India Third Party Logistics (3PL) Market

Market Overview:

India third party logistics (3PL) market size reached US$ 18.9 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 67.3 Billion by 2032, exhibiting a growth rate (CAGR) of 15.10% during 2024-2032. The increasing complexity of supply chain management, the inflating need among manufacturers for cost efficiency and flexibility, and the rising number of e-commerce activities are some of the key factors driving the market growth.

Third-party logistics (3PL) refers to the practice where a manufacturer delegates logistics and distribution tasks to an external service provider. These third-party logistics companies offer specialized services, including inventory management, cross-docking, door-to-door delivery, and product packaging. This outsourcing arrangement enhances flexibility for manufacturers by diminishing overall costs associated with the distribution and warehousing of goods. Moreover, it stands as a prevalent business model within the logistics sector, enabling companies to concentrate on their primary operations. This strategic approach not only leads to cost savings in shipping but also contributes to an enhanced customer experience. In essence, 3PL serves as a widely adopted solution in the logistics industry, allowing businesses to streamline their focus on core activities while concurrently optimizing their supply chain operations.

India Third Party Logistics (3PL) Market Trends:

The third party logistics (3PL) market in India is experiencing a robust growth trajectory, propelled by various key drivers that underscore the changing dynamics of the logistics industry. Firstly, the increasing complexity of supply chain management has become a significant driver for the adoption of 3PL services. Besides this, as businesses expand and diversify, the need for specialized logistics expertise offered by third-party providers becomes imperative. Moreover, the emphasis on cost efficiency and flexibility in operations has led to a surge in the popularity of third-party logistics in India. Furthermore, by outsourcing logistics and distribution activities to specialized companies, manufacturers can optimize costs related to warehousing, transportation, and overall supply chain management. This approach not only provides financial advantages but also allows companies to concentrate on their core competencies. Additionally, the competitive nature of the business landscape is encouraging companies to seek strategic partnerships with 3PL providers to gain a competitive edge. This collaborative approach allows businesses to enhance their logistics capabilities without significant capital investments. Moreover, several strategic partnerships driven by a competitive business environment are anticipated to fuel the market growth across the country over the forecasted period.

India Third Party Logistics (3PL) Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on transport, service type, and end use.

Transport Insights:

• Railways 
• Roadways
• Waterways
• Airways
   

The report has provided a detailed breakup and analysis of the market based on the transport. This includes railways, roadways, waterways, and airways.

Service Type Insights:

• Dedicated Contract Carriage
• Domestic Transportation Management 
• International Transportation Management
• Warehousing and Distribution
• Value Added Logistics Services
   

A detailed breakup and analysis of the market based on the service type have also been provided in the report. This includes dedicated contract carriage, domestic transportation management, international transportation management, warehousing and distribution, and value added logistics services.

End Use Insights:

• Manufacturing
• Retail
• Healthcare
• Automotive
• Others
   

The report has provided a detailed breakup and analysis of the market based on the end use. This includes manufacturing, retail, healthcare, automotive, and others.

Regional Insights:

• North India
• West and Central India
• South India
• East and Northeast India
   

The report has also provided a comprehensive analysis of all the major regional markets, which include North India, West and Central India, South India, and East and Northeast India.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

India Third Party Logistics (3PL) Market Report Coverage:

Key Questions Answered in This Report:

• How has the India third party logistics (3PL) market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the India third party logistics (3PL) market?
• What is the breakup of the India third party logistics (3PL) market on the basis of transport?
• What is the breakup of the India third party logistics (3PL) market on the basis of service type?
• What is the breakup of the India third party logistics (3PL) market on the basis of end use?
• What are the various stages in the value chain of the India third party logistics (3PL) market? 
• What are the key driving factors and challenges in the India third party logistics (3PL)?
• What is the structure of the India third party logistics (3PL) market and who are the key players?
• What is the degree of competition in the India third party logistics (3PL) market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India third party logistics (3PL) market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the India third party logistics (3PL) market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India third party logistics (3PL) industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.