Myanmar Freight & Logistics Market Size
| Study Period: | 2019 - 2028 |
| CAGR: | > 6 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Myanmar Freight & Logistics Market Analysis
The Burmese freight and logistics market is anticipated to record a CAGR of 6% during the forecast period. The logistics sector in the country is under transformation, driven by increasing trade activity, improving connectivity, and the entry of major international players.
- The lack of proper transport infrastructure has hindered the growth of the logistics sector in the country for many years. However, the ongoing developments in the country present a lot of opportunities for logistics players. The country's strategic geographical location is an important factor in attracting investments. The country's location has a special significance in the Asia-Pacific region, connecting the two major economies of China and India. The country acts like a continental bridge connecting the regions of South Asia, East Asia, and Southeast Asia.
- More than three-fourths of the logistics players in the country are involved in the provision of common services, such as unloading, loading, customs clearance, and forwarding services, while the remaining companies provide value-added services, such as labeling, shipment tracking, and cold storage. As the demand for these services is growing, many companies are adding these kinds of services to their existing business portfolio.
- The COVID-19 pandemic impacted many sectors of the economy, including logistics. Manufacturing, logistics, and retail sectors witnessed a high impact, primarily driven by demand and supply shocks, as supply chains were disrupted globally. In addition, the military coup in the country also impacted the logistics sector, with the suspension of flights causing freight rates to increase.
Myanmar Freight & Logistics Industry Segmentation
Freight and logistics involve road, rail, sea, and air transportation and supporting services such as warehousing, storage, freight forwarding, and customs brokerage for both domestic and international trade.
The report provides a complete background analysis of the Burmese freight and logistics market, which includes an assessment of the economy and contribution from sectors in the economy, market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics, and logistics spending by the end-user industries are covered in the report.
The Myanmar Freight and Logistics Market is Segmented by Function (Freight Transport, Freight Forwarding, Warehousing, and Value-added Services and Other Functions) and End User (Manufacturing and Automotive, Oil and Gas, Mining, and Quarrying, Agriculture, Fishing, and Forestry, Construction, Distributive Trade (Wholesale and Retail Segments - FMCG Included), and Other End Users (Telecommunications, Food and Beverage, Pharmaceutical, etc.)). Additionally, the report offers market size and forecasts for the Myanmar Freight and Logistics Market in value (USD billion) for all the above segments.
| By Function | ||||||
| ||||||
| Freight Forwarding | ||||||
| Warehousing | ||||||
| Value-added Services and Other Functions |
| By End Users | |
| Manufacturing and Automotive | |
| Oil and Gas, Mining, and Quarrying | |
| Agriculture, Fishing, and Forestry | |
| Construction | |
| Distributive Trade (Wholesale and Retail Segments - FMCG included) | |
| Other End Users (Telecommunications, Food and Beverage, Pharmaceuticals) |
Myanmar Freight & Logistics Market Trends
This section covers the major market trends shaping the Myanmar Freight & Logistics Market according to our research experts:
Road Transport Sector Remains the Dominant Mode of Transportation
Road freight transportation has been emerging as a leading mode of freight transportation in recent years, along with shipping and inland water transport. Road transport is the dominant mode of domestic transportation, helping connect rural areas and support regional and international trade.
The road network in Myanmar is weak and underdeveloped compared to ASEAN nations, with more than half of the road network being unpaved. The improper infrastructure, coupled with the lowest motor vehicle penetration in Southeast Asia, results in high transportation costs and long travel times. This makes the trucking costs in the country comparatively higher than in other countries in ASEAN.
As part of Myanmar’s Sustainable Development Policy 2018-30, transport infrastructure development is a prioritized area. The third goal in the report relates to creating jobs and boosting the economy with the help of the private sector.
Cross-border trade has been gaining more importance across Southeast Asia and has become key for increasing trade activity and economic development. All the countries in the region have joined hands and created cooperative development to increase competitiveness altogether. In this context, cross-border trade is expected to be a major driver of the Burmese trucking industry.
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Developments in Transport Infrastructure to Improve Connectivity and Drive the Logistics Market
Myanmar’s significant reforms include merging the ministries related to transportation under a single Ministry of Transport, expanding transport networks to reduce transportation costs, improving water transport along the Ayeyarwady and Chindwin rivers, and allowing private companies to manage Yangon and Mandalay international airports under the PPP (public-private partnership) scheme.
In order to increase freight transport efficiency and maximize investments in the sector, a logistics corridor development strategy is being considered. Under this strategy, investments will be concentrated within six so-called logistics corridors, including major transport and cargo systems, such as roads and rivers linking large industrial clusters to border gates and ports.
The establishment of six logistics corridors that run through the country, which is fundamental to the plan, includes the North-South Logistics Corridor between Yangon and Southern China, South-East Logistics Corridor to Thailand, Trans-Myanmar Logistics Corridor connecting Kyaukphyu in Rakhine State with Tachileik in Shan State, Myanmar-India Logistics Corridor, Main River Logistics Corridor, and Coastal Marine Logistics Corridor.
Myanmar Freight & Logistics Industry Overview
The freight and logistics market in Myanmar is fragmented, with a large number of enterprises. The major freight transport and logistics services players are private companies, except for the railway freight operation undertaken by Myanmar Rail (MR) and the inland waterway transport operation undertaken by large vessels of around 1,000 DWT by the Inland Waterway Transport (IWT).
Most of the companies operating in the country’s logistics sector are small and medium-sized enterprises. Yusen Logistics, DB Schenker, DHL, CEA Project Logistics, and EFR Group are some prominent logistics players active in the market. Though the market has a presence of several leading players from all over the world, it is still a fragmented market without any dominant players.
The majority of the local players offer services such as unloading, loading, customs clearance, and forwarding services. The transforming logistics sector of the country, which is in an expansion phase, is being driven by growing trade activities.
Myanmar Freight & Logistics Market Leaders
Yusen Logistics Co. Ltd.
DB Schenker
CEA Projects Co. Ltd.
E.F.R Group of Companies
KOSPA Limited
*Disclaimer: Major Players sorted in no particular order
Myanmar Freight & Logistics Market News
- Aug 2022: Myanmar Airways International (MAI) appointed SkyPac Aviation as General Sales and Service Agent (GSSA), cargo, passenger and handling supervisor in Vietnam.
- Jun 2022: The DB Schenker team in Myanmar migrated a leading consumer company to the NextGen Warehouse (NGW) Management System. This is DB Schenker’s advanced IT solution for Contract Logistics operations. To ensure a successful system implementation, supported by DB Schenker’s global Competency Center, the Myanmar team organized functional and technical training and conducted thorough testing before they went live.
Myanmar Freight & Logistics Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
2.1 Analysis Methodology
2.2 Research Phases
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
4.1 Current Market Scenario
4.2 Market Dynamics
4.2.1 Drivers
4.2.2 Restraints
4.2.3 Opportunities
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.4 Value Chain/Supply Chain Analysis
4.5 Government Regulations and Initiatives
4.6 Technological Trends
4.7 Insights into the E-commerce Industry (Domestic and Cross-border E-commerce)
4.8 Insights into Intermodal Transportation and Dry Ports
4.9 Brief on Freight Transportation Costs/Freight Rates in Myanmar
4.10 Spotlight - Special Economic Zones (SEZs) in Myanmar
4.11 Elaboration on E-commerce Logistics in Myanmar
4.12 Brief on Transport Corridors
4.13 Insights into Cold Chain Logistics in Myanmar
4.14 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
5.1 By Function
5.1.1 Freight Transport
5.1.1.1 Road
5.1.1.2 Shipping and Inland Water
5.1.1.3 Air
5.1.1.4 Rail
5.1.2 Freight Forwarding
5.1.3 Warehousing
5.1.4 Value-added Services and Other Functions
5.2 By End Users
5.2.1 Manufacturing and Automotive
5.2.2 Oil and Gas, Mining, and Quarrying
5.2.3 Agriculture, Fishing, and Forestry
5.2.4 Construction
5.2.5 Distributive Trade (Wholesale and Retail Segments - FMCG included)
5.2.6 Other End Users (Telecommunications, Food and Beverage, Pharmaceuticals)
6. COMPETITIVE LANDSCAPE
6.1 Overview (Market Concentration and Major Players)
6.2 Company Profiles, including Mergers, Acquisitions, Joint Ventures, Collaborations, and Agreements)
6.2.1 Nippon Yusen Kabushiki Kaisha (Yusen Logistics Co. Ltd)
6.2.2 DB Schenker
6.2.3 Deutsche Post DHL Group
6.2.4 Yamato Holdings Co. Ltd
6.2.5 Advantis
6.2.6 Phee Group
6.2.7 EFR Group of Companies
6.2.8 CEA Projects Co. Ltd
6.2.9 Damco
6.2.10 Sojitz Logistics Corporation/Premium Sojitz Logistics (PSL)
6.2.11 Magnate Group Logistics Company Limited
6.2.12 KOSPA Limited
6.2.13 CJ Logistics Corporation
6.2.14 Elan Logistics
6.2.15 Bollore Logistics*
6.3 Other Companies (Key Information/Overview)
6.3.1 Dextra Group, Kargo, DKSH, Tigers Logistics, Indo Trans Logistics Corporation, Hellmann Worldwide Logistics, Bee Logistics Corp., SUZUE Corporation, SECURE Shipping Services Co. Ltd, Rhenus Logistics, Srithai Logistics, Global Gifts Logistics Myanmar, Hercules Logistics, Daizen*
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. APPENDIX
8.1 GDP Distribution, by Activity and Region
8.2 Insights into Capital Flows
8.3 Economic Statistics - Transport and Storage Sector, Contribution to Economy
8.4 External Trade Statistics - Export and Import, by Product
8.5 Insights into Key Export Destinations
8.6 Insights into Key Import Origin Countries
8.7 List of Prospective Clients for Logistics Service Providers
Myanmar Freight & Logistics Market Research FAQs
What is the study period of this market?
The Myanmar Freight and Logistics Market is studied from 2019 - 2028.
What is the growth rate of Myanmar Freight and Logistics Market?
The Myanmar Freight and Logistics Market is growing at a CAGR of >6% over the next 5 years.
Who are the key players in Myanmar Freight and Logistics Market?
Yusen Logistics Co. Ltd., DB Schenker, CEA Projects Co. Ltd., E.F.R Group of Companies, KOSPA Limited are the major companies operating in Myanmar Freight and Logistics Market.
Myanmar Freight and Logistics Industry Report
Statistics for the 2023 Myanmar Freight and Logistics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Myanmar Freight and Logistics analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
