Southeast Asia's Logistics Sector Thrives Amidst Challenges

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Logistics,Southeast Asia,Growth

The logistics sector in Southeast Asia is experiencing remarkable growth despite challenges such as high logistics costs, disruptions in supply and demand, and economic uncertainties. The industry is adopting technology to address supply chain challenges and meet the demands of a growing market.

The ongoing problem of high logistics costs exacerbated by Covid-19, has affected Southeast Asia due to disruptions in supply and demand, geopolitical and economic uncertainties, surging inflation, and other factors. However, the region’s logistics sector is witnessing remarkable growth, propelled by the region's fast growing economies and positive macroeconomic fundamentals such as population growth and a burgeoning middle class.

To meet the demands of a growing market, the logistics industry is changing by adopting technology to solve supply chain challenges, particularly in the three layers: first mile, middle mile, and last mile. The premise of first-mile delivery is getting the product from its initial location (the manufacturer or the supplier) to another location, usually a central warehouse, where it can be prepared for further transportation. Imagine you've ordered a bottle of body wash online

 

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