The global food logistics market revenue was around US$ 125.9 billion in 2023 and is estimated to reach US$ 260.6 billion by 2032, growing at a compound annual growth rate (CAGR) of 8.3% during the forecast period from 2024 to 2032.
Food logistics is described as the procedure to execute, control, and plan the movement of food-related services and materials. These services consist of activities like packaging, inventory, security, material handling, transportation, and warehousing, which are scaled according to customer requirements and market needs. Logistics service providers are accountable for the delivery of goods or materials from manufacturers to consumers. The food logistics industry negotiates with the business of delivering groceries and food at a preferred location.
Factors Influencing Market Growth
- Factors like an increase in demand for last-mile food delivery, the surge in demand for ready-to-eat foods, and increased demand for cold chain logistics propel the growth of the food logistics market.
- The increased challenges of the truck industry including driver shortage augmented fuel prices, and the rise in competition from bigger players hinder the growth of the food logistics market.
- The rise in the adoption of automation, IoT, and AI technologies in food logistics, and the increase in hybrid routing for short-timeline deliveries are anticipated to present lucrative opportunities for the growth of the food logistics market.
Impact of COVID-19
The impact of the COVID-19 pandemic had a significant influence on the global food logistics market. The outbreak led to transportation restrictions, disturbances in global supply chains, and labor shortages, concerning the movement of food products.
The COVID-19 pandemic emphasized the significance of resilient and flexible food logistics systems to confirm the availability of necessary food items. It also accelerated the adoption of online ordering, contactless delivery, and digitization of logistics procedures.
Regional Analysis
In 2023, Asia-Pacific dominated the global food logistics market in terms of revenue and is anticipated to maintain its position during the forecast period. The growth of the regional market is attributed to the thriving last-mile grocery and food delivery in emerging economies. In addition, an augmented adoption of outsourced logistics services in the Asia-Pacific region is propelling the growth of the food logistics market in the same region.
Leading Companies
The leading prominent companies profiled in the global food logistics market are: -
- Yusen Logistics CO., LTD.
- C.H. Robinson Worldwide, Inc.
- CJ Logistics Corporation
- Americold Logistics, Inc.
- XPO, Inc.
- DB Schenker
- Hellmann Worldwide Logistics
- Lineage Logistics Holdings, LLC
- Agility
- Deutsche Post AG
- Other prominent key players
Segmentation Outline
The global food logistics market segmentation focuses on Business Type, Mode of Operation, Product Type, Service Type, and Region.
Segmentation based on Business Type
- Warehouse
- Distribution
- Value added services
Segmentation based on Mode of Operation
- Storage
- Roadways
- Seaways
- Others
Segmentation based on Product Type
- Fish, Shellfish, and Meat
- Vegetables, Fruits, and Nuts
- Cereals, Bakery and Dairy Products
- Coffee, Tea, and Vegetable Oil
- Others
Segmentation based on Service Type
- Cold Chain
- Non-Cold Chain
Segmentation based on Region
- North America
- The U.S.
- Canada
- Europe
- UK
- Germany
- France
- Italy
- Spain
- Netherlands
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- Australia
- South Korea
- Singapore
- Rest Of Asia-Pacific
- LAMEA
- Latin America
- Middle East
- Africa