News / Consolidation 'inevitable' as freight forwarders see challenges grow as market shrinks

© Steve Lovegrove

Revenues in the global freight forwarding market declined by 1.6% last year, due to continuing overcapacity in both air and ocean segments.

According to Transport Intelligence’s Global Freight Forwarding 2016, the sea freight market was worst affected, declining by 2.8%. It said: `The collapse in the price of oil and excess capacity meant that carrier rates fell, but this did not seem to impact freight forwarders’ revenues too drastically”.

The report calculates that the global freight forwarding market in 2015 brought in ...