Logistics terms · Logistics terms

What does 3PL (third-party logistics) mean in logistics?

Short answer

An outsourced provider that runs physical logistics functions for a shipper, such as transport, warehousing, inventory handling or in-plant material movement, usually under a multi-year contract with agreed service levels.

Indian 3PL contracts commonly cover plant inbound and outbound movement, finished-goods warehouses and C&F operations, priced per unit handled, per square foot or as a fixed-plus-variable fee. Ask our desk how this applies to your consignment.

Period: General definition. Data as of 29 Sep 2026. How we count

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The numbers behind this answer

Also called
3PL, contract logistics
Category
Warehousing
Related terms
4PL (fourth-party logistics), WMS (warehouse management system), SLA (service level agreement), C&F agent / CFA

Sources

  1. SSL logistics glossary

Period: General definition. Data as of 29 Sep 2026.

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