Market Size of south africa freight and logistics Industry
| Icons | Lable | Value |
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Study Period | 2017 - 2030 |
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Market Size (2024) | USD 13.79 Billion |
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Market Size (2030) | USD 19.9 Billion |
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Largest Share by Logistics Function | Freight Transport |
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CAGR (2024 - 2030) | 6.29 % |
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Fastest Growing by Logistics Function | Courier, Express, and Parcel (CEP) |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
South Africa Freight and Logistics Market Analysis
The South Africa Freight and Logistics Market size is estimated at 13.79 billion USD in 2024, and is expected to reach 19.9 billion USD by 2030, growing at a CAGR of 6.29% during the forecast period (2024-2030).
13.79 Billion
Market Size in 2024 (USD)
19.9 Billion
Market Size in 2030 (USD)
4.84 %
CAGR (2017-2023)
6.29 %
CAGR (2024-2030)
Fastest Growing Market by Mode of Transport
11.72 %
Projected CAGR, Pipelines, 2024-2030
The African Renaissance Pipeline project spans an impressive 2600 km. This pipeline is slated for completion in 2025 on the Mozambican side and 2026 on the South African side.
Largest CEP Market by Destination
64.85 %
value share, Domestic, 2023
E-commerce has been the key catalyst for the growth of the domestic CEP segment. The e-commerce market grew by 8.4% YoY and reached USD 6.4 billion in 2023.
Largest Market by End User Industry
39 %
value share, Wholesale and Retail Trade, 2023
With the launch of Amazon.co.za planned for early 2024, Amazon confirmed its entry into the South African retail market. The entry of Amazon to South Africa is expected to improve online offerings by local retailers.
Largest Warehousing Market by Temperature Control
91.90 %
value share, Non-Temperature Controlled, 2023
In February 2024, M24 Logistics unveiled a state-of-the-art warehouse in Montague Gardens. Spanning 30,000 sq. m, this facility is tailored to cater to major players in the e-commerce sector.
Fastest Growing Warehousing Market by Temperature Control
6.04 %
Projected CAGR, Temperature Controlled, 2024-2030
The pharmaceutical sector boosts the temperature-controlled segment. In 2023, the revenue from South Africa's OTC pharmaceutical market stood at USD 898.35 million.
Most developed economy with advanced infrastructure in the Sub-Saharan Africa
- In Q4 2023, the e-hailing giant inDrive made its foray into South Africa's freight landscape, debuting its services in Cape Town and Johannesburg. Branded as inDrive.Freight, this new platform empowers users to dispatch parcels with direct cost negotiations with drivers. The platform boasts a diverse fleet, catering to both personal and commercial needs, facilitating deliveries of parcels weighing up to 20,000kg within its network.
- A prominent trend in the domestic CEP market is the rise of specific point pickups and drop-offs. For instance, PUDO (Pick Up Drop Off) deployed 300 smart lockers in 2020, a number that surged to 1,100 by 2022, driven by the growing popularity and convenience of the service. These lockers enable seamless transfers of items weighing up to 20 kg, spanning from city centers to remote regions. Additionally, in 2022, Pargo, a smart logistics player, forged partnerships with over 3,000 local stores, spaza shops, and retail chains, establishing an extensive pickup network across South Africa. This move caters to the surging demand, largely fueled by the e-commerce boom, projected to hit USD 9.97 billion by 2027.
- In February 2024, M24 Logistics, a division of Media24 specializing in warehousing and distribution for African B2B and B2C merchants, unveiled a state-of-the-art warehouse in Montague Gardens. Spanning 30,000 sq. m, this facility is tailored to serve major players in both the B2B and e-commerce realms while also accommodating small and medium-sized enterprises (SMEs). With a distribution network spanning over 30 African countries, M24 Logistics takes pride in its fine-picking capabilities.
Understand The Key Trends Shaping This Market
