Oman Logistics and Warehousing Market: Ken Research
How the Oman Logistics and Warehousing Market Is Positioned? Logistics service in Oman comprises a range of activities that look over at the procurement as well as final delivery of raw material and finished products. These services include freight forwarding, warehousing and other value added services such as customs brokerage, inventory management, order fulfillment and product repair. With the influx of various foreign companies, the number of players involved in the sector is estimated to be roughly around ~. The government of Oman is in the process to bring down the economyâ€™s dependence on oil and gas sector by diversifying into other industry verticals. Logistics sector has gained special focus of the government due to its potential and the geo-strategic location of Oman. With political uncertainty in gulf area, Oman offers a safe by-pass to some of the major trade lines of the world. The growth in Oman Logistics and Warehousing Market was ~%, thus evaluated at USD ~ million in the year 2013. The market witnessed an increase from USD ~ million in 2012. The overall growth had declined in 2015 and 2016 due to slowdown in the overall exports and imports from the country due to closing down of several SMEs in the country.
The growth rate of the sector has continuously gone down in the past three years with a ~% growth registered in 2017. The change in the policies is attributed as the prime reason for the loss of momentum observed in the sector. In 2016, the Central Bank of Oman launched a national debit card payment gateway infrastructure for e-commerce transactions, OmanNet Debit Card E-Payment Gateway infrastructure, which will provide safe and secure e-commerce transactions. A new law for the protection of e-payment is under deliberation. Which Service Dominates in Oman Logistics and Warehousing Market? The freight forwarding segment has dominated Oman logistics and warehousing market with revenue share worth ~%, thus evaluated at USD ~ million in the year 2017. Seaways were observed as the most preferred mode of transportation in terms of volume share. It was followed by roadways in Oman freight forwarding market in 2017.
The remaining volume share was captured by air transport. Due to its important geographical position in the trading routes of the world and less than two weeks of sea-distance from major European and Asian economies, Omanâ€™s ports handle a large volume of international freight. Major goods transported through road freight include motor vehicle spare parts; machinery, apparatus and parts for textile, garment; electronic goods, computers and their parts; and food and beverage raw materials. The warehousing segment followed freight forwarding in Oman logistics and warehousing market with revenue share of ~%, thus evaluated at USD ~ million in the year 2017, majorly due to rise in usage for modern warehousing facilities in the country. Modern warehousing was convenient for workers as it helped in saving time and efforts wasted on loading and offloading goods. The traditional method was being replaced by high tech machinery such as cranes, thus creating a positive impact on the warehousing services in the country. In Oman, the rise in the retail and FMCG industry in the country has driven the demand of warehousing services. Additionally, the expanding e-tail industry has triggered the demand for warehousing services for the storage of international and domestic packets.
Oman Freight Forwarding Market The freight forwarding industry in Oman was evaluated at USD ~ million in terms of revenue contribution during 2012. The market witnessed an increase to USD ~ million in 2013, thus growing at ~ % in comparison with previous year. With the rising industrial activities in the country due to the entry of number of leading foreign players, the demand for freight forwarding has surged in the country. Which Freight Movement Dominates? The sea freight segment dominated Oman freight forwarding market with a revenue share of ~% despite a sharp decline compared to previous year majorly due to increase in roadways trade among GCC neighbors. In Oman, there major methods of ocean freight shipping are Exclusive Containers and Shared Containers. The Port of Salalah, the largest port in Oman, is centrally located at the crossroads of trade between Asia and Europe.
Major companies offering ocean freight services in Oman include Agility Logistics Oman, GAC Oman, Oman Global Logistics, ILS Logistics, Shipco Oman, CEVA Logistics Sohar Shipping and others. The road freight segment despite being second by volume has the smallest contribution by value with a ~% share on account of cheap rates as compared to air freight. Road transport is gaining attraction in Oman as the bulk of trade is with neighboring GCC countries. Major companies offering road freight services in Oman includes Aramex, DHL, Ex-freighters, Badar Shipping, Majan Shipping, Bahwan Logistics, CEVA logistics and others. Air freight is the quickest method among all other freight services and is usually reserved for essential items such as food products, medicines and small shipments in Oman which have an urgent requirement. The air freight segment captured a revenue share of ~% in Oman freight forwarding market during 2017. Major companies offering air freight services in Oman are DHL, Oman Air, Qatar Navigation and others.
Oman Warehousing Market The Oman warehousing market was valued at USD ~ million in the year 2012. The market grew to the value of USD ~ million by 2014. A key driver behind Omanâ€™s significant warehousing market and its regularly increasing growth is the location, considering that it is an intermediary trade corridor leading to it being an ideal pit stop for goods being transported between the western and Asian regions. The market was still in the nascent stage signified by strong yet marginal growth rates in their YoY revenue. Which Business Model Dominates? The industrial/retail freight segment dominated overall Oman warehousing market with a massive revenue share of ~% in the year 2017. The rising industrial / retail sector in Oman has elevated the requirement of warehouses in the country majorly due to increasing demand for storage of processed packaged foods and beverages.
Recent retailing trends have led to the development of warehouse style retail stores in Oman which constitutes high ceiling buildings, thus displaying retail goods on tall, heavy duty industrial racks rather than conventional retail shelving. The e-tail companies require warehouses for storing goods and hence are one of the leading growth factors for the warehousing market in Oman. Container freight followed industrial / retail freight segment in Oman warehousing market with a revenue share of ~% in the year 2017. The use of containers in export shipments makes the transport and goods handling easier and faster. The cold storage segment in Oman warehousing market captured revenue share worth ~% in the year 2017 owing to the rise in products requiring cold storage. The growing tech savvy population has triggered the online ordering of food which has enhanced the demand for cold storage systems as various foods and drinks require cold storage.
The agriculture and other segments collectively captured the remaining revenue share worth ~% in Oman warehousing market in the year 2017. Agricultural products are highly probable to adverse treatment which would lead to damage or destruction of the inventory. Oman Express Logistics Market The express logistics market in Oman was evaluated at USD ~ million in 2012 which witnessed an increase to USD ~ million in 2017. Omanâ€™s express delivery firms such as Oman Post have been operating well in the market alongside foreign giants such as DHL Express, Aramex, TNT, FedEx and UPS. These foreign giants firms mostly deliver documents, mails, cargos in small quantities. Air express was the most popular means of express delivery as compared to ground express delivery. The use of Ecommerce in Oman has become very common following the spread of IT systems such as laptops, tablets and smart phones, thus aiding people to shop online. The trend of shopping online for perishable items such as food products including fruits and vegetables, meat, fish and others has been rising Changing consumer shopping habits coupled with rising usage of E-commerce has given a rise to express delivery services in the country.
The international express segment dominated Oman express logistics market with a massive revenue share of ~% in the year 2017. To aid the increase in air freight traffic in Oman, the new Muscat International Airport was inaugurated in late 2017. In accordance with Oman e-commerce association, the rapid development of online trading activities has opened great opportunities for express delivery firms in the domestic market. In the domestic market, express services in Oman express logistics market captured the remaining ~% revenue share in the year 2017 majorly owing to development in transport infrastructure for sending goods to domestic locations. The Ministry of Transport and Communication is currently constructing several road projects as well as repairing, raising the capacity and dualizing the existing roads. DHL, FedEx, TNT, Aramex and others provides international as well as domestic express across Oman. Oman Cold Chain Market Cold storage capacity, which is generally measured in the number of pallets, stands at ~ as on December 2017 and looking at the focus of the government to make Oman a gateway to all the goods that arrive at GCC by developing the infrastructure and employing the latest technology. The rise in industries such as, retail, frozen food, meat and seafood, pharmaceuticals and others have increased the demand for both cold transport and cold storage in the country. E-commerce industry has grown at a significantly high rate which has given a boost to the cold chain industry.
Seafood and meat industry dominated the cold chain market with ~% revenue share in 2017 in Oman owing to the domestic and international demand for these products. The increase in supermarkets and hypermarkets providing meat and seafood products have led to an increase in the demand for cold chain units both in terms of cold storage and cold transport. Poultry and Egg industry attributed ~% revenue share in the cold chain industry owing to the increased food consumption due to rising population, increase in the disposable income and increase in super markets and hyper markets. Omani people have a preference for Chocolate, Cocoa and Sugar confectionary which requires the cold chain systems for these products. Confectionary accounted for ~% revenue share in cold chain market of Oman in 2016. The other products include chemicals, fruits and vegetables, pharmaceuticals etc. The increase in population has increased the intake of fruits and vegetables over the years. In addition to this, the online grocery and food delivery trend evolving in the country has made an impact in this segment.
Cold Storage Segment Dominated or Cold Transport? Cold transport has contributed major share of ~% in terms of revenues in cold chain industry in Oman during 2017 as most of the companies maintain their own fleet for the temperature controlled transportation. The processed food has been attributed to the cold transport segment due to the requirement of temperature controlled atmosphere and short expiration duration. Cold storage had a significant contribution towards the cold chain market in 2017 by attributing ~% market share owing to the fact that the companies which demand cold storage services do not have their warehouses. The operational cost for storage is high so the companies outsource these services. Competitive Landscape of Major Players Operating In Oman Logistics and Warehousing Market The freight forwarding industry in Oman was observed as highly fragmented with the presence of both domestic as well international freight forwarders in the country. Major companies offering ocean freight services in Oman include Agility Logistics Oman, GAC Oman, Oman Global Logistics, ILS Logistics, Shipco Oman, and others. Major companies offering road freight services in Oman includes Aramex, DHL, Ex-freighters and others.
The express logistics industry in Oman was witnessed to be moderately concentrated with the presence of major players in primarily international express segment. International express is dominated by DHL Express, followed by global players including FedEx, TNT and UPS Express, while domestic express is dominated by Oman Post. The rising popularity of the next day and specific day deliveries is impacting retailersâ€™ ability to meet customer expectations. Warehousing industry encompasses a mix of unorganized and organized players. The companies in the country are competing with each other on the basis of the size and location of the warehouse. Major Players in warehousing includes GGL Oman, GAC, Avvashya CCI, Logwin Logistics and others. The major players in the country in the cold chain services include Agility Logistics, Al Madina Logistics and ILS Logistics.
Oman Logistics and Warehousing Market Future Outlook Oman logistics and warehousing market is estimated to generate revenues worth USD ~ million, thus growing at a CAGR of ~% over the forecast period 2018-2022. The country will focus on upgrading its logistics infrastructure especially in the seaports, constructing regional and international logistics service centers, improving the efficiency of connection between Oman and other countries, thereby becoming a modern logistics hub in near future. The culmination of vision 2020 with a high implementation rate is set to turn with development of better infrastructure coming in place to support the operations and make use of the strategic location of Oman. Various Free Trade Agreements (FTAs) signed between Oman which includes agreements with India, USA, Singapore and GCC countries will lead to boost the countryâ€™s trade relations in long term.
For more information on the research report, refer to below link: https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/ oman-logistics-market-research-report/142300-100.html Related Reports: https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/v ietnam-logistics-market/144734-100.html The Vietnamese E-commerce industry was evaluated at USD 1.9 billion in the year 2011 which was observed to increase to USD 6.3 billion in 2017, thus growing at a six year CAGR of 22.5% in the period 2011-2017 https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/p oland-logistics-market/149100-100.html The Poland logistics market consists of a number of organized and unorganized players consisting of freight forwarders specializing in land, sea or air transportation, warehouse service providers, companies specializing in cold chain services, courier
https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/a ustralia-logistics-warehousing-market/142255-100.html The Australian logistics markets consist of numerous unorganized fleet operators, well-established local units and global companies. Contact Us: Ken Research Ankur Gupta, Head Marketing & Communications email@example.com +91-9015378249
The report concludes with market projection for future of logistics and warehousing services for Oman logistics and warehousing market... F...
Published on Jun 12, 2018
The report concludes with market projection for future of logistics and warehousing services for Oman logistics and warehousing market... F...