Latin America Logistics Industry Expands at 6.2% CAGR, Projected to Reach $784.60 Billion by 2027

WILMINGTON, NEW CASTLE, DE, UNITED STATES, February 12, 2025 /EINPresswire.com/ -- According to a recent report published by Allied Market Research, titled, “Latin America Logistics Market by Type, End Use and Mode of Transport: Opportunity Analysis and Industry Forecast, 2020–2027,” the Latin America logistics market size was valued at $542.40 billion in 2019, and is projected to reach $784.60 billion by 2027, registering a CAGR of 6.2% from 2020 to 2027.

At present, Brazil dominates in the Latin America logistics market, followed by Mexico, Argentina, Colombia, and others. Whereas Costa Rica and Panama are expected to grow at a significant growth rate in Latin America during the forecast period.

𝐆𝐞𝐭 𝐑𝐞𝐬𝐞𝐚𝐫𝐜𝐡 𝐑𝐞𝐩𝐨𝐫𝐭 𝐒𝐚𝐦𝐩𝐥𝐞 𝐏𝐚𝐠𝐞𝐬 : https://www.alliedmarketresearch.com/request-sample/A07185

According to the report by the American Society of International Law, it takes around 32 days to import the goods into Latin America, out of which, around 28 days are required for sorting of materials through in-country customs and customs brokers. As a result, customs costs and inventory buildups can become excessively high, leaving the consumer frustrated as the package takes too long to deliver. Companies operating in the logistics industry are adopting various technologies to efficiently carry out the logistics operations. For instance, Logiety, a technology company in Mexico is using machine learning technology with a focus to streamline the taxing and international customs by sorting and classifying the products for import and export by size, material, and weight.

The players operating in the Latin America logistics market are already outsourcing delivery and logistics services to the third parties. However, these companies are not particularly reliable or efficient. In addition, lack of reliability and transparency has hindered the B2C e-commerce growth, which in turn is impacting the logistics industry in Latin America. Companies in the logistics industry are adopting various technologies for customers to track their package in real time. For instance, Chazki, a Peru-based startup has developed a platform that allows the customers to track their goods in real time with the help of mobile application, and becoming the pioneer in Latin America for same day delivery. In addition, GuruCargo, a Uruguay-based startup has created an online platform that aggregates the cost of cargo shipping transparently, which in turns enables freight companies to cross-reference price quotes. Further, GuruCargo has become one of the top references in Latin America for shipping costs. The importers from all over the world are using this online platform to make sure if they are getting right price for the shipments.

The logistics market is mainly driven by increasing exports and warehousing activities in the agricultural sector. In addition, rising demand for cold chain logistics and intra-logistics services is expected to drive the Latin America logistics market. For instance, United Parcel Service (UPS), a logistics company, opened up a new, 76,000 square-foot, Bogtota, Colombia-based healthcare facility. This facility is geared toward helping pharmaceutical, biopharma, and medical device companies with their supply chains and intratransport. The facility comprises state-of-the-art technology for storing temperature-sensitive healthcare products and offers best-in-class distribution services and warehouse management. Also, FedEx Logistics acquired Colombia-based freight forwarding company Cargex that specializes in export management of perishable goods, which in turn is anticipated to propel the market growth in Colombia.

𝐏𝐫𝐨𝐜𝐮𝐫𝐞 𝐂𝐨𝐦𝐩𝐥𝐞𝐭𝐞 𝐑𝐞𝐬𝐞𝐚𝐫𝐜𝐡 𝐑𝐞𝐩𝐨𝐫𝐭 𝐍𝐨𝐰 : https://www.alliedmarketresearch.com/latin-america-logistics-market/purchase-options

Factors such as growing adoption of IoT enabled connected devices and increasing adoption of tech-driven logistics services fuel the growth of the Latin America logistics market. In addition, development of the e-commerce industry and increase in reverse logistics operations boost the market growth. However, lack of control of manufacturers on logistics services hinders the growth of the market. In addition, poor infrastructure and higher logistics costs restricts the growth of the market. On the contrary, Emergence of last mile deliveries coupled with logistics automation and rising use of information technologies solutions are anticipated to provide remarkable growth opportunities for the players operating in Latin America logistics market. 

𝐂𝐎𝐕𝐈𝐃-𝟏𝟗 𝐈𝐦𝐩𝐚𝐜𝐭 𝐀𝐧𝐚𝐥𝐲𝐬𝐢𝐬 :

The outbreak of COVID-19 has brought effects on many aspects, such as flight cancellations, travel bans and quarantines, which made the massive slowing of the supply chain and logistics activities across the world. Logistics firms, which are involved in the movement, storage, and flow of goods, have been directly affected by the COVID-19 pandemic.

𝐊𝐞𝐲 𝐅𝐢𝐧𝐝𝐢𝐧𝐠𝐬 𝐎𝐟 𝐓𝐡𝐞 𝐒𝐭𝐮𝐝𝐲 :

On the basis of type, the cash logistics segment is anticipated to exhibit remarkable growth rate during the forecast period.

By end use, the manufacturing segment has the highest Latin America logistics market share and is anticipated to maintain its lead during the forecast period.

By mode of transport, the airways segment is anticipated to grow at the highest CAGR in the near future.

Based on country, Costa Rica is anticipated to exhibit remarkable growth rate during the forecast period.

𝐈𝐧𝐪𝐮𝐢𝐫𝐞 𝐁𝐞𝐟𝐨𝐫𝐞 𝐁𝐮𝐲𝐢𝐧𝐠 : https://www.alliedmarketresearch.com/purchase-enquiry/A07185

The key players analyzed in this Latin America logistics market report are A.P. Moller–Maersk, C.H. Robinson Worldwide, Inc., DB Schenker, Deutsche Post AG (DHL Group), DSV, FedEx, Geodis, Kuehne+Nagel, Supply Chain Solutions and United Parcel Service, Inc., and others.

𝐁𝐫𝐨𝐰𝐬𝐞 𝐌𝐨𝐫𝐞 𝐓𝐫𝐞𝐧𝐝𝐢𝐧𝐠 𝐑𝐞𝐩𝐨𝐫𝐭𝐬 :

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𝐀𝐛𝐨𝐮𝐭 𝐮𝐬 :

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Wilmington, Delaware. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

We are in professional corporate relations with various companies, and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.

David Correa
Allied Market Research
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