific needs?

    We offer customization options to align the report with your specific objectives. Whether you need deeper insights into a particular region, industry segment, competitor analysis, or data cut, our research team can tailor the report accordingly. Please share your requirements with us, and we’ll be happy to provide a customized proposal or scope.

    In what format is the report delivered?

    The report is available in either PDF format or as an Excel dataset, depending on the license you choose.

    The PDF version provides the full analysis and visuals in a ready-to-read format. The Excel dataset includes all underlying data tables for easy manipulation and further analysis.
    Please review the license options at checkout or contact us to confirm which formats are included with your purchase.

    How secure is the payment process on your platform?

    Our payment process is fully secure and PCI-DSS compliant.

    We use trusted and encrypted payment gateways to ensure that all transactions are protected with industry-standard SSL encryption. Your payment details are never stored on our servers and are handled securely by certified third-party processors.
    You can make your purchase with confidence, knowing your personal and financial information is safe with us.

    Do you provide special pricing for buying multiple reports?

    Yes, we do offer special pricing for bulk purchases.
    If you're interested in purchasing multiple reports, we’re happy to provide a customized bundle offer or volume-based discount tailored to your needs. Please contact our sales team with the list of reports you’re considering, and we’ll share a personalized quote.

    Can I connect with your team to discuss the report before buying?

    Yes, absolutely.
    Our team is available to help you make an informed decision. Whether you have questions about the report’s scope, methodology, customization options, or which license suits you best, we’re here to assist. Please reach out to us at sales@theinsightpartners.com, and one of our representatives will get in touch promptly.

    Will I get a billing invoice upon purchase?

    Yes, a billing invoice will be automatically generated and sent to your registered email upon successful completion of your purchase.
    If you need the invoice in a specific format or require additional details (such as company name, GST, or VAT information), feel free to contact us, and we’ll be happy to assist.

    Is there support available if I can’t access my report?

    Yes, certainly.
    If you encounter any difficulties accessing or receiving your report, our support team is ready to assist you. Simply reach out to us via email or live chat with your order information, and we’ll ensure the issue is resolved quickly so you can access your report without interruption.

    Our Clients

    The List of Companies

    1. C.H. Robinson Worldwide, Inc.
    2. CEVA Logistics AG
    3. DB Schenker
    4. Deutsche Post AG (DHL)
    5. Kuehne + Nagel International AG
    6. Sankyu Inc.
    7. Saudi Logistics
    8. United Warehouse Company Ltd.
    9. United Parcel Service, Inc.
    10. Warehousing Projects and Logistics Company (WPL)
    Sales Assistance
    US: +1-646-491-9876
    UK: +44-20-8125-4005
    Email: sales@theinsightpartners.com
    Chat with us
    DUNS Logo
    87-673-9708
    ISO Certified Logo
    ISO 9001:2015
    ISO Certified Logo