Savills, DILAS, and Analytiqa are delighted to present the second edition of the Logistics and Supply Chain Confidence Index for the Netherlands. This report provides valuable insights into the current confidence levels and future expectations within the logistics and supply chain sector. The Logistics and Supply Chain Confidence Index for the Netherlands in 2024 is set at 58.8, indicating an improvement from last year's 57.4. Logistics operators are more optimistic this year, with a confidence level of 60.5 compared to 57.2 for manufacturers and retailers. This marks a reversal from last year when manufacturers and retailers were more confident.

The Confidence Index focuses on three key themes:

• Market Conditions: Analysing current and anticipated market conditions.
• Business Climate: Evaluating the current business environment in the Netherlands.
• Growth Constraints: Identifying critical growth constraints in the logistics sector, primarily the shortage of available land and labour.

Raymond Frederiks, Market Intelligence Analyst at Savills in the Netherlands, comments: “The level of optimism, or confidence, remains quite 'fragile', but this is not unexpected given wider economic performance. Manufacturers and retailers see a downturn in their optimism, as logistics providers are cautiously more confident than last year.”

Key report findings include:

1. Overall, occupiers remain relatively confident, with 70% expecting an increase in turnover in the next 12 months. Additionally, 76% of logistics occupiers plan to make significant capital expenditures in the coming year, up from 60% last year.
2. Most occupiers have a moderate view of the Dutch business climate, with only 8% considering it unattractive. Similarly, only 16% rate the efforts of municipalities to create a more attractive business environment as insufficient.
3. A significant majority (93.8%) of companies already employ foreign labour resources, including ‘knowledge’ and ‘labour’ migrants. Moreover, 44% of companies plan to increase their headcount over the next 12 months, while 16% anticipate a decrease.
4. Investment in automation and robotics is a priority for many, with 82.6% of respondents planning to invest in these technologies for their logistics operations in the near future.
5. Space constraints are a major concern, with 76% of respondents indicating that limited space affects their ability to expand and maintain economic activities in the Netherlands.
6. Regarding logistics policies, 74% of respondents are not in favour of logistics clusters and prefer spreading out logistics activities over clustering them.

Douglas van Oers, Co-Head Logistics & Industrial at Savills in the Netherlands, says: “Industry leaders tells us that they are facing barriers of growth due to physical and environmental constraints. They need to become more creative to find new solutions within existing parameters, rather than primarily focus on new builds as in previous years.

The positive sentiment reflected in the research results presents a compelling case for real estate stakeholders to invest in the logistics sector. As the Netherlands continues to be a pivotal logistics hub in Europe, aligning real estate strategies with the evolving needs of the supply chain industry is crucial for capitalizing on these emerging opportunities.”

Tim Beckmann, CEO of Intospace and chairman of DILAS, says: “These insights are essential for shaping policies that will support the logistics sector's growth and address its challenges. The findings highlight the sector's strategic importance and the need for coordinated efforts to foster a robust and sustainable logistics ecosystem.”

For more detailed information on the survey and its policy implications, please visit: https://insights.savills.nl/logistics-confidence-index-2024-nl/p/1