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New Zealand Freight and Logistics Market - Growth, Trends and Forecasts (2019 - 2024)

New Zealand Freight and Logistics Market - Growth, Trends and Forecasts (2019 - 2024)

Market Overview

The New Zealand freight and logistics market is expected to witness a CAGR of 2.53% during the forecasted period of 2019-2024. The market is driven by growing demand from population growth, while driver shortage has slowed down the market.

  • Road freight is the dominant mode of freight transport in New Zealand, and accounts for almost 70% of the total domestic freight movement (in terms of ton-km) and over 90% of the freight (in terms of volume/tons).
  • Rail, although a small player in terms of employment and value added within the wider transport, logistics, and distribution sector, plays a vital linking role between, for instance, Auckland, Tauranga, and Hamilton.
Scope of the Report

The report covers insights on Technological Trends, Insights on the E-commerce Industry (Domestic and Cross-border E-commerce), Insights on Areas, such as Courier, Express, and Parcel (CEP) Industry, Contract Logistics (Including Market Sizes), Brief on Freight Transportation Costs/Freight Rates in New Zealand, Spotlight - Comprehensive and Progressive Agreement for Trans-Pacific Partnership and Its Effect on the Logistics Sector, Elaboration on Intermodal Transportation in New Zealand. Segments information is provided by Function (Freight Transport, Freight Forwarding, Warehousing, 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), Other End Users (Telecommunications, Pharmaceuticals, F&B). The report also provides information on key internationl and local players in the industry.

Key Market Trends

Population Growth Driving the Market

Hamilton is the third-largest city in New Zealand’s North Island, located around 125 kilometers south of Auckland. The city forms the southern point of New Zealand’s ‘golden triangle’, a geographic node, which encompasses Auckland, Tauranga, and Hamilton. It is responsible for approximately 50% of the country’s economic output and is home to half of the country’s total population.

In New Zealand, more than 90% of freight is transported by road, with 42% of the total freight (by tonnage) being moved within the golden triangle. There is likely to be an increase in freight over the next 25 years, in response to the population growth. At present, the population of the golden triangle region is approximately 2.47 million. This is forecast to grow to 3.24 million by 2043, registering a growth of 31%. This may create unprecedented demand for freight handling facilities in the region.

The New Zealand industrial and logistics sector has experienced strong growth over the past few years on the back of the country’s underlying economic fundamentals, increasing population and importantly the rise in ecommerce.

Road Transport Sector Dominant in New Zealand

Road freight is the dominant mode of freight transport in New Zealand and accounts for almost 70% of the total domestic freight movement (in terms of ton-km) and over 90% of the freight (in terms of volume/ton). Road freight transportation is mostly used for transporting freight, which is time sensitive, as almost all the locations in the country can be reached through road. This is a competitive advantage for road freight transportation from other modes of transportation, such as coastal shipping and rail.

Roads are the backbone of New Zealand’s domestic transport system. In New Zealand, the main highways are owned and operated by the government through the Transport Agency. Local authorities generally own and maintain local roads, with the help of central government funding. The growth in the economy, rise in trade, and the increase in population are the drivers of the road freight transport segment of the market studied.

As most of the freight travel less than 100 kilometers, road transport is generally preferred over rail. The commodities, such as livestock, perishable items, such as groceries, fruit and vegetables, refrigerated, and dangerous goods, like LPG, are not suited to the repeated transshipping rail, thus they are generally transported by road.

Competitive Landscape

The New Zealand Freight and logistics market is fragmented with the presence of both international and local players. The market has a large number of local players like Mainfreight Limited, Carrolls Cartage Limited, First Global Logistics, TIL Logistics Group Limited. The market has a large number of players catering to road freight market which has led to the growing competition in the segment.

Reasons to Purchase this report:
  • The market estimate (ME) sheet in Excel format
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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 (Overview of Industry 4.0 in New Zealand and its Impact on the Logistics Sector)
4.7 Insights on the E-commerce Industry (Domestic and Cross-border E-COMMERCE)
4.8 Insights on Areas, such as Courier, Express, and Parcel (CEP) Industry, Contract Logistics (Including Market Sizes)
4.9 Brief on Freight Transportation Costs/Freight Rates in New Zealand
4.10 Spotlight - Comprehensive and Progressive Agreement for Trans-Pacific Partnership and Its Effect on the Logistics Sector
4.11 Elaboration on Intermodal Transportation in New Zealand
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 USER
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, Pharmaceuticals, F&B)
6 COMPETITIVE LANDSCAPE
6.1 Overview (Market Concentration, Major Players)
6.2 Company Profiles (Including Mergers, Acquisitions, Joint Ventures, Collaborations, and Agreements)
6.2.1 International Companies
6.2.1.1 Deutsche Post DHL Group
6.2.1.2 Yusen Logistics Co. Ltd
6.2.1.3 Hellmann Worldwide Logistics Limited
6.2.1.4 CEVA Logistics
6.2.1.5 Agility Logistics Pvt. Ltd
6.2.1.6 Linfox Pty Ltd
6.2.1.7 Kuehne + Nagel International AG
6.2.1.8 FedEx Corporation
6.2.1.9 DB Schenker
6.2.1.10 DSV
6.2.2 Local Companies
6.2.2.1 Mainfreight Limited
6.2.2.2 Cardinal Logistics
6.2.2.3 Carrolls Cartage Limited
6.2.2.4 First Global Logistics
6.2.2.5 TIL Logistics Group Limited
6.2.2.6 Toll Group
6.2.2.7 K&S Corporation Limited
6.2.2.8 Online Distribution Ltd
6.2.2.9 Freightways Ltd
6.2.2.10 New Zealand Post Ltd
6.2.3 Other Companies (Key Information/Overview)
6.2.3.1 Bollore Logistics, Nexus Logistics, Goddards Cartage, March Logistics (NZ) Ltd, PBT, Mondiale Freight Services Ltd, Owens Transport Ltd, Fliway Group Ltd, Scales Logistics, Crown Worldwide, BPW Transport Efficiency NZ Ltd, Champion Freight, Central Transport Limited, Charter Transport, Rohlig New Zealand Limited, Malcolm Total Logistics, Burnard International Limited, Alderson, Bulk Lines Limited
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
8 APPENDIX
8.1 GDP Distribution, by Activity and Region
8.2 Insights on 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 on Key Export Destinations
8.6 Insights on Key Import Origin Countries
8.7 List of Prospective Clients for Logistics Service Providers

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