The UAE freight forwarding market size is estimated to be valued at USD 21.56 Billion in 2025. It can reach a valuation of USD 35.08 Billion by 2032, exhibiting a CAGR of 7.2% throughout the forecast period (2025-2032).
The market growth is driven by the expansion of freight forwarder networks, investments in ports and carriers, and government incentives for boosting trade. The compliance with stringent emission regulations and the surge in e-commerce can spur the market growth.
However, the sudden shifts in the global supply-demand cycle can negatively impact the market growth.
Key Market Insights
The UAE freight forwarding market growth is driven by adherence to national compliance programs, adoption of green practices, and the integration of digital payment solutions.
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UAE Freight Forwarding Market Report Coverage
Report Coverage |
Details |
Market Revenue in 2025 |
USD 21.56 Billion |
Estimated Value by 2032 |
USD 35.08 Billion |
Growth Rate |
7.2% |
Historical Data |
2020–2024 |
Forecast Period |
2025–2032 |
Forecast Units |
Value (USD Billion) |
Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
Segments Covered |
|
Growth Drivers |
|
Opportunities |
|
Trends |
|
Restraints & Challenges |
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Market Dynamics
The establishment of logistic hubs near important ports for the rapid delivery of goods is one of the primary drivers of the UAE freight forwarding market. This is illustrated by the agreement between AD Ports Group and the General Authority for Suez Canal Zone (SCZONE) for the development of a logistics park on May 04, 2025. The connectivity to ocean freight corridors of Asia, Africa, and Europe, and the rise of regional manufacturing, can drive the market growth substantially. This has created a surge in parcel and less-than-container (LCL) loads and boosted demand for forwarding centers.
The shift towards digital payment solutions and moving away from cash can be a plus for customers availing their services. The ability to access air freight capacity and provide secure outlets for the smarter processing of payments can shape the market in the coming years. The use of regional policies and the establishment of multi-modal infrastructure can lead to digital payments being a reliable solution.
Market Opportunity: Sustainable Logistic Solutions
The UAE freight forwarding market is looking to shift towards sustainable logistics solutions for reducing the carbon footprint and the creation of reliable transport networks. Digitization of major processes, adoption of electric and hybrid vehicles, and the use of artificial intelligence (AI) for route optimization are some of the methods being employed to align to this approach. This is exemplified by the launch of Euro 4 and 6 biofuel trucks manufactured by GEODIS in the UAE on March 20, 2025. It is expected to cater to clients across sectors of retail, pharmaceuticals, automotive, and others.
Market Challenge: Labor Shortages
The paucity of skilled labor can pose a major challenge to market growth. The shortage of experienced drivers for road transport and looming operational overheads due to government policy changes can dampen market prospects. But the investment in compliance regulations and training programs for interns can bridge this gap.
Analyst’s View
Recent Developments
Emirates SkyCargo launched passenger services to Hangzhou, China, on August 13, 2025. This strengthens their presence in Southeast Asia and forges partnerships by facilitating global trade.
Competitor Insights
Market Segmentation
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