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.

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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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A team of Educationist from various fields of study, with a great desire to help students with Academic work, and also offer consultancy services in the areas of Education.

2 thoughts on “What is Logistics Hub

  1. Logistics hubs are best used for the logistics companies that need to provide a high level of service to customers.

    A logistics hub is a very simple concept, which can be executed in many different ways.

    The most common way to implement a logistics hub is to place an operational base in the center of your delivery area. Using this model, you can utilize your fleet of trucks and drivers to deliver products within a certain distance from the hub.

    For example, if you want to improve your logistics process, you can use a logistics hub located in central Seattle. This will allow you to reduce the number of deliveries that must be made beyond your serviceable area around the city and reduce fuel consumption and manpower costs.

    In addition, it will allow you to increase the number of deliveries that can be made within your serviceable area, thus increasing customer service levels.

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