Logistics performance index: Overall (1=low to 5=high) - Country Ranking

Definition: Logistics Performance Index overall score reflects perceptions of a country's logistics based on efficiency of customs clearance process, quality of trade- and transport-related infrastructure, ease of arranging competitively priced shipments, quality of logistics services, ability to track and trace consignments, and frequency with which shipments reach the consignee within the scheduled time. The index ranges from 1 to 5, with a higher score representing better performance. Data are from Logistics Performance Index surveys conducted by the World Bank in partnership with academic and international institutions and private companies and individuals engaged in international logistics. 2009 round of surveys covered more than 5,000 country assessments by nearly 1,000 international freight forwarders. Respondents evaluate eight markets on six core dimensions on a scale from 1 (worst) to 5 (best). The markets are chosen based on the most important export and import markets of the respondent's country, random selection, and, for landlocked countries, neighboring countries that connect them with international markets. Scores for the six areas are averaged across all respondents and aggregated to a single score using principal components analysis. Details of the survey methodology and index construction methodology are in Arvis and others' Connecting to Compete 2010: Trade Logistics in the Global Economy (2010).

Source: World Bank and Turku School of Economics, Logistic Performance Index Surveys. Data are available online at : http://www.worldbank.org/lpi. Summary results are published in Arvis and others' Connecting to Compete: Trade Logistics in the Global Economy, The

See also: Thematic map, Time series comparison

Find indicator:
Rank Country Value Year
1 Germany 4.23 2016
2 Luxembourg 4.22 2016
3 Sweden 4.20 2016
4 Netherlands 4.19 2016
5 Singapore 4.14 2016
6 Belgium 4.11 2016
7 Austria 4.10 2016
8 United Kingdom 4.07 2016
9 Hong Kong SAR, China 4.07 2016
10 United States 3.99 2016
11 Switzerland 3.99 2016
12 Japan 3.97 2016
13 United Arab Emirates 3.94 2016
14 Canada 3.93 2016
15 Finland 3.92 2016
16 France 3.90 2016
17 Denmark 3.82 2016
18 Ireland 3.79 2016
19 Australia 3.79 2016
20 South Africa 3.78 2016
21 Italy 3.76 2016
22 Norway 3.73 2016
23 Spain 3.73 2016
24 Korea 3.72 2016
25 Czech Republic 3.67 2016
26 China 3.66 2016
27 Israel 3.66 2016
28 Lithuania 3.63 2016
29 Qatar 3.60 2016
30 Hungary 3.43 2016
31 Malaysia 3.43 2016
32 Poland 3.43 2016
33 Turkey 3.42 2016
34 India 3.42 2016
35 Portugal 3.41 2016
36 New Zealand 3.39 2016
37 Estonia 3.36 2016
38 Iceland 3.35 2016
39 Panama 3.34 2016
40 Slovak Republic 3.34 2016
41 Kenya 3.33 2016
42 Latvia 3.33 2016
43 Bahrain 3.31 2016
44 Thailand 3.26 2016
45 Chile 3.25 2016
46 Greece 3.24 2016
47 Oman 3.23 2016
48 Egypt 3.18 2016
49 Slovenia 3.18 2016
50 Croatia 3.16 2016
51 Saudi Arabia 3.16 2016
52 Kuwait 3.15 2016
53 Mexico 3.11 2016
54 Brazil 3.09 2016
55 Malta 3.07 2016
56 Botswana 3.05 2016
57 Uganda 3.04 2016
58 Cyprus 3.00 2016
59 Romania 2.99 2016
60 Tanzania 2.99 2016
61 Rwanda 2.99 2016
62 Indonesia 2.98 2016
63 Vietnam 2.98 2016
64 Uruguay 2.97 2016
65 Argentina 2.96 2016
66 Jordan 2.96 2016
67 Pakistan 2.92 2016
68 Peru 2.89 2016
69 Brunei 2.87 2016
70 Philippines 2.86 2016
71 Malawi 2.81 2014
72 Bulgaria 2.81 2016
73 Cambodia 2.80 2016
74 Ecuador 2.78 2016
75 Algeria 2.77 2016
76 Serbia 2.76 2016
77 Kazakhstan 2.75 2016
78 The Bahamas 2.75 2016
79 Namibia 2.74 2016
80 Ukraine 2.74 2016
81 Burkina Faso 2.73 2016
82 Lebanon 2.72 2016
83 El Salvador 2.71 2016
84 Sri Lanka 2.70 2014
85 Mozambique 2.68 2016
86 Guyana 2.67 2016
87 Morocco 2.67 2016
88 Bangladesh 2.66 2016
89 Ghana 2.66 2016
90 Costa Rica 2.65 2016
91 Nigeria 2.63 2016
92 Dominican Republic 2.63 2016
93 Togo 2.62 2016
94 Moldova 2.61 2016
95 Colombia 2.61 2016
96 Côte d'Ivoire 2.60 2016
97 Iran 2.60 2016
98 Bosnia and Herzegovina 2.60 2016
99 Comoros 2.58 2016
100 Russia 2.57 2016
101 Niger 2.56 2016
102 Paraguay 2.56 2016
103 Nicaragua 2.53 2016
104 Sudan 2.53 2016
105 Mauritius 2.51 2014
106 Papua New Guinea 2.51 2016
107 Macedonia 2.51 2016
108 Burundi 2.51 2016
109 Mongolia 2.51 2016
110 Mali 2.50 2016
111 Tunisia 2.50 2016
112 Guatemala 2.48 2016
113 Honduras 2.46 2016
114 Myanmar 2.46 2016
115 Azerbaijan 2.45 2014
116 Zambia 2.43 2016
117 Benin 2.43 2016
118 Solomon Islands 2.42 2016
119 Albania 2.41 2016
120 Uzbekistan 2.40 2016
121 Jamaica 2.40 2016
122 Belarus 2.40 2016
123 Trinidad and Tobago 2.40 2016
124 Venezuela 2.39 2016
125 Montenegro 2.38 2016
126 Nepal 2.38 2016
127 Congo 2.38 2016
128 Ethiopia 2.38 2016
129 Dem. Rep. Congo 2.38 2016
130 Guinea-Bissau 2.37 2016
131 Central African Republic 2.36 2014
132 Guinea 2.36 2016
133 Georgia 2.35 2016
134 Cuba 2.35 2016
135 Senegal 2.33 2016
136 São Tomé and Principe 2.33 2016
137 Djibouti 2.32 2016
138 Bhutan 2.32 2016
139 Fiji 2.32 2016
140 Libya 2.26 2016
141 Bolivia 2.25 2016
142 The Gambia 2.25 2014
143 Angola 2.24 2016
144 Turkmenistan 2.21 2016
145 Armenia 2.21 2016
146 Liberia 2.20 2016
147 Gabon 2.19 2016
148 Yemen 2.18 2014
149 Eritrea 2.17 2016
150 Chad 2.16 2016
151 Kyrgyz Republic 2.16 2016
152 Madagascar 2.15 2016
153 Cameroon 2.15 2016
154 Iraq 2.15 2016
155 Afghanistan 2.14 2016
156 Zimbabwe 2.08 2016
157 Lao PDR 2.07 2016
158 Tajikistan 2.06 2016
159 Lesotho 2.03 2016
160 Sierra Leone 2.03 2016
161 Equatorial Guinea 1.88 2016
162 Mauritania 1.87 2016
163 Somalia 1.75 2016
164 Haiti 1.72 2016
165 Timor-Leste 1.71 2007
166 Syrian Arab Republic 1.60 2016

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Development Relevance: The LPI measures on-the-ground trade logistics performance, helping national leaders, key policymakers, and private sector traders understand the challenges they and their trading partners face in reducing logistical barriers to international commerce. As the backbone of international trade, logistics encompasses freight transportation, warehousing, border clearance, payment systems, and many other functions. These functions are performed mostly by private service providers for private traders and owners of goods, but logistics is also important for the public policies of national governments and regional and international organizations. Because global supply chains are so varied and complex, the efficiency of logistics depends on government services, investments, and policies. Building infrastructure, developing a regulatory regime for transport services, and designing and implementing efficient customs clearance procedures are all areas where governments play an important role. The improvements in global logistics over the past two decades have been driven by innovation and a great increase in global trade. While policies and investments that enable good logistics practices help modernize the best-performing countries, logistics still lags in many developing countries. Indeed, the "logistics gap" evident in the first two editions of this report remains. The tremendous importance of logistics performance for economic growth, diversification, and poverty reduction has long been widely recognized. National governments can facilitate trade through investments in both "hard" and "soft" infrastructure. Countries have improved their logistics performance by implementing strategic and sustained interventions, mobilizing actors across traditional sector silos, and involving the private sector. Logistics is also increasingly important for sustainability. A focus on the environmental impacts of logistics practices was recently included in the LPI.

Limitations and Exceptions: The Logistics Performance Index is an interactive benchmarking tool created to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance. Feedback from operators is supplemented with quantitative data on the performance of key components of the logistics chain in the country of work. Thus, the LPI consists of both qualitative and quantitative measures. In addition, despite being the most comprehensive data source for country logistics and trade facilitation, the LPI has two important limitations. First, the experience of international freight forwarders might not represent the broader logistics environment in poor countries, which often rely on traditional operators. And the international and traditional operators might differ in their interactions with government agencies - and in their service levels. Second, for landlocked countries and small-island states, the LPI might reflect access problems outside the country assessed, such as transit difficulties. The low rating of a landlocked country might not adequately reflect its trade facilitation efforts, which depend on the workings of complex international transit systems. Landlocked countries cannot eliminate transit inefficiencies with domestic reforms.

Statistical Concept and Methodology: The indicator presents data from Logistics Performance Surveys conducted by the World Bank in partnership with academic and international institutions and private companies and individuals engaged in international logistics. The Logistics Performance Index (LPI) uses a structured online survey of logistics professionals at multinational freight forwarders and at the main express carriers. The 2012 LPI data are based on the 2011 survey, which was administered to nearly 1,000 respondents at international logistics companies in 143 countries (domestic performance indicators). The international LPI covers 155 countries. The LPI assesses both large companies and small and medium enterprises. Most of the responses are from small and medium enterprises, with large companies (those with 250 employees or more) accounting for roughly 18 percent of responses. The respondents include groups of professionals who are directly involved in day-today operations, from company headquarters and from country offices such as senior executives, area or country managers, and department managers. Many of the respondents are at corporate or regional headquarters or at country branch offices. The rest are at local branch offices or independent firms. The majority of respondents are involved in providing most logistics services as their main line of work such as warehousing and distribution, customer-tailored logistics solutions, courier services, bulk or break bulk cargo transport, and less-than-full container, full-container, or full-trailer load transport. Each survey respondent rates eight overseas markets on six core components of logistics performance (the efficiency of customs and border management clearance, the quality of trade and transport infrastructure, the ease of arranging competitively priced shipments, the competence and quality of logistics services, the ability to track and trace consignments, and the frequency shipments reach consignees within scheduled or expected delivery times). The components are rated on a scale (lowest score to highest score) from 1 to 5. The eight countries are chosen based on the most important export and import markets of the country where the respondent is located, on random selection, and - for landlocked countries - on neighboring countries that form part of the land bridge connecting them with international markets. The method used to select the group of countries rated by each respondent varies by the characteristics of the country where the respondent is located. If respondents did not provide information for all six components, interpolation is used to fill in missing values. The missing values are replaced with the country mean response for each question, adjusted by the respondent's average deviation from the country mean in the answered questions. The LPI is constructed from the six indicators using principal component analysis (PCA), a standard statistical technique used to reduce the dimensionality of a dataset. In the LPI, the inputs for PCA are country scores on questions 10-15, averaged across all respondents providing data on a given overseas market. Scores are normalized by subtracting the sample mean and dividing by the standard deviation before conducting PCA. The output from PCA is a single indicator - the LPI - that is a weighted average of those scores. The weights are chosen to maximize the percentage of variation in the LPI's original six indicators. To construct the international LPI, normalized scores for each of the six original indicators are multiplied by their component loadings and then summed. The component loadings represent the weight given to each original indicator in constructing the international LPI. Since the loadings are similar for all six, the international LPI is close to a simple average of the indicators. To account for the sampling error created by the LPI's survey-based dataset, LPI scores are presented with approximate 80 percent confidence intervals.

Aggregation method: Unweighted average

Periodicity: Annual