From Johannesburg to the world: SMEs get a boost with FedEx
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Federal Express Corporation, one of the world’s largest express transportation companies, is helping local small- and medium-sized enterprises (SMEs) expand their global reach. SMEs are the heartbeat of South Africa’s economy, driving job creation, poverty alleviation, and innovation.
According to The State of South African Small Business 2025 report, 83% of local SMEs recorded revenue growth in the past year, with 90% expressing confidence about future prospects.
Despite this optimism, many SMEs still face significant hurdles in expanding internationally. Complex customs requirements, limited infrastructure, and rising customer expectations remain key challenges.
“The good news is that global expansion is no longer reserved for big corporations,” says Leon Bruwer, managing director sales, Sub-Saharan Africa, FedEx. “With the right logistics provider, SMEs can overcome these challenges and unlock international opportunities.”
Breaking Down Global Growth Challenges
Customs and Compliance
For many small businesses, navigating customs procedures can be time-consuming and costly. Paperwork errors, unexpected duties, and compliance risks often derail international shipments. Increasingly, digital trade tools are being adopted to simplify this process — allowing SMEs to prepare documentation online, reduce manual errors, and track shipments more efficiently. Solutions such as FedEx Electronic Trade Documents are helping businesses navigate regulatory complexities and accelerate cross-border deliveries.
Infrastructure Limitations
Efficient supply chain management remains another stumbling block, especially for SMEs with limited resources. Many lack real-time visibility of their inventory and shipments, which makes it harder to respond quickly to customer needs. New logistics technologies are addressing this gap by offering live updates on shipment conditions — including location, temperature, and handling. For example, tools like the FedEx® Insights Tool give businesses proactive, near real-time tracking across multiple shipments without needing an account number, helping SMEs monitor critical deliveries and anticipate delays before they affect operations. These insights help businesses minimise losses, improve efficiency, and build trust with international buyers.
Rising Customer Expectations
In today’s e-commerce landscape, customers expect speed, transparency, and reliability — whether ordering locally or abroad. Affordable cross-border delivery solutions are enabling SMEs to compete globally by offering faster shipping times and clearer tracking. This shift ensures smaller businesses can meet the same service expectations as multinational players, without significantly increasing costs.
By 2030, the global logistics industry is projected to generate more than USD 18.23 trillion, underlining its critical role in connecting businesses to global markets. With the right partnerships and technology, South African SMEs can reduce costs, scale operations, and compete on equal footing with larger corporations. FedEx supports SMEs with a suite of solutions such as FedEx International Connect Plus (FICP), FedEx Global Trade Manager, and FedEx Delivery Manager — empowering businesses to offer customers flexible delivery options, enhanced visibility, and greater convenience. These tools help SMEs overcome common trade challenges and position themselves more competitively in the global marketplace. “With access to smart logistics solutions, SMEs can deliver the reliability customers expect and confidently expand onto the global stage,” concludes Bruwer.
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