INVESTMENTS
LOGISTICS
– THE NEXT FRONTIER FOR LITHUANIAN GBS “Location, location, location” is not just a catchy term used by realtors, or a key criteria to consider when setting up a new GBS centre. It’s also the decisive factor when it comes to Transport and Logistics. Positioned between three sizeable markets – Western Europe, the Nordics and the CIS – Lithuania boasts a Transport and Logistics sector that accounts for a larger percent of GDP (12%) than any other EU nation. As global companies look to centralize and streamline their Transport Management functions, a new cluster is emerging in Lithuania that is built on the foundation of engineering talent and accumulated logistics know-how the country possesses – Global Business Services centres focused on Logistics and Supply Chain Management.
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THE LOGISTICS OF SUCCESS If we look at the Transport and Logistics sector as a whole, it is one of the definite drivers of the Lithuanian economy. In 2018, the industry showed 15% YoY growth, passing almost €10.7 billion in revenue. Today, over 7,500 companies are active in the Lithuanian Transport and Logistics sector, including global names like DSV, DHL, DB Schenker and DPD. There are also local giants like Girteka Logistics, which is likely to become the first European company to own 10,000 trucks.
The Baltic country is also well connected by every means possible – land, sea and air. Lithuania is the leader in Central and Eastern Europe (CEE) for quality of roads, according to the Global Competitiveness Report published by the World Economic Forum. With four international airports for cargo and a well-developed Road Feeder Services infrastructure, Lithuania serves as a convenient stop for the freight forwarding business. And, in addition to high-volume land and air connectivity, Lithuania has Klaipėda – the northernmost warm-water port on the Baltic Sea.
Outsourcing&More | May–June 2020
