One of the globe’s most dynamic and rapidly growing markets, UAE’s Freight Market is set to accelerate at a great pace in the year 2023. Thanks to the UAE economy’s exponential growth in the past couple of years, the freight market is becoming increasingly competitive with the entry of players like large MNCs and local operators. To stay ahead of the curve, it is imperative to stay abreast of the trends in the logistics industry. In this blog post, we’ll cover the latest market trends in the UAE freight market in 2023.
UAE’s Freight Market in a Glimpse:
An integral part of the country’s economy, UAE’s freight market performs the role of expediting the movement of goods and services between the country and the rest of the globe. The UAE houses some of the busiest air and seaports in the world. Furthermore, its strategic location serves as a great advantage for international trade. The presence of various free trade zones in the UAE has also led to the country becoming a global logistics hub.
In the past few years, the UAE freight market has witnessed steady growth, owing to the great number of investments and technological advancements that boost the economy. Whether it’s digitalization and automation or the growth of business delivery services in UAE, the market has undergone a lot of changes. In addition to this, the market is also expected to maintain this growth trend in the upcoming years, with predictions of a compound annual growth rate of about 8% between 2019 and 2023. This is due to various factors, which are mentioned below:
Technological advancements in the country have led to enhanced efficiency and reduction of costs. In addition to this, with the emergence of technologies and digital tools for simplifying the procedure of freight forwarding, automation and digitalisation hold a lot of importance. At the same time, eCommerce’s growth has also significantly impacted the market, with an increasing number of people preferring online shopping and delivery services.
Increasing Consumer Demand:
Another important factor that will impact the freight market in the UAE is consumer demand. The UAE freight market is counted among the fastest-growing e-commerce markets across the globe. This has increased the demand for goods and services, which is directly linked to the increase in the requirement for different types of parcel delivery services in UAE. As more goods need to be transported between two places, this has also raised the demand for same day, next day, and express delivery services.
Investments in UAE’s transport sector
In order to improve the efficacy and efficiency of the freight market, there have been remarkable investments in UAE’s transport infrastructure. These investments have had a positive impact on the country’s freight market and will also continue to do so in the near future. The development of new roads and highways has enabled the shipping companies offering business delivery services in the UAE to reduce the cost of transporting goods & services. Hence, it is now more affordable for businesses to move their goods and services to and from the country.
At Arak Delivery Services, we leverage the latest technologies to stay ahead of the competition in the UAE freight Market. With our innovative solutions, we are known to assist businesses in streamlining their supply chains, optimizing transportation costs and enhancing the visibility of their operations. We have implemented the finest quality tools to assist our customers in managing shipments in real-time via our app. If you are looking for air or water freight services, then connect with us right away. You can also drop in a mail or visit our official website in case of any queries.