The global express parcels market will return to growth in 2010 after falling 13 per cent this year, according to Transport Intelligence.
“When manufacturers and retailers were forced to run down inventory levels at the beginning of the year, the express industry was badly affected,” said Joel Ray author of the report, Global Express 2010.
“The latest quarter shows that revenues are starting to recover, and we expect positive growth over the coming years, albeit at low levels.”
The report found that international express sector had been particularly badly hit with sales expected to fall by 14.5 per cent, hit by the meltdown in world trade at the beginning of the year, and only just recovering.
Following such a substantial fall in revenues, it will take some time for the market to rebound, said Transport Intelligence. It does not expect either the domestic or international express parcels market in Europe or North America to reach 2008 levels until after 2012.
However, it predicts strong growth in Asia Pacific and the Middle East.
“To achieve the sort of growth rates which many express companies have been used to over the past decade, they will have to invest heavily in emerging markets. Our report highlights the potential for markets such as Russia, Turkey and Brazil as well as more established markets in China and India,” said Ray.