What is Logistics Hub

A logistics hub is a center or specific area designated to deal with activities related to transportation, organization, separation, coordination and distribution of goods for national and international transit, on a commercial basis by various operators.

These operators may own, lease or rent the buildings and/or the facilities of the hub. These include warehouses, storage areas, distribution center, offices, trucking and shipping services.

Logistics hub has be defined: as the integrated centers for transshipment, storage, collection,and distribution of goods(Jorgensen, 2007)

Logistics hubs provide not only traditional activities such as storage, but also value-added logistics services such as labeling, assembly, semi-manufacturing, and customizing. These centers combine logistics and industrial activities effectively in major port areas to create country-specific and/or customer-specific variations or generic products.

KEY POINTS: *Generic Product is a  good that is sold using the name for the type of good that it is, rather than a brand name. They are are distinguished by the absence of a brand name*



The Logistics Hub is intended to serve as a catalyst for the development of a logistics-centered economy, which encompasses the broader initiatives supporting the business reform, as well as policies aimed at unlocking investments in the Micro, Small and Medium-sized Enterprises (MSME) sector. Thus a logistics hub promotes growth, job opportunities and prosperity in a country.



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