The momentum behind this transformation is evident in South Africa’s logistics sector itself. According to Mordor Intelligence, the country’s freight and logistics market is estimated at USD 14.70 billion in 2025 and is expected to reach USD 19.90 billion by 2030, growing at a compound annual growth rate (CAGR) of 6.24% during the forecast period (2025–2030). This robust growth underscores how logistics is fast becoming a key lever of economic competitiveness and national development.
According to Logistics UK President Phil Roe, logistics is not a background operation – it is a driver of growth and a barometer of economic efficiency. “When logistics thrives, the economy thrives,” he says.
Ryan Gaines, CEO of City Logistics, a leading privately-owned logistics company in South Africa, concurs. “Speed, visibility, and precision have become non-negotiable. Businesses used to see logistics as the last step in the value chain. Now it’s the engine room of strategy – it decides how efficiently you can operate, how quickly you can serve your market, and ultimately how much value you create.”
That shift has made supply chain performance a boardroom issue. Reliable, data-driven logistics can cut costs dramatically, but its true power lies in unlocking growth. With e-commerce, regional trade, and consumer expectations all accelerating, delivery networks are now a direct extension of a brand’s promise. Customers don’t just buy a product – they buy the experience of getting it on time, intact, and at the right cost.
Information flow is key
For South African companies navigating complex geographies, road conditions, and energy challenges, this makes trusted partnerships essential. “Every delay or compliance failure has a ripple effect,” Gaines notes. “The difference between success and failure often comes down to how tightly logistics operations are controlled and how well information flows through the system.”
Discipline, technology and people
He points out that logistics excellence is built on three non-negotiables: discipline, technology, and people. Technology provides real-time visibility – allowing for predictive routing, better fuel management, and proactive maintenance – but human judgement remains critical. “Our drivers and planners are not just executors; they’re problem-solvers,” he says. “They’re the ones who make sure commitments are kept, no matter what happens on the road. This can mean thinking on their feet when – due to no fault of their own – things don’t proceed as planned.”
Logistics is a core competency
The strategic value of logistics also lies in its ability to absorb shocks – whether from global supply disruptions, fuel volatility, or infrastructure failures. Businesses that treat logistics as a core competence, rather than an afterthought, are the ones that recover fastest.
“Logistics is where business strategy meets execution,” Gaines concludes. “It’s what turns plans into performance. When we talk about growth, we’re really talking about how well you can move – physically and operationally. In that sense, logistics isn’t just part of business growth; it is business growth.”
Source: Mordor Intelligence – South Africa Freight and Logistics Market Report
