Logistics encyclopaedia.

2PL

What does 2PL mean?

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Definition

2PL stands for Second Party Logistics
and refers to a type of logistics service in which the company outsources transport to an external carrier.

Explanation

In 2PL, the company that requires logistics services (known as the first party) contracts with a carrier company (known as the second party) to handle the transportation of their goods. This allows the company to focus on their core business activities while leaving the logistics operations to a specialized provider.

Services Offered

A 2PL provider in the EU offers a range of services, including transportation of goods via road, rail, air, or sea, as well as warehousing and distribution services. They may also offer value-added services such as packaging, labeling, and inventory management.

Benefits

Outsourcing logistics services to a 2PL provider can offer several benefits, including cost savings, improved efficiency, and access to specialized expertise and technology. It also allows companies to expand their operations into new markets within the EU without having to invest in their own logistics infrastructure or fleet.

Conclusion

2PL for EU is a type of logistics service in which companies outsource their transportation and warehousing needs to a second-party provider (carrier). This allows companies to focus on their core business activities while benefiting from specialized expertise and cost savings in their logistics operations.