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Logistics industry adapted well to pandemic, report shows

The UK logistics sector successfully adapted to pandemic pressures and maintained the flow of goods through supply chains in 2021, according to Logistics UK’s recently published Logistics Report 2022.

Despite a driver shortage leading to haulage availability issues, the UK economy began to recover in 2021, and the Logistics Report 2022, which reflects on the past 12 months and draws insights for the year ahead, shows that logistics firms have a positive outlook for the year ahead.

The report also shows that the logistics sector remains an integral part of the UK economy, contributing £139 billion Gross Value Added (GVA) annually. While the industry remains a consistent contributor to the economy, the way in which it operates is increasingly changing. Figures from the report show that online retail averaged 31.1% of retail sales in 2021, up from 19.2% in 2019, autonomous vehicles top the trends for the future of the automotive industry and 87% of logistics firms are considering decarbonising their fleets.

“The Logistics Report 2022 arrives at an interesting point for industry following a challenging period,” said Michelle Gardner, Head of Public Policy, Logistics UK, “In the view of Logistics UK, cost effective and efficient shipping is no longer guaranteed and the industry’s reliance on just-in-time management systems will likely need to shift to using greater storage capacity.”

HGVs moved 11.3% and lifted 11.7% fewer goods in 2020 than in 2019 as coronavirus restrictions affected activity, and reduced capacity from disrupted supply chains forced many firms across all modal types to make efficiency improvements to meet the demand for logistics in 2021.

“While uncertain conditions continue to put pressure on the supply chain, given the industry’s resilience and adaptability, Logistics UK is confident there is cause for optimism,” Gardner said.


Published On: 28/07/2022 16:00:30


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