Pakistan Logistics and Warehousing Market Outlook to 2029

The report titled “Pakistan Logistics and Warehousing Market Outlook to 2029 - By Market Structure, By Services, By End Users, By Mode of Transport, By Type of Warehousing, and By Region.” provides a comprehensive analysis of the logistics and warehousing industry in Pakistan. The report covers an overview and genesis of the industry, overall market size in terms of revenue, market segmentation; trends and developments, regulatory landscape, customer level profiling, issues and challenges, and comparative landscape including competition scenario, cross comparison, opportunities and bottlenecks, and company profiling of major players in the logistics and warehousing industry. The report concludes with future market projections based on revenue, by services, transport mode, warehouse type, region, cause and effect relationship, and success case studies highlighting the major opportunities and cautions.

Pakistan Logistics and Warehousing Market Overview and Size

The Pakistan logistics and warehousing market reached a valuation of PKR 1,980 Billion in 2023, driven by infrastructure investments, e-commerce expansion, CPEC-related developments, and increasing trade activities. Major players such as TCS Logistics, BlueEx, Agility Logistics, DHL Pakistan, and Pakistan Post dominate the industry with expansive networks, multimodal logistics offerings, and warehousing infrastructure in key trade hubs including Karachi, Lahore, Faisalabad, and Islamabad.

In 2023, TCS expanded its warehousing capacity in Karachi and Lahore to cater to the growing demands of e-commerce fulfillment and B2B distribution. The launch of digital logistics platforms has also enhanced transparency and efficiency in inventory management, tracking, and delivery services. Karachi and Lahore remain central nodes due to their connectivity to ports, industrial clusters, and regional demand centers.

Market Size for Pakistan Logistics and Warehousing Industry on the Basis of Revenue in USD Billion, 2018-2024

What Factors are Leading to the Growth of Pakistan Logistics and Warehousing Market:

• Infrastructure Development: Massive infrastructure projects under the China-Pakistan Economic Corridor (CPEC) have significantly enhanced logistics corridors, road networks, and connectivity between ports and inland regions. Between 2018 and 2023, over PKR 600 billion was invested in transport and logistics-related infrastructure.

• E-commerce Growth: With over 130 million internet users and rising smartphone penetration, e-commerce in Pakistan is witnessing exponential growth, which in turn has driven demand for last-mile delivery and storage solutions. In 2023, warehousing demand from e-commerce accounted for over 18% of total warehousing space in key cities.

• Industrial and Manufacturing Expansion: Rising exports in textiles, pharmaceuticals, and agri-based products have created a need for temperature-controlled storage, bulk warehousing, and efficient freight handling. Export-driven sectors have boosted the demand for value-added logistics services like cold chain and cross-docking.

Which Industry Challenges Have Impacted the Growth for Pakistan Logistics and Warehousing Market

• Infrastructure Bottlenecks: Despite ongoing development, Pakistan continues to face serious infrastructure limitations including poor road conditions, limited rail connectivity, and outdated port facilities. According to industry estimates, over 35% of logistics companies report delivery delays due to infrastructure issues, which not only reduce efficiency but also increase operational costs by an estimated 18%.

• High Operational Costs: Rising fuel prices, warehousing rents, and frequent delays in customs clearance contribute to elevated operational costs. In 2023, logistics providers reported that fuel alone accounted for nearly 40% of total transportation expenses. These high costs are particularly burdensome for small to medium-sized logistics firms, limiting their scalability and competitiveness.

• Fragmented Market and Informal Sector Dominance: Pakistan’s logistics industry is highly fragmented, with a large share of the market dominated by informal or unorganized players. This limits the adoption of modern practices such as real-time tracking, digital inventory management, and standardized warehousing processes. As of 2023, more than 60% of logistics providers lacked access to digital logistics infrastructure.

What are the Regulations and Initiatives Which Have Governed the Market

• Pakistan Single Window (PSW) Initiative: Launched to streamline cross-border trade, the PSW system reduces documentation and clearance times by integrating all regulatory authorities on a single digital platform. As of late 2023, the PSW has been implemented at 21 ports and border locations, cutting average clearance time by 36% for import shipments.

• National Freight and Logistics Policy (NFLP): The Ministry of Planning launched the NFLP to modernize the logistics sector, focusing on multimodal transport, regulatory reforms, and infrastructure development. This policy aims to reduce logistics costs from the current 18% of GDP to 12% by 2030.

• Warehousing Standards and Cold Chain Guidelines: In 2023, the Pakistan Standards and Quality Control Authority (PSQCA) introduced new guidelines for warehousing infrastructure, especially focused on temperature-sensitive goods such as pharmaceuticals and perishables. The standards require temperature monitoring, power backup, and structured layout for large-scale warehouse operators.

Pakistan Logistics and Warehousing Market Segmentation

• By Market Structure: The logistics and warehousing industry in Pakistan is largely dominated by unorganized players, especially in first and last-mile delivery services. These players typically offer low-cost services with minimal formal processes, catering to price-sensitive SMEs and rural markets. However, the organized sector is rapidly expanding due to demand from e-commerce platforms, multinational manufacturers, and retail chains. Organized players offer value-added services like inventory tracking, cold chain management, and automation, making them preferred partners for large-scale operations.

• By Mode of Transport:Road transport dominates Pakistan’s logistics sector due to underdeveloped rail and air cargo infrastructure. It accounts for the majority of domestic freight movement, especially for FMCG, textiles, and agriculture. Rail freight is used for bulk commodities like coal and cement but is hindered by poor network coverage. Air freight, although expensive, is used for high-value and perishable goods. Multimodal logistics solutions are emerging with CPEC corridor developments aimed at integrating road, rail, and port infrastructure.

• By Type of Warehousing: The warehousing sector is segmented into General Warehousing, Cold Chain Warehousing, and Bonded Warehousing. General warehousing caters to the bulk of demand from retail and industrial sectors. Cold chain facilities are limited but growing, primarily supporting pharmaceuticals, meat, and dairy. Bonded warehouses are concentrated near major ports like Karachi and Port Qasim, facilitating international trade and customs clearance.

Competitive Landscape in Pakistan Logistics and Warehousing Market

The Pakistan logistics and warehousing market is moderately fragmented, with a mix of local and international players. However, the industry is witnessing rapid consolidation and digital transformation as global logistics firms, e-commerce enablers, and domestic 3PL providers expand their footprint. Key players such as TCS Logistics, Agility Pakistan, DHL Supply Chain, Ryder Pakistan, and BlueEx are leading the shift toward more integrated and technology-driven logistics solutions.

Some of the recent competitor trends and key information about competitors include:

• TCS Logistics: As one of the largest and oldest logistics players in Pakistan, TCS has expanded its warehousing space by 18% in 2023, adding temperature-controlled facilities to support the growing pharma and food sectors. The company also launched a centralized logistics management platform to offer real-time visibility to its enterprise clients.

• Agility Pakistan: A global logistics powerhouse, Agility Pakistan has focused on industrial logistics and cold chain warehousing, particularly in Karachi and Lahore. In 2023, the company reported a 22% growth in contract logistics revenue, driven by FMCG and healthcare clients.

• DHL Supply Chain Pakistan: DHL operates multi-user warehousing facilities and is a preferred 3PL provider for multinational companies in Pakistan. The firm recently launched a green logistics initiative aimed at reducing emissions by converting part of its fleet to electric vehicles in 2024.

• Ryder Pakistan: Known for its warehousing automation and RFID inventory systems, Ryder Pakistan has been expanding into Tier-2 cities to serve regional FMCG distribution. In 2023, Ryder reported a 30% year-on-year growth in e-commerce logistics partnerships.

• BlueEx: BlueEx specializes in last-mile delivery and fulfillment services for e-commerce platforms. The company operates over 80 warehouses and pickup hubs nationwide. In 2023, it introduced AI-powered route optimization, reducing delivery turnaround times by 17%.

What Lies Ahead for Pakistan Logistics and Warehousing Market?

The Pakistan logistics and warehousing market is projected to experience consistent growth by 2029, with a promising CAGR fueled by infrastructure investments, rising domestic consumption, and the increasing role of e-commerce and manufacturing in the national economy.

• CPEC-Driven Infrastructure Expansion: With continued progress under the China-Pakistan Economic Corridor (CPEC), Pakistan is expected to witness significant improvements in transport corridors, dry ports, and logistics parks. These developments will boost connectivity across regions and enable faster, cost-efficient movement of goods both domestically and for transit trade to Central Asia.

• Adoption of Smart Warehousing Technologies: The market is shifting toward the adoption of smart warehousing solutions, including warehouse management systems (WMS), real-time inventory tracking, and robotics for order fulfillment. By 2029, an increasing share of organized warehouse operators are expected to adopt digital technologies to improve productivity and reduce operational inefficiencies.

• Rise of Integrated 3PL Solutions: There is a growing preference among large manufacturers and e-commerce firms for integrated third-party logistics (3PL) providers offering bundled services like transportation, warehousing, customs clearance, and last-mile delivery. This trend is likely to drive consolidation in the sector and encourage investment in large-scale, multi-user logistics hubs.

• Growth of Cold Chain and Pharma Logistics: The pharmaceutical, food, and agriculture sectors are expected to significantly boost demand for cold chain warehousing and temperature-controlled logistics. With increasing health consciousness and food safety regulations, cold chain infrastructure is projected to expand in urban and semi-urban areas across Pakistan by 2029.

Future Outlook and Projections for Pakistan Logistics and Warehousing Market on the Basis of Revenues in USD Billion, 2024-2029

Pakistan Logistics and Warehousing Market Segmentation

• By Market Structure: o Organized Logistics Providers
o Unorganized/Informal Logistics Operators
o First-Mile Logistics Providers
o Last-Mile Delivery Services
o Freight Forwarders
o Third-Party Logistics (3PL)
o Fourth-Party Logistics (4PL)

• By Service Type: o Transportation
o Warehousing
o Inventory Management
o Packaging & Labeling
o Cold Chain Logistics
o Customs Brokerage
o Reverse Logistics

• By End User Industry: o FMCG
o E-commerce & Retail
o Pharmaceuticals
o Automotive
o Electronics & Appliances
o Agriculture & Food Processing
o Textiles & Apparel
o Oil & Gas

• By Mode of Transport: o Road
o Rail
o Air
o Sea
o Multimodal

• By Type of Warehousing: o General Warehousing
o Cold Chain Warehousing
o Bonded Warehousing
o Distribution Centers
o Fulfillment Centers
o Container Freight Stations

• By Region: o Sindh
o Punjab
o Khyber Pakhtunkhwa
o Balochistan
o Islamabad Capital Territory
o Gilgit-Baltistan

Players Mentioned in the Report:

Freight Forwarding Companies

• Combined Freight International (CFIPAK)
• Costa Logistics Pakistan
• Qadri Movers and Packers
• Balance Logistics & Relocation
• Global Logistic Group
• Bismillah Logistics
• Flash Logistics
• Freight Forwarders Pakistan
• Ample Shipping & Logistic Services
• SUPERTERRA Container Line
• Crystal Global Shipping
• Shipner Shipping and Agencies
• VMR Lines
• Oceanic Star Line
• W Container Lines
• Ravian International Agencies Pakistan
• EMKAY Lines
• ACUTE Shipping and Logistics

Warehousing Companies

• Maersk Integrated Logistics Park (MILP)
• Gujrat Steel Pvt. Ltd.
• Shispare Pvt. Ltd.
• Oware
• One Union Solutions
• JN International
• CFIPAK
• National Logistics Corporation (NLC)
• Lahore Movers

E-Commerce Logistics Companies

• TCS
• BlueEX
• Rider
• Daraz Express
• InstaWorld
• M&P Express Logistics
• FastEx
• Dreamco Express
• Safe Express Logistics

Express Logistics Companies

• TCS

• M&P Express Logistics

• Leopards Courier

• BlueEX

• DHL Express Pakistan

• FedEx Pakistan

• UPS Pakistan

• Aramex Pakistan

• Dreamco Express

• FastEx

Key Target Audience:

• Logistics Companies
• Warehouse Developers
• Cold Chain Operators
• E-commerce Fulfillment Providers
• Industrial Manufacturers
• Regulatory Authorities (e.g., Pakistan Railways, PSQCA)
• Trade and Transport Ministries
• Investment and Infrastructure Development Agencies

Time Period:

• Historical Period: 2018–2023
• Base Year: 2024
• Forecast Period: 2024–2029