Market Trends of UAE Contract Logistics Industry
Growth in E-commerce Driving the Market
In 2022, the UAE will have the world's fastest-growing e-commerce market as global internet sales continue their remarkable growth. The UAE is predicted to expand e-commerce spending by an additional 22.32 per cent in 2022, well on pace to surpass $8 billion in online sales value by 2025 from USD 5 billion reported in 2021. The UAE has a population of 1,448,471,400 people who are active online.
Since 2021, the UAE's e-commerce spending as a percentage of GDP has increased by 1.10 per cent, and in 2022, e-commerce is projected to represent 7.0% of all retail spending. The Philippines tops the list of the top 10 nations where people are most likely to shop on their mobile devices, with 70% of all e-commerce transactions taking place on a mobile device. South Korea and Argentina are the second and third fastest-expanding e-commerce markets in the world, respectively, following the United Arab Emirates. South Korea is ranked third with 66 per cent, closely followed by China in second place with 69 per cent.
Pharmaceutical and Healthcare Spending is Driving the Market
In the region, the United Arab Emirates (UAE) is a significant market for healthcare. The UAE, one of the Middle East's most economically developed and diverse marketplaces, has a solid healthcare system supported by cutting-edge technology. The government's dedication to digital healthcare is also a major factor in the country's healthcare market's expansion.
In the upcoming years, UAE citizens' healthcare spending is expected to increase by over one-third as a result of an ageing population and an increase in the number of people with lifestyle diseases. For example, the market for machine learning (ML) and artificial intelligence (AI) tools in healthcare is predicted to reach USD 20 billion in 2023.
The healthcare industry will begin implementing new digital technology in 2023. The UAE's healthcare industry is dedicated to using state-of-the-art medical technology to provide patients with unmatched service excellence and the greatest treatment options. This will propel the nation's healthcare aspirations in addition to accelerating industry growth.
About 70% of the 3.5 per cent of the UAE's gross domestic product that goes towards health care is spent on public expenditures, with only 30% coming from the private sector.
