FMCG Logistics Market Analysis by Mordor Intelligence
The FMCG Logistics Market size is estimated at USD 1.37 trillion in 2025, and is expected to reach USD 1.75 trillion by 2030, at a CAGR of greater than 5.09% during the forecast period (2025-2030).
Robust e-commerce uptake, rapid urbanization, and rising middle-class consumption are reshaping distribution models, pushing companies toward technology-enabled, sustainability-minded supply chains that deliver end-to-end visibility and faster fulfillment. Transportation services continue to dominate value creation, while value-added offerings such as co-packing and labeling gain momentum as brands seek customization closer to demand. Cold-chain build-outs unlock growth in frozen and healthcare categories, and digital visibility platforms foster predictive decision-making that lowers waste and stockouts. Intensifying competition and recent megamergers encourage scale economies even as regional specialists retain an edge in localized, last-mile agility within the FMCG logistics market.
Key Report Takeaways
- By service, transportation captured 67% of FMCG logistics market share in 2024; the value-added services segment is projected to expand at a 4.9% CAGR to 2030.
- By temperature control, ambient logistics accounted for 64% of the FMCG logistics market size in 2024, while the frozen segment leads growth at a 4.6% CAGR through 2030.
- By product category, food & beverage held a 37% share of the FMCG logistics market in 2024; OTC & healthcare is set to grow fastest at a 4.9% CAGR to 2030.
- By distribution channel, offline networks commanded 69% of the 2024 FMCG logistics market size; online channels register the highest forecast growth at 5.1% CAGR.
- By geography, Asia-Pacific led with 36.6% of 2024 revenue and is also expected to post the strongest regional growth at a 4.78% CAGR to 2030.
Global FMCG Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| E-commerce acceleration & last-mile expectations | +1.2% | Global, with highest impact in Asia-Pacific and North America | Short term (≤ 2 years) |
| 3PL / contract-logistics penetration in FMCG | +0.8% | Global, particularly strong in Europe and North America | Medium term (2-4 years) |
| Cold-chain network build-out | +0.7% | Asia-Pacific core, spill-over to MEA and South America | Medium term (2-4 years) |
| End-to-end digital visibility platforms | +0.6% | Global, with early adoption in North America and Europe | Short term (≤ 2 years) |
| Rural consumption-led hub-and-spoke redesign | +0.5% | Asia-Pacific and South America, with rural market focus | Long term (≥ 4 years) |
| Carbon-tax-driven DC network consolidation | +0.4% | Europe and North America, expanding to Asia-Pacific | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
E-commerce Acceleration and Last-Mile Expectations
Faster online growth compresses delivery windows and fragments order profiles, forcing the FMCG logistics market to pivot toward urban micro-fulfillment and same-day drops. Brazil’s FMCG online sales rose 13.6% in H1 2024, with health & beauty up 17.8% and food up 26.2%. Providers are staging inventory in forward hubs, layering in electric vans, and rolling out real-time tracking to satisfy consumers who now expect precision and sustainability together. Investment flows into route-optimization platforms and reverse-logistics capabilities that help balance bulk B2B replenishment with escalating direct-to-consumer volumes. These shifts embed competitive stakes for asset-light brands that rely on partners for last-mile excellence within the FMCG logistics market[1]“Brazil E-commerce Sales Surge 18.7% in 2024,” Forest Shipping Editorial Team, forestshipping.com.
3PL / Contract-Logistics Penetration in FMCG
Brands increasingly convert fixed logistics costs to variable spend by outsourcing to 3PLs, unlocking scale and specialized expertise across multiple geographies. McLane’s 2025 agreement with Circle K illustrates the appeal of integrated transportation and distribution solutions that bundle inventory visibility and fleet optimization. Contract logistics players differentiate through co-packing, promotional bundling, and omnichannel returns, creating sticky, multi-year relationships. The model relieves FMCG firms from capital commitments while ensuring rapid deployment of automation, compliance systems, and analytics an arrangement that accelerates the FMCG logistics market evolution toward service-rich ecosystems.
Cold-Chain Network Build-Out
Expanding refrigerated infrastructure tackles spoilage rates that can touch 50% in Latin America. IoT-enabled monitoring, predictive analytics, and reefer fleets extend temperature control from factory to doorstep, allowing premium frozen foods and temperature-sensitive pharmaceuticals to reach underserved regions. Investment extends into sub-zero warehouses and refrigerated last-mile vehicles, lifting both capacity and compliance standards. This wave is most pronounced in Asia-Pacific, where rising affluence fuels demand for protein and health products requiring robust cold-chain links across the FMCG logistics market[2]“GreenLine LNG Trucks for Mondelez,” IPF Online, ipfonline.com.
End-to-End Digital Visibility Platforms
Real-time dashboards synthesize data from GPS units, IoT sensors, and WMS feeds to deliver actionable insights that reduce dwell times and avert stockouts. Tesco’s deployment of solar-powered sensors across 3,000 locations cut transit exceptions and improved inventory accuracy. Predictive alerts allow proactive interventions that shield freshness and compliance. As data interoperability improves, logistics providers share shipment-level milestones with retailers and consumers, elevating service quality and brand loyalty while differentiating leading players within the FMCG logistics market.
Restraints Impact Analysis
| Restraint | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Fuel-price volatility | -0.8% | Global, with highest impact in regions with longer transport distances | Short term (≤ 2 years) |
| Cross-border regulatory complexity | -0.6% | Global, particularly affecting international trade corridors | Medium term (2-4 years) |
| Tier-2/3 warehouse labour shortages | -0.5% | North America, Europe, and emerging Asia-Pacific markets | Medium term (2-4 years) |
| Data-interoperability gaps across 3PL/4PLs | -0.3% | Global, with higher impact in fragmented logistics markets | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Fuel-Price Volatility
Diesel cost swings weigh on transport budgets, with fuel accounting for roughly 25% of trucking operating expenses worldwide. Surcharge formulas and hedging contracts cushion some exposure, yet timing gaps often spark rate tensions between carriers and FMCG shippers. Currency shifts complicate cost calculations on cross-border lanes, prompting greater adoption of route-optimization software, alternative fuels such as LNG, and network redesigns that slash empty miles[3]"Report Reveals Three Biggest Challenges of International Trade." Customs Support, customssupport.com. Price unpredictability therefore tempers investment appetites and erodes margins across the FMCG logistics market.
Cross-Border Regulatory Complexity
Evolving trade policies, sanctions regimes, and product-specific labeling laws inflate compliance overhead and delay flows. A late-2024 survey of 33 European logistics providers found that 24% of operations suffered delays while 15% required mode changes due to new rules. Additional scrutiny around traceability, CBAM levies, and deforestation regulations forces companies to maintain deep regulatory expertise and agile documentation systems. These hurdles disproportionately affect multi-ingredient FMCG goods with diverse shelf-life and safety requirements, elevating risk and cost in the FMCG logistics market.
Segment Analysis
By Service: Transportation Dominance with Value-Added Growth
Transportation generated 67% of 2024 revenue, underscoring its foundational role in moving high-turnover goods through sprawling distribution webs. Road freight anchors the network, bridging manufacturing hubs, regional DCs, and last-mile nodes, while sea and rail support bulk intercontinental moves. Competitive differentiation now hinges on multi-modal integration, sustainable fleet upgrades, and data-rich route planning that trims transit variance. Value-added services, though smaller, expand at a 4.9% CAGR as brands seek co-packing, labeling, and kitting near demand centers to shrink lead times and marketing risks. This blend of core haulage with tailored services positions providers to capture greater share of the FMCG logistics market.
Intensifying omnichannel activity propels order-profile complexity, boosting needs for postponed configuration and returns management. Investments in automated sortation, collaborative robots, and quality-assurance cells inside warehouses translate into faster throughput and reduced mismatch errors. Providers capable of bundling transport, storage, and customization in a single contract deepen stickiness while growing wallet share. Consequently, the transportation segment remains the backbone, but high-margin growth tilts toward service layers that raise customer intimacy and lock in long-term demand within the FMCG logistics market.
Note: Segment shares of all individual segments available upon report purchase
By Temperature Control: Ambient Leadership with Frozen Acceleration
Ambient networks retained 64% of 2024 value, reflecting the dominance of dry groceries, household goods, and personal-care items that travel safely at standard temperatures. Scale efficiencies stem from uniform handling protocols and high cube utilization, allowing dense route planning and lower unit costs. Operators prioritize inventory rotation algorithms and contamination controls to preserve product integrity across high-velocity SKUs. Parallel infrastructure upgrades in racking design and real-time condition monitoring drive uptime gains and shrink waste.
Conversely, frozen logistics logs a 4.6% CAGR to 2030, riding consumer appetite for convenience foods and API-based pharmaceuticals requiring sub-zero transit. Investment pours into high-bay freezers, automated pallet shuttles, and telematics-equipped reefers that maintain <-18 °C thresholds door-to-door. Energy-efficient refrigerants and renewable-powered facilities help offset operating costs and meet ESG targets. Chilled and ultra-low categories sustain niche demand for dairy, fresh produce, and biologics, respectively, reinforcing a tiered service mix that broadens provider revenue channels across the FMCG logistics market.
By Product Category: Food & Beverage Scale with Healthcare Growth
Food & beverage commanded 37% of 2024 turnover, mirroring its central place in household spending and frequent purchase cycles. Complex SKUs ranging from perishables to shelf-stable condiments drive robust transport frequency and multi-temperature storage needs. Peak-season volatility around holidays imposes inventory balancing challenges that favor partners with flexible capacity and predictive analytic engines. Stringent safety regulations—Hazard Analysis Critical Control Point (HACCP), traceability mandates, and allergen segregation—further bolster demand for certified logistics networks.
OTC & healthcare registers the fastest 4.9% CAGR on the back of aging demographics, preventive wellness trends, and vaccine distribution requiring validated cold-chain stewardship. Serialization, controlled-substance tracking, and Good Distribution Practice (GDP) compliance raise service barriers, rewarding providers with pharmaceutical-grade infrastructure and quality-management systems. Meanwhile, personal-care and household-care categories enjoy steady upticks via premiumization and private-label expansion, opening space for automated fulfillment centers dedicated to high SKU counts and direct-to-consumer parcel flows within the FMCG logistics market.
Note: Segment shares of all individual segments available upon report purchase
By Distribution Channel: Offline Dominance with Online Acceleration
Brick-and-mortar networks, wholesalers, and institutional buyers absorbed 69% of 2024 volumes, benefiting from established replenishment cycles and trust in store-level product inspection. Integrated vendor-managed inventory and shelf-replenishment programs help retailers cut stockouts while optimizing working capital. Nevertheless, rising urban density and smartphone penetration propel online FMCG sales at a 5.1% CAGR, compelling legacy distributors to stitch fulfillment micro-hubs into metropolitan areas.
E-tail demand swings emphasize parcel sortation speed, elastic labor pools, and returns processing efficiency. Specialized e-commerce 3PLs offer API-ready order-management systems and crowd-sourced delivery fleets, attracting digital-native brands that favor asset-light models. Traditional players counter by blending click-and-collect, dark stores, and loyalty apps to defend customer mindshare. The race to harmonize offline inventory with online promises intensifies data-sharing imperatives, pushing the FMCG logistics market toward unified, omnichannel orchestration.
Geography Analysis
Asia-Pacific generated 36.6% of 2024 global revenue and sustains the fastest regional momentum at a 4.78% CAGR to 2030. Rapid urbanization, burgeoning middle classes, and digital payment ubiquity accelerate demand for modern trade and e-commerce alike. High-speed rail corridors, port expansions, and highway upgrades cut transit times and reduce logistics costs, propelling investment inflows. Nestlé Malaysia’s USD 56 million Port Klang hub underscores the wave of brownfield and greenfield capacity designed to serve regional exports and domestic distribution simultaneously.
North America combines advanced infrastructure with early adoption of digital visibility tools and sustainability pilots. LNG-powered truck deployments such as GreenLine’s fleet for Mondelez India mirror similar carbon-cutting initiatives across U.S. and Canadian lanes. Europe’s regulatory environment, led by CBAM and circular-economy directives, nudges providers toward low-emission fleet renewals and warehouse electrification. Dense cross-border traffic demands impeccable documentation and real-time customs integration to avert post-Brexit congestion and emerging sanctions complexities.
South America’s rising online propensity, evidenced by Brazil’s USD 28.66 billion H1 2024 e-commerce haul, drives demand for bonded warehouses and last-mile crowdsourced fleets that bypass congested urban arterials. Meanwhile, Middle East & Africa witness incremental but steady capacity additions tied to free-trade zones, airport-centric logistics parks, and donor-funded cold-chain corridors supporting fresh produce and vaccines. Collectively, geographic diversification mitigates exposure to any single economic cycle, but service models must flex to local infrastructure gaps and regulatory heterogeneity to thrive in the FMCG logistics market.
Competitive Landscape
The FMCG logistics market displays moderate concentration as global integrators leverage scale while regional specialists capitalize on proximity and niche capabilities. DHL, Kuehne + Nagel, and DSV headline a cohort of full-service providers spanning transportation, warehousing, and value-added customization across continents. DSV’s USD 15.9 billion agreement to acquire DB Schenker in 2024 strengthens its global reach and integrated modal offerings, signaling accelerating consolidation that raises competitive entry barriers.
Strategic focus pivots toward digitization, ESG alignment, and sector-specific depth. Operators roll out AI-driven control towers, automated storage and retrieval systems, and blockchain pilots to heighten transparency and efficiency. Sustainability commitments manifest in electric delivery van rollouts, LNG and biofuel truck trials, and solar-powered warehouse roofs, all aimed at reducing Scope 1 and 2 emissions. Providers with pharmaceutical-grade facilities, omnichannel fulfillment expertise, and cold-chain certifications command premium pricing and longer contract tenures. Regional challengers differentiate through granular route familiarity, bilingual customer service, and flexible asset control that speeds time-to-market for local brands eager to scale within the FMCG logistics market.
Still, price sensitivity persists in commodity transport lanes, pressing incumbents to unlock additional efficiency gains via network densification and predictive maintenance. Performance metrics—on-time delivery, temperature excursion rates, and carbon intensity per pallet—are increasingly disclosed in RFPs, shifting bargaining power toward service excellence rather than pure rate competitiveness. Over the forecast horizon, the competitive chessboard will hinge on who best integrates tech, talent, and sustainable operations to satisfy FMCG brands’ evolving expectations without sacrificing cost discipline.
FMCG Logistics Industry Leaders
-
DHL Group
-
Kuehne + Nagel
-
DSV
-
C.H. Robinson
-
Ceva Logistics
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- February 2025: Mahindra Logistics expanded its partnership with Asian Paints, deploying Pro-Trucking services with on-demand fleet, route management, and end-to-end visibility across India.
- November 2024: GXO Logistics secured a multi-year contract extension worth about EUR 180 million (USD 187.48 million) with a large European retailer, expanding e-commerce fulfillment and last-mile services in 12 countries. The agreement adds advanced robotics and AI-driven inventory tools to support omnichannel growth.
- October 2024: DHL Group partnered with Shopify to link DHL’s delivery network with Shopify’s merchant platform across North America and Europe. The collaboration offers FMCG brands same-day options and carbon-neutral shipping through an integrated fulfillment solution.
- September 2024: C.H. Robinson bought European forwarder Combinex for roughly USD 85 million, strengthening its presence in Germany, Poland, and the Czech Republic and adding expertise in automotive and consumer-goods logistics.
Global FMCG Logistics Market Report Scope
FMCG logistics management is concerned with the efficiency and effectiveness with which daily activities involving the transportation of daily usable goods from one location to another are managed. It is the management of the flow of goods from one point of origin to another to meet the needs of customers.
A complete background analysis of the FMCG Logistics Market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, and emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact is included in the report.
The FMCG logistics market is segmented by service (transportation, warehousing, distribution, inventory management, and other value-added services), and by geography (Asia-Pacific, North America, Europe, Latin America, Middle East and Africa). The report offers market size and forecasts in value (USD) for all the above segments.
| Transportation | Road |
| Rail | |
| Air | |
| Sea | |
| Warehousing and Distribution | |
| Value-added Services and Others |
| Chilled (0-5 °C) |
| Frozen (-18-0°C) |
| Ambient |
| Deep-Frozen / Ultra-Low (less than-20 °C) |
| Food and Beverage |
| Personal Care |
| Household Care |
| OTC and Healthcare |
| Others |
| Online |
| Offline |
| North America | United States |
| Canada | |
| Mexico | |
| South America | Brazil |
| Peru | |
| Chile | |
| Argentina | |
| Rest of South America | |
| Asia-Pacific | India |
| China | |
| Japan | |
| Australia | |
| South Korea | |
| South East Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | |
| Rest of Asia-Pacific | |
| Europe | United Kingdom |
| Germany | |
| France | |
| Spain | |
| Italy | |
| BENELUX (Belgium, Netherlands, and Luxembourg) | |
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | |
| Rest of Europe | |
| Middle East and Africa | United Arab of Emirates |
| Saudi Arabia | |
| South Africa | |
| Nigeria | |
| Rest of Middle East And Africa |
| By Service (Value) | Transportation | Road |
| Rail | ||
| Air | ||
| Sea | ||
| Warehousing and Distribution | ||
| Value-added Services and Others | ||
| By Temperature Control (Value) | Chilled (0-5 °C) | |
| Frozen (-18-0°C) | ||
| Ambient | ||
| Deep-Frozen / Ultra-Low (less than-20 °C) | ||
| By Product Category (Value) | Food and Beverage | |
| Personal Care | ||
| Household Care | ||
| OTC and Healthcare | ||
| Others | ||
| By Distribution Channel (Value) | Online | |
| Offline | ||
| By Geography (Value) | North America | United States |
| Canada | ||
| Mexico | ||
| South America | Brazil | |
| Peru | ||
| Chile | ||
| Argentina | ||
| Rest of South America | ||
| Asia-Pacific | India | |
| China | ||
| Japan | ||
| Australia | ||
| South Korea | ||
| South East Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | ||
| Rest of Asia-Pacific | ||
| Europe | United Kingdom | |
| Germany | ||
| France | ||
| Spain | ||
| Italy | ||
| BENELUX (Belgium, Netherlands, and Luxembourg) | ||
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | ||
| Rest of Europe | ||
| Middle East and Africa | United Arab of Emirates | |
| Saudi Arabia | ||
| South Africa | ||
| Nigeria | ||
| Rest of Middle East And Africa | ||
Key Questions Answered in the Report
What is the current global value of the FMCG logistics market?
The FMCG logistics market is valued at USD 1.37 trillion in 2025.
How fast is online FMCG fulfillment growing relative to offline channels?
Online distribution is advancing at a 5.1% CAGR, outpacing the mature offline network.
Which service segment leads revenue generation within the sector?
Transportation services deliver 67% of 2024 revenue, making it the largest segment.
Which region offers the strongest growth prospects to 2030?
Asia-Pacific shows the highest CAGR at 4.78% thanks to urbanization and infrastructure investment.
How are logistics providers addressing sustainability targets?
Companies deploy LNG trucks, electrified last-mile fleets, and renewable-powered warehouses to curb emissions while maintaining service quality.
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