Bangladesh Contract Logistics - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2030)

The Bangladesh Contract Logistics Market size is estimated at USD 1.86 billion in 2025, and is expected to reach USD 2.71 billion by 2030, at a CAGR of greater than 6% during the forecast period (2025-2030).

Bangladesh's contract logistics market is growing rapidly, driven by e-commerce expansion and rising export demands. India and Bangladesh are upgrading land port infrastructure along their 4,096-kilometer border. As of November 2024, officials prioritized projects to improve operational efficiency and trade flow. Key ports like Gede in West Bengal and Bholganj in Meghalaya will expand facilities to ease cross-border cargo transit. Additionally, ports like Sabroom in Tripura will operate 24/7. Upgrades at Petrapole and Agartala ports will facilitate smoother goods transit to Nepal and Bhutan via Bangladeshi ports.

Bangladesh plays a crucial role in the global garment industry. The ready-made garments sector helped it achieve lower-middle-income status in 2015. However, political unrest has slowed the economy. Informal workers, 85% of the workforce, are particularly affected. In 2024, Dhaka's real GDP growth dipped to 4.8%, accompanied by a current account deficit of 0.8% of GDP. The IMF forecasts an additional drop to 2.7% in 2025.

Bangladesh's strategic location and growing domestic demand offer opportunities for contract logistics providers. The e-commerce boom has increased the need for last-mile delivery solutions, driving logistics innovations. Government initiatives, such as direct shipping routes to Europe and trade automation systems, is expected to enhance global market access. Increased collaborations between international and domestic players indicate significant sector growth ahead.

As of November 2024, five E-Commerce SaaS startups in Dhaka are leading supply chain and logistics management solutions. These startups are improving inventory control, optimizing delivery networks, and scaling logistics services, positioning themselves as key players in the contract logistics market.

Bangladesh Contract Logistics Market Trends

Infrastructure Development and Port Modernization

Chattogram Port, which handles over 90% of Bangladesh's trade, has been undergoing significant upgrades in recent years to address longstanding logistical challenges and boost export growth. In 2023, the government launched several projects to enhance the port's efficiency. A key initiative was the construction of a bay terminal, designed to accommodate larger vessels and ease congestion. The World Bank's Logistics Performance Index (LPI) 2023 noted a slight improvement in Bangladesh's ranking, moving up to 100 out of 160 countries, thanks to better customs procedures and upgraded port infrastructure.

In 2024, Bangladesh has focused on infrastructure and port modernization to enhance trade efficiency. The USD 650 million Bay Terminal in Chattogram is expected to increase container handling capacity by 36% and adopt climate-resilient operations. It aims to accommodate larger vessels and reduce congestion. Major land ports, including Benapole, Burimari, and Bhomra, are being modernized with BDT 2,906 Crore (USD 269 million) to improve automation, smart parking, and electronic tracking. Upgrades include advanced scanning systems, better customs facilities, and enhanced security. These initiatives, along with the Padma Bridge, are transforming Bangladesh's port and trade infrastructure, strengthening connections with India, Bhutan, and Nepal. The Padma Bridge will reduce travel time and transportation costs, integrating Bangladesh further into the regional trade landscape.

In conclusion, with comprehensive upgrades such as enhancing port infrastructure, refining customs procedures, and boosting connectivity, Bangladesh is set to streamline its trade operations, alleviate bottlenecks, and integrate more seamlessly into both regional and global supply chains, all of which are fundamentally tied to logistics.

Growth in E-commerce is Driving the Market

In September 2024, Bikroy, Bangladesh's leading online marketplace, celebrated its 12th anniversary. Since its inception, Bikroy has facilitated transactions for over 26 million sellers and 52 million buyers. With a monthly addition of 300,000 new ads, the platform plays a pivotal role in shaping Bangladesh's e-commerce landscape. Recent upgrades have focused on enhancing technology, security, and accessibility, highlighting the platform's dedication to empowering local entrepreneurs and driving digital growth. Moreover, platforms like Foodpanda and HungryNaki are transforming the processed food and grocery delivery scene, addressing the growing consumer demand for convenience and digital solutions.

Bangladesh is home to several B2B websites addressing manufacturing and supply chain requirements. Prominently, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and other leading garment firms are harnessing B2B e-commerce for both international orders and procurement.

Furthermore, platforms such as Shoprbd and ShoptoBd, operating via Facebook, showcase B2C initiatives that allow Bangladeshi consumers to shop from esteemed international e-commerce platforms in the US, UK, India, and China.

The rapidly growing mobile financial services (MFS) market is simplifying online purchases, thereby strengthening the e-commerce sector. Due to the expanding MFS market, consumers find online shopping more accessible. A survey by the Asian Development Bank (ADB) on the cottage, micro, small, and medium enterprise (CMSME) sector forecasts a tripling of the market size by 2023. Currently, Bangladesh boasts over 2,500 e-commerce businesses and at least 50,000 business pages on Facebook.

In conclusion, the synergy between e-commerce platforms, B2B and B2C initiatives, mobile financial services, and logistics is driving Bangladesh's digital economy forward. This interconnected framework is not only empowering local businesses but also enhancing the overall consumer experience.

Bangladesh Contract Logistics Industry Overview

Bangladesh's contract logistics market is witnessing significant growth. Companies increasingly see contract logistics as a prime strategy to enhance their logistical operations, especially with the rising cross-border movement of goods. Key drivers fueling this market include cost reduction, specialized service providers, the establishment of industrial zones, and the broader trend of industrialization. Cost reduction allows companies to allocate resources more efficiently, while specialized service providers offer expertise and tailored solutions. The establishment of industrial zones facilitates streamlined logistics operations, and the ongoing industrialization in Bangladesh creates a robust demand for efficient logistics services.

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• The market estimate (ME) sheet in Excel format
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