Dubai-Mubasher: The UAE logistics sector is expected to rise by 4% in 2016, with a compound annual growth rate (CAGR) of 5.7% between 2015 and 2020, according to a recent report issued by Frost & Sullivan.
“The UAE’s logistics industry will be supported by ongoing economic diversification, growing domestic demand, development of multimodal transportation, and implementation of new technologies,” according to the report.
The country’s geographical location gives the trade access to a population base of more than 2 billion people in the region, with expectations to be one of the busiest trade lands globally by 2030.
“This growth will spur expansion of the logistics service providers (LSP), strengthening their competitiveness and transformational growth through capacity expansion and enhancement in infrastructure investment and technology solutions.”
“The sector has played a vital role in the country’s sustained economic growth by contributing for nearly 14% or around $29.8 billion of the UAE’s GDP in 2015,” said Globe Express Services president and CEO Mustapha Kawam.
