Transport and logistics
This sector holds the largest share of GDP in EU, jumps 17 places in World Bank Logistics Index and becomes leader in the region
According to the World Bank’s Logistics Performance Index (LPI) has climbed 17 places since the last index in 2014 and now ranks 29th globally. Hence, Lituania leads the region for logistics performance.
Lithuania is centrally located between three sizeable markets: Western Europe, the Nordic countries, and the Eastern markets of Russia and the Commonwealth of Independent States (CIS). Lithuania has also become one of the EU’s primary transport hubs.
Transport and logistics sector accounts for about 12.3 % of GDP (largest share of GDP in EU), employing around 106 thousand workers or 11.4 percent of total employment. 7584 companies were active in the sector at the beginning of 2016, 99.4 percent of them were SMEs.
In 2015 the turnover of transport and logistics sector amounted to 7.48 billion EUR. It was 2.2 percent less than a year ago. Transport services exported to more than 110 countries around the world. Around 60 percent of exports revenue is generated by road transport.
Transport and Logistics Services
- Logistics solutions
- Customs brokerage
Key Competitive Advantages
- Well-developed logistics infrastructure;
- Business experience in Western Europe and especially CIS countries;
- Excellent geographical location for European distribution centers;
- Innovative and complex logistical solutions.
- High quality standards which comply with the requirements of EU and Asia
Best Roads in the Region
Though small in size, Lithuania boasts a 21,000 kilometer road system, which is known to be the best in the region. Lithuania is committed to investing 145 million EUR into the Via Baltica international highway system, and 100 million EUR into four public logistics centers.
Ice-Free Seaport at Klaipėda
The northern-most ice-free port in the Baltic Sea is capable of handling over 40 million tons of cargo annually. Klaipėda is a multipurpose, universal, deep-water port with 26 stevedoring companies, and an annual handling capacity of 650,000 TEUs. It operates year-round, 24 hours/day, 7 days/week, and fully complies with ISPS Codes. The port has ample storage facilities and counts Maersk, APL, MSC, and Hapag Lloyd among its major clients.
Trans-European Corridors & Railway Network
Lithuania is well-connected through a network of highways and railways, including the North-South highway, the railway connecting Scandinavia with Central Europe, as well as an East-West route linking the eastern markets with the rest of Europe. According to the EU Commission, these are among the 10 most important in Europe.
Lithuanian railways transport approximately 48 million tons of cargo per year, using modern infrastructure and a fully-modernized locomotive fleet. The Lithuanian railway system has two types of rail gauges – wide gauge (1520 mm) and narrow gauge (1435 mm), allowing the country to serve in transport intermediation services. Lithuania also offers services of the Viking shuttle train, which connects the Black and the Baltic Seas (starting in the Port of Ilyichevsk and going through Kiev, Minsk, and Vilnius, and reaching Klaipeda in 55 hours (1,734 km)).
The container train “Sun Train” (Saulė) connects Europe and China and is unique in that cargo arrives to Europe from China in 10 days (by sea – in 40 days). The train project development was approved by Lithuania’s and Kazakhstan’s presidents under the cross-border agreements. The train passes through Russia and Belarus, then onward to the Scandinavian and other European countries via the Klaipėda State Seaport.
Rail Baltica is one of the priority projects of the European Union: Trans-European Transport Networks (TEN-T). The project is supposed to link Finland, the Baltic States and Poland and also improve the connection between Central and Northern Europe. The building of the railway is planned to start in 2020. The route Tallinn–Riga–Bauska is planned to be finished in 2025 and the connection with Kaunas in 2030.
Lithuania has three strategically located international civilian airports located in Vilnius, Kaunas and Palanga. These airports offer excellent facilities for passenger and cargo traffic. With the longest runway of the three (3,500 meters), Šiauliai International Airport is also involved in significant cargo transport.
Gas transmission system
Lithuania’s natural gas transmission system is interconnected with the natural gas transmission systems of Belarus, Latvia and Russia. The largest volumes of natural gas are imported via the gas transmission pipeline from Belarus and are transported to customers of Lithuania and in transit to customers of the Kaliningrad Region, Russian Federation. Gas transportation via the Lithuania Latvia cross-border gas interconnector is bi-directional.
Due to new LNG terminal, which has been opened at the end of 2014 Lithuania is able to independently meet the demand of natural gas and is no longer depend on the single external gas supplier. What is more LNG terminal has created an opportunity to develop LNG market in Lithuania. The state has a possibility to purchase natural gas from different suppliers at market prices.
At the end of 2015 there were 469,100 m2 of new warehouses in Lithuania. Total warehouses space in the country is more than 1,000 000 m2. The largest supply of new, modern warehousing facilities are in the capital city of Vilnius, Kaunas and Klaipėda.