Savills report highlights Poland as a rising logistics powerhouse in Central and Eastern Europe

Poland is emerging as a key logistics hub in Central and Eastern Europe, driven by its strategic location, robust infrastructure development, and shifting global supply chain dynamics. A recent report by Savills, titled “Poland Express: All Aboard the Polish Logistics Freight Train,” underscores the country’s growing importance as a logistics and production center for Western Europe and Scandinavia, amid companies diversifying away from Asia.

Economic Growth and Consumer Trends

Poland’s economic transformation since 1990 has positioned it as a standout performer among OECD countries. Over the last decade, household incomes have surged by 31.2%, compared to a modest EU average of 5.5%. This economic progress has fueled a 46% increase in consumer demand over the same period, with an additional 13% growth projected by 2029.

The report highlights the rapid expansion of Poland’s e-commerce sector, which accounted for 8.7% of retail sales in 2024. This share is expected to grow to 23% in the coming years, driving demand for warehousing and logistics space. Global players like Amazon, Zalando, Shein, and VidaXL have already established operations in Poland to serve Western European and Scandinavian markets.

Infrastructure: A Key Driver

Poland’s infrastructure advancements have been a game-changer for its logistics appeal. Supported by €229 billion in EU funding from 2007 to 2027, the country has developed a modern network of roads, railways, and ports. The Port of Gdańsk, a critical player in the Baltic region, handled 79.6 million tonnes of cargo in 2023—an impressive 26.1% increase from 2022.

“Poland’s strategic location and well-developed road infrastructure make it the ‘centre of gravity’ for logistics operations across Europe,” said Katarzyna Pyś-Fabiańczyk, Director and Head of Industrial Services Hub at Savills.

Competitive Labour Costs and Foreign Investment

Poland’s labor market continues to attract international corporations, with average costs of €14.5 per hour—54% lower than the EU average. Foreign Direct Investment (FDI) has also surged, equating to 3.8% of GDP over the past three years, compared to the European average of just 0.2%. Manufacturing remains a major focus, accounting for 33.1% of FDI expenditure.

Strong Demand for Warehousing Space

Poland’s warehousing market consistently ranks among the top in Europe, often outperforming countries like France, Spain, and the UK. While 2023 saw a 25% year-on-year decline in logistics leasing to 3.37 million sqm, the figure was still 31% higher than pre-pandemic averages. Demand rebounded in the first half of 2024, increasing by 19% compared to the same period in the previous year.

Rents remain competitive, ranging from €54 per sqm annually in Central Poland to €60 per sqm in the Warsaw II zone, ensuring the country’s continued attractiveness for logistics investments.

Land Market Restructuring and Future Prospects

Changes in Poland’s Spatial Planning Act, set to take effect in 2026, will introduce new zoning regulations aimed at streamlining industrial and service areas. While this is expected to provide greater predictability for investors, it may also limit the availability of new land for logistics development, particularly in high-demand regions like Warsaw, Kraków, and the Tricity area.

“We retain a competitive edge over neighboring Central European countries in terms of land availability, particularly in Special Economic Zones,” said Rafał Bochenek, Land Acquisition Manager at Savills Industrial Agency. “However, plots suitable for logistics parks in key transport hubs are dwindling, leading to rising land prices.”

Poland’s Logistics Future

Poland’s appeal as a logistics hub lies in its proximity to Western Europe, competitive operating costs, and growing domestic consumption. The report concludes that Poland is well-positioned to remain a leader in the logistics sector, particularly as nearshoring trends accelerate across Europe.

This rising status as a logistics hub reinforces Poland’s reputation as a central player in the reshaping of global supply chains.