Who are the key players in India 3PL Market?

DHL International GmbH., Mahindra Logistics, All Cargo Logistics Limited, Kuehne + Nagel and TVS Logistics Services Limited are the major companies operating in the India 3PL Market. Read More

What years does this India 3PL Market cover, and what was the market size in 2023?

In 2023, the India 3PL Market size was estimated at USD 37.31 billion. The report covers the India 3PL Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the India 3PL Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029. Read More

India 3PL Market Size

Market Size of India 3PL Industry

Study Period	2020 - 2029
Base Year For Estimation	2023
Market Size (2024)	USD 40.03 Billion
Market Size (2029)	USD 56.88 Billion
CAGR (2024 - 2029)	7.28 %
Market Concentration	Low
Major Players *Disclaimer: Major Players sorted in no particular order

3PL in India Market Analysis

The India 3PL Market size is estimated at USD 40.03 billion in 2024, and is expected to reach USD 56.88 billion by 2029, growing at a CAGR of 7.28% during the forecast period (2024-2029).

The market is expected to be driven by the growth in manufacturing, FMCG, retail and e-commerce sectors. The Indian companies are demanding new logistics capabilities and complex solutions from the 3PL service providers to help them in the successful management of supply chain processes, bring down conventional logistics costs and handle more complicated tasks.

The key segments include road, rail, warehousing, cold chain, coastal transportation, container freight stations and inland container depots (CFS/ ICD). Development of the infrastructures like dedicated freight corridors, free trade warehousing zones, logistics parks and container freight stations are expected to improve the efficiency of the Indian 3PL market. The Indian logistics industry is associated with a relatively high cost of transportation and storage. A significant proportion of the higher cost can be attributed to the absence of an efficient intermodal and multimodal transport systems, poor road infrastructure leading to lowering of the maximum distance that can be covered by any commercial vehicle and toll on the highways. Further, higher warehousing costs are driven by a shortage of warehousing capacity in India, non-standardization of warehouses in terms of IT application, etc.

The Government of India has set the target to bring down the current 14% logistics cost of India's GDP to 9% by 2022 and has requested the Ministries of Railways, Transport, Shipping and Aviation to work in tandem to reach the aforementioned goal.

3PL in India Industry Segmentation

A comprehensive background analysis of the India 3PL Market, covering the current market trends, restraints, technological updates and detailed information on various segments and competitive landscape of the industry.

By Services
		Domestic Transportation Management
		International Transportation Management
		Value-added Warehousing and Distribution

By End-User
		Automobile
		Chemicals
		Construction
		Consumer and Retail
		Energy
		Manufacturing
		Life Sciences and Healthcare
		Technology
		Others

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India 3PL Market Size Summary

The 3PL logistics industry in India is poised for significant growth, driven by the expanding manufacturing, FMCG, retail, and e-commerce sectors. As companies increasingly seek advanced logistics capabilities to optimize supply chain management and reduce costs, the demand for third-party logistics services is on the rise. Key segments such as road, rail, warehousing, cold chain, and coastal transportation are integral to this growth. Infrastructure developments like dedicated freight corridors and logistics parks are expected to enhance the efficiency of the logistics sector. However, challenges such as high transportation and storage costs, poor road infrastructure, and a shortage of warehousing capacity remain. The government's initiatives to reduce logistics costs as a percentage of GDP and improve intermodal transport systems are crucial in addressing these challenges.

The Indian logistics market is characterized by a fragmented landscape with numerous local and international players, including major companies like DHL Supply Chain and All Cargo Logistics Limited. Recent investments from global and private equity firms highlight India's emerging position in the warehousing sector. Policies such as GST and Sagarmala are pivotal in modernizing logistics operations and enhancing connectivity. The maritime industry, supported by initiatives like SAGAR, plays a vital role in the country's economic growth. The pharmaceutical sector's demand for cold chain logistics is also driving market expansion, with companies like Kool-ex and Maersk investing heavily in infrastructure and fleet expansion. These developments underscore the dynamic nature of the Indian 3PL logistics market, with significant potential for future growth.

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India 3PL Market Size - Table of Contents

1. MARKET DYNAMICS AND INSIGHTS
1. 1.1 Current Market Scenario
2. 1.2 Market Dynamics
  1. 1.2.1 Drivers
  2. 1.2.2 Restraints
  3. 1.2.3 Opportunities
3. 1.3 Value Chain / Supply Chain Analysis
4. 1.4 Industry Policies and Regulations
5. 1.5 General Trends in Warehousing Market
6. 1.6 Demand From Other Segments, such as CEP, Last Mile Delivery, Cold Chain Logistics Etc.
7. 1.7 Insights on Ecommerce Business
8. 1.8 Technological Developments in the Logistics Sector
9. 1.9 Industry Attractiveness - Porter's Five Forces Analysis
2. MARKET SEGMENTATION
1. 2.1 By Services
  1. 2.1.1 Domestic Transportation Management
  2. 2.1.2 International Transportation Management
  3. 2.1.3 Value-added Warehousing and Distribution
2. 2.2 By End-User
  1. 2.2.1 Automobile
  2. 2.2.2 Chemicals
  3. 2.2.3 Construction
  4. 2.2.4 Consumer and Retail
  5. 2.2.5 Energy
  6. 2.2.6 Manufacturing
  7. 2.2.7 Life Sciences and Healthcare
  8. 2.2.8 Technology
  9. 2.2.9 Others