Singapore Freight - Logistics Market Size, Share, Report Outlook (2018-23)

Singapore Freight & Logistics Market Size, Share – Segmented by Function (Freight Transport, Freight Forwarding, Warehousing, Courier, Express, & Parcel, Value-added Logistics, and Others), Freight Mode (Air, Sea, Rail, and Road), End User (Construction, Oil & Gas and Quarrying, Agriculture, Fishing & Forestry, Manufacturing & Automotive, Distributive Trade, Telecommunications, and Others) - Growth, Trends, and Forecast (2018 - 2023) Singapore Freight & Logistics Market. The Singapore freight & logistics market was valued at USD XX billion in 2017 and is expected to reach a market value of USD 114.81 billion by 2023, registering a CAGR of 5.51% during the forecast period (2018 – 2023). Singapore has developed into a major transshipment hub for the Asian region, boasting well-developed port infrastructure and strong container shipping connections. In terms of liner connectivity, the country is ranked second, globally, with a score of 122.7, after China (167.5). The well-developed and strong port connections have ensured that it plays a premier global role, with Singapore the world number one, in terms of container throughput, prior to 2010 when Shanghai overtook the country. Singapore is seeking to reclaim its number-one position with the facility hoping to attract new customers and retain existing clients by cutting port fees. Insights on Freight Forwarding. Singapore is a major international trading hub due to its centralized position in Southeast Asia. The country is positioned as a global transshipment hub. As such, the logistics industry is expected to grow over the forecast period with continued higher contribution of logistics sector to the overall GDP of the country. Singapore Changi Airport had recorded a strong performance in 2016, with air freight throughput increasing by 6.3% to reach a new high of 1.97 million metric ton. In terms of airfreight throughput, growth was recorded across imports, exports, and transshipments. Perishables and pharmaceuticals were segments that performed well, contributing a significant portion of Changi’s total cargo throughput. The top five country markets for air freight were China, Australia, Hong Kong, the United States, and India. To strengthen its pharmaceutical cargo handling capabilities, Changi Airport formed a community of cargo partners to undergo the attainment of International Air Transport Association’s (IATA) Centre of Excellence for Independent Validators on Pharmaceutical Handling (CEIV Pharma) certification. In October 2016, the DHL Express South Asia Hub, a 24-hour express hub facility located within Changi Airfreight Centre, was officially opened. This has tripled DHL Express’ cargo handling facility in Singapore and allows shipments to be processed six times faster. Together with SATS’ upcoming e-commerce AirHub expected to open later this year, these developments will boost Changi’s position as a leading air cargo hub in Asia. Insights on E-Commerce Fulfilment. With the speedy growth of e-commerce in Southeast Asia, many online stores are expected to prioritize last-mile delivery services, considering it as the part of the business strategy. Because last-mile delivery service is often a company’s first point attraction for its customer. Additionally, having a smooth and efficient last-mile fulfillment will enable e-commerce companies to build stronger levels of trust and brand loyalty with its rapidly expanding consumer markets. Keppel T&T; one of the leading logistics service providers in Singapore; has acquired 59.6% stakes of Courex Pte Ltd; a Singapore-based e-commerce logistics service provider. This acquisition is likely to help Keppel T&T's to grow its complementary capabilities logistics division to tap into significantly growing market sectors, such as e-commerce. There is trend growing among multi-nationals to elect Singapore as their regional headquarter. The country is leveraging its geocentric positioning within Southeast Asia by presenting itself as a distribution hub for the regional market. There is also an increasing focus around innovation and technology-enabled logistics solutions, due to the higher level of labor costs in Singapore and the need to keep its competitive edge against neighboring countries. Opening into the Strait of Malacca, Singapore has plans to be the international/global nodal center for e-commerce logistics, similar to how the country has become a regional distribution hub for countries across the globe.