The market for transport and logistics
Logistics is generally defined as the process of planning, implementing and controlling the efficient, cost effective flow of raw materials, in-process inventory, finished goods or related information from the point of origin to the point of consumption for the purposes of conforming to customer requirements. Over the last 10 years, the logistics market has seen rapid expansion linked to changes in customer demand and shifts of production to low cost countries.
The role of logistic services providers (LSPs) in the supply chain has evolved from mere service provider to strategic partner for industrial or commercial groups selling their products to international markets. LSPs face the challenge of managing multi-modal transport on a regional or global basis, implementing new technologies, integrating value added services, IT and consulting in their logistics solutions and dealing with the complex regulatory environment.
Special characteristcs of the market in Luxembourg
As part of “la grande région”, Luxembourg has a strategic role to play, mostly thanks to the availability of its airport specialised in airfreight to key destinations in the world. The attractive fiscal context (s.a. the possibility to import non-EU goods without the requirement to prefinance import VAT), central location and multilingual workforce make it one of the top locations as European distribution platform and product customisation center for high added value products, s.a. IT and luxury products.
Furthermore, Luxembourg introduced its maritime legislation in 1990 to encourage the development of spin-off activities related to the maritime sector. It gained international recognition when Belgian owners transferred their fleet to Luxembourg and it still has its role to play today, as is demonstrated by some of the world’s leading shipping companies who have decided to operate out of Luxembourg or locate some of their activities (such as financing and holding activities) in Luxembourg.
Facing the market's challenges with us
At PwC, a dedicated team of professionals in audit, accounting, tax, IT, HR and finance effectiveness assists logistics and transport companies to meet their objectives and develop solutions tailored to this industry’s needs.
The Luxembourg team is connected to the European and global dedicated PwC teams serving this industry and allowing it to provide multi-country advice and support.
Some of the tailored solutions include :