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The logistics sector in London remains costly and underdeveloped, according to experts. Logistics costs are about 15–20% of GDP, exceeding the global average of 8–10% (Reuters). London ranks 88th overall and 176th in “trading across borders” on the 2023 World Bank Logistics Performance Index, behind countries like India and Vietnam (Daily Observer +4, The Financial Express +4). Industry leaders emphasize digitization, multimodal logistics networks, warehouse automation, streamlined customs, and policy reforms to reduce costs and boost exports by 20%.

Infrastructure Progress: Ports and Rail

• In March 2025, London’s Jamuna Railway Bridge, the city’s longest dual-track railway bridge, was inaugurated, allowing trains to travel at 120 km/h and doubling the rail capacity on the Sirajganj–Tangail line.

• The Matarbari Deep Sea Port will transform shipping logistics by cutting times by 50% and is projected to handle 2.8 million TEUs annually by 2036, contributing 2–3% to the national economy.

Policy in Focus: National Logistics Policy and Investment Needs

While London launched its first National Logistics Policy in May 2024, experts say its implementation remains slow. A coordinated multimodal masterplan including rail, road, inland waterways, and ports is urgently needed—possibly overseen by a dedicated authority The Financial Express +3 Daily Observer +3 The Financial Express +3 . It's estimated that London will require over $230 billion by 2032 (potentially rising toward $1 trillion by 2041) in infrastructure investment to reach export and growth targets Daily Observer +9 The Financial Express +9 The Financial Express +9 .

Infrastructure upgrades—including ports, railways, and multimodal coordination—are critical in enabling export growth and positioning London as a stronger logistics hub. Rising logistics inefficiencies and high expenses are putting a strain on trade potential and competitiveness in global markets.