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Digital Advancements and the Demand for e-Commerce will Drive Logistics Market Growth
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The low labor cost and the favorable geographical location make Portugal a trans-shipment hub for the fresh produce from Latin America and Africa to Spain. More than 70% of Portugal’s trade is within Europe. The key trading nations include Spain, France, and Germany. Portugal’s poor investment in new technology, industrial machinery, and transport equipment could lead to a decline in an already fragile transportation economy. However, the Strategic Plan for Transport and Infrastructure, announced in 2014, is one of the key initiatives likely to bolster the growth of the sector between 2016 and 2018, including the development of transportation infrastructure, the increase in the capacity of the major Portuguese ports, and the modernization of the rail freight sector.GPS, vehicle monitoring, data analytics, sensors and RFID, and storage optimization will enhance end-to-end visibility in transport logistics. Customized services and adaptability to the latest technology will boost supply chain efficiency and lead to the selection of third-party logistics services in Portugal. To comply with EU regulations, 3PL service provider, Medlog - Logística Farmacêutica SA, is investing heavily in technological upgrades to improve the cold chain. Logistics company, ID Logistics, acquired Logiters Logística S.A,, a leading contract logistics operator in Portugal, to enter into new business segments such as healthcare, pharmaceuticals, and automotive and also to strengthen its core business sectors such as FMCG and retail.Scope:The aim of this study is to research and analyze Economic and Trade Indicators and the Transportation and Freight and Logistics and Warehousing sectors in Portugal.Objectives:• To provide an overview of the key factors driving Portugal's economy and trade• To offer an overview of the GDP growth trends and the external trade and account balance• To analyze the role of the transport and logistics sector in driving the country’s economy• To identify the initiatives undertaken by the government to improve efficiency and reduce logistics costs• To furnish a detailed analysis on the advancements in digital technologies• To provide an in-depth analysis of how the traditional value chain is transformed as a result of advancements in technology, e-Commerce growth, regulatory changes, and investment• To identify the emerging opportunities as a result of economic and technology transformations and how they are expected to change the competitive environment
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