LCL CARGO CONSOLIDATION BUSINESS GROWING STRONG
Maritime Gateway|February 2020
The e-commerce boom has made shipping smaller more specific consignments frequently the new norm, driving demand for LCL cargo consolidation which has seen strong growth in the past decade with MNCs taking a plunge into the sector, while SMEs find it cost and time effective
OMER AHMED SIDDIQUI
LCL CARGO CONSOLIDATION BUSINESS GROWING STRONG

Several trends are changing the nature of global trade – digitalisation, growing demand for e-commerce, evolving supply chain and greater availability of supply chain data have created an environment where shipping small consignments more frequently often makes sense, nurturing the LCL market. Digitalisation has been a major disruption in the LCL space as lot of players are offering rates and booking online. The main factor that drive the LCL consolidation business is the order size, which is based on the consumption pattern of the receiving party, which in turn is based on the economic status of that country. China is the biggest origin so far for LCL cargo, and the commodities vary from industrial raw materials and machineries to finished goods, reveals Vivek Kele, Director, TeamGlobal.

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