Kuehne+Nagel: Iceland Logistics For Aquaculture Growth

Global logistics provider Kuehne+Nagel has launched its first independent office and warehouse in Iceland, establishing a new facility in the harbour town of Hafnarfjörður.

This strategic expansion is designed to support the country's growing export sector, particularly in aquaculture, where demand for specialised logistics is on the rise.

The move by Kuehne+Nagel comes as Iceland's fish farming industry shows strong growth.

In 2024, the industry produced 54,800 tonnes of fish and this output is expected to increase.

A large portion of this volume requires temperature-controlled shipping to reach European and global markets, a core focus of the new operation.

The expansion also places Kuehne+Nagel within a logistics market that has both potential and complexities.

Supporting aquaculture and perishables exports

Kuehne+Nagel’s strategy directly aligns with the demands of Iceland's high-value export industries.

For its sea logistics services, Kuehne+Nagel will manage both Less-than-Container-Load (LCL) and Full-Container-Load (FCL) shipments from hubs in Denmark, Sweden, Belgium and the Netherlands.

On the export side, the primary focus will be on temperature-controlled containers known as “reefers” which are essential for preserving the quality of fish and other perishable goods.

In air logistics, the new Icelandic operation will connect to Kuehne+Nagel's perishables network, providing direct access to key European hubs in London, Amsterdam and Liège.

These locations are critical for handling global exports of products with a short shelf-life, making the connection vital for Iceland’s farmed fish sector.

Helgi Ingólfsson, Cluster Manager for Sweden and Iceland, explained Kuehne+Nagel's commitment: “Iceland is a high-potential market and we are committed to supporting customers in Iceland reach their growth potential as they can benefit from our expertise in navigating and planning their supply chains."

Navigating Iceland's regulatory landscape

While Iceland’s logistics performance is rated reasonably well by the World Bank, its regulatory environment presents challenges.

According to OECD Economic Surveys: Iceland 2025, the transport market is technically open to competition, but barriers remain for new entrants in water and land transport.

The report notes: "Entry regulation is more stringent than the Nordic average in the water and land transport sectors."

This regulatory friction is compounded by market concentration.

The OECD report highlights that two large companies dominate the sector and the Icelandic Competition Authority has recommended that port authorities should guarantee access for new competitors.

Kuehne+Nagel’s decision to establish a fully independent presence could be seen as a key step in a market where access to port facilities is a strategic concern.

The new office, which includes a team of 13 specialists, will offer customs services alongside sea and air freight support.

An independent operation

Kuehne+Nagel has been active in the Icelandic market for many years through partnerships, but the Hafnarfjörður facility marks its first fully independent operation.

"While we have had a presence in Iceland for decades, this is the first time we have a fully independent operation and I am proud to announce the opening today, adding to the global network of Kuehne+Nagel,” Helgi says.

Valdimar Óskarsson, Kuehne+Nagel's Managing Director for Iceland, says, “Having been active in the Icelandic market for many years, we are happy to join the Kuehne+Nagel family.

"Together with my team of industry experts within sea and air logistics and customs, we look forward to contributing to Iceland’s import and export sector.”