Freight News, Logistics


Disruption burden falls heaviest on the Global South

[ January 8, 2026   //   ]

Companies in Sub-Saharan Africa (SSA), the Middle East and North Africa (MENA) and the Gulf (GCC) lose over a month of operational time every year due to logistics disruption, more than their peers in Europe and North America, according to DP World’s Without Logistics Global Report, published on 8 January.

Companies in the GCC and 43% in MENA report annual disruption costs of one million dollars or more. These regions also report the world’s highest levels of customer complaints, lost contracts and reputational damage caused by supply chain failure. 

The report adds thatcompanies in parts of the Global South are losing months of productivity, millions of dollars and long-term customer trust as supply chain disruption shifts from episodic shock to a defining feature of today’s operating environment. 

Without Logistics is based on a global study of 680 senior logistics and supply chain decision-makers across eight industries and nine regions. It found that while disruption is now commonplace, its impact is deeply uneven, with firms in SSA, MENA and GCC experiencing the longest downtime, the highest costs and the most severe customer fallout. 
The study shows that 83% of firms in SSA, 72% in MENA, and 61% in the GCC lose more than a month of operational time in years when there is major logistics disruption, as against 50% of firms in North America, 41% in Germany and 36% in the UK. 
DP World chief operating officer – Logistics, Beat Simon,said: “This data shows that supply chain disruption is no longer a temporary shock, it is a recurring drain on growth, profitability and customer trust. In some regions, businesses are effectively planning around the loss of weeks or months of productive time each year.  
“What is striking, however, is that the regions under the most pressure are also responding with the greatest urgency. In Sub-Saharan Africa and the GCC, more than nine in ten businesses expect to increase investment in logistics over the next year, and 86% in the Middle East and North Africa. That reflects a clear understanding that resilience is now a competitive necessity, not an optional upgrade.” 

The report adds that high-volume sectors such as retail, healthcare and perishables are operating under near-constant turbulence, with retail and healthcare businesses each experiencing around 18,000 disruption events every year.  
By contrast, automotive companies face fewer incidents, but when disruption hits, the impact is far more destructive. The average cost per disruption in automotive approaches $1 million, with annual losses estimated at $13 billion, and recovery times stretching far longer than in high-frequency sectors.

In the relatively affluent consumer goods sector, firms report disruption costs around 76% lower than in low-investment segments, signalling that resilience is achievable. 

The research further shows that resilience is not driven by technology alone, but by the breadth of investment across the supply chain. Companies that strengthen multiple capabilities, from factory logistics and inbound flows to warehousing and digital coordination can dramatically lower disruption costs.

More than 80% of respondents expect logistics to become a more strategic focus at board level, and nearly 90% agree that businesses with resilient supply chains will significantly outperform their peers in the years ahead. 
Without Logistics: Global Report

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