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Kuwait’s warehousing market set for positive development

foodmate 2018-07-24
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Kuwait warehousing market is expected to register a positive compound annual growth rate (CAGR) of around 10.1 percent from 2017-2022, with growth in imports of dairy products, food items, fruits and vegetables and planned capital expenditure in warehousing space expansion.

As private sector logistics services providers manage a significant part of the supply of inland warehousing space in Kuwait, providing connectivity between the ports and these warehouses can help address the demand to an extent, said global market research firm Ken Research.

Kuwait’s upcoming Mubarak Al Kabir Port Phase II is expected to provide impetus to additional port warehousing capacity. Warehousing space is also expected to be increased through projects like the planned Cargo City which will cater to air cargo.

In addition, with Kuwait import-export business stabilising recently, it has enabled the industry to handle more cargo shipments. This is expected to drive the requirement for import-based warehousing. The sector is also set for capacity expansion, tie-ups with e-commerce players and mainstream application of innovative technologies in the industry.

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