Market Size of united arab emirates courier, express, and parcel (cep) Industry
| Icons | Lable | Value |
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Study Period | 2017 - 2030 |
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Market Size (2024) | USD 1.20 Billion |
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Market Size (2030) | USD 1.91 Billion |
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Largest Share by Destination | Domestic |
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CAGR (2024 - 2030) | 8.06 % |
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Fastest Growing by Destination | International |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
United Arab Emirates Courier, Express, and Parcel (CEP) Market Analysis
The United Arab Emirates Courier, Express, and Parcel (CEP) Market size is estimated at 1.20 billion USD in 2024, and is expected to reach 1.91 billion USD by 2030, growing at a CAGR of 8.06% during the forecast period (2024-2030).
1.20 Billion
Market Size in 2024 (USD)
1.91 Billion
Market Size in 2030 (USD)
6.22 %
CAGR (2017-2023)
8.06 %
CAGR (2024-2030)
Fastest Growing Market by Speed of Delivery
8.58 %
Projected CAGR, Express, 2024-2030
The launch of new express delivery services and seed funding for delivery platforms are significantly driving the segment's growth.
Fastest Growing Market by Model
10.48 %
Projected CAGR, Business-to-Consumer (B2C), 2024-2030
The DED Trader license in Dubai, designed to support the expansion of e-commerce in the United Arab Emirates, which is a catalyst for the B2C segment, has witnessed a rise in applications due to increasing demand.
Largest Market by Shipment Weight
57.89 %
value share, Light Weight Shipments, 2023
Delivery of goods like groceries and beauty, health, personal household care, and fashion products is majorly driving the segment's growth.
Largest Market by End User Industry
42.95 %
value share, E-Commerce, 2023
A few leading parcel delivery providers are dominating the delivery segment for e-commerce retailers due to their established presence and networks.
First Leading Market Player
18.36 %
market share, Aramex, 2022
Aramex offers its services through 17 offices in the United Arab Emirates. It has a 798,000 sq. ft warehousing facility that uses 9,000 solar panels for electricity.
The e-commerce segment is driving the CEP market's growth
- E-commerce has been a major growth driver for the domestic and international segments of the market since the pandemic. The largest player was amazon.ae, with a revenue of USD 477.6 million in 2022. It was followed by namshi.com and carrefouruae.com as the second and third-largest stores, with USD 264.8 million and USD 223.2 million, respectively. The top three stores collectively accounted for 35.2% of the top 100 online stores' revenue in the UAE. E-commerce is projected to be valued at USD 13.71 billion by 2027, boosting the market growth significantly.
- Various e-commerce segments drove domestic and international CEP demand during the review period. Of them, the fashion segment accounted for the maximum revenue contribution share in 2021, with 35.44%, amounting to USD 3.64 billion. It was followed by the electronics segment with 20.55% (USD 2.11 billion) and toys, hobby & DIY with 15.77% (USD 1.62 billion). The e-commerce industry had a consumer penetration rate of 69.4% in 2021, an increase of 2.29% YoY from 2020. The explosion of e-commerce compelled most express companies to start a dedicated division offering e-commerce services.
- The UAE issued a license for flying vehicles for parcel deliveries in 2023. Electric vertical take-off and landing (eVTOL) aircraft are going to be used to deliver parcels across the United Arab Emirates, leading to speedy delivery and receipt of small cargo. This mode of delivery also has significant environmental benefits. RegLab works with the issuance of electric aircraft licenses. It issued a temporary license to test an eVTOL aircraft in the United Arab Emirates. The RegLab license also consists of legal provisions on a temporary basis that seek to advance the country's objective of having net zero emissions by 2050.
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Understand The Key Trends Shaping This Market
