Market Size of Australia 3PL Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 16.13 Billion |
| Market Size (2029) | USD 20.60 Billion |
| CAGR (2024 - 2029) | 5.01 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Australia 3PL Logistics Market Analysis
The Australia 3PL Market size is estimated at USD 16.13 billion in 2024, and is expected to reach USD 20.60 billion by 2029, growing at a CAGR of 5.01% during the forecast period (2024-2029).
- The Australian logistics industry experienced rapid growth in express delivery services, aided by growth in the e-commerce industry, which provides various value-added services such as one-day delivery and door-to-door services. This has prompted the development of 3PL services, with international players entering the market. The major corporations focus on value-added services to gain a competitive advantage over the other players. Good infrastructures, such as warehousing, distribution networks, and technological capabilities, are critical for Australian 3PL firms.
- The development of logistics infrastructure and new technologies are expected to contribute significantly to the Australian 3PL market growth. Moreover, the omnichannel operation demands reliable, fast, and free shipping services, which has resulted in companies adopting a new business model to provide low-cost and on-demand delivery services. 3PL companies embrace various modifications in supply chain management to address the notable transformations and challenges of e-commerce. The 3PL companies are shifting their focus from long-haul delivery to just-in-time delivery. The suppliers are also transitioning from multiple storage facilities to a single warehouse location. To accommodate an increase in last-mile delivery, companies invest in smaller trucks and vans, which can support shorter and more frequent deliveries.
- The Australian logistics and warehousing market is expected to increase over the forecast period. The freight forwarding industry is predicted to continue to account for a large share of the revenue, supported by the growth of 3PL companies. Government investment is also a key factor in the growth of the 3PL logistics industry in Australia.
- The government plans an additional USD 75 billion investment in road and rail infrastructure from 2018 to 2027. These infrastructure development programs have, in turn, greatly improved the development of transport facilities, making freight movement easy and smooth.
