Netherlands – Your gateway to Europe

Expanding your business into Europe requires a well-structured and efficient supply chain. Together with the Holland International Distribution Council (HIDC), we explored how Australian exporters can leverage the Netherlands as a strategic hub for distribution and logistics.

Key Challenges for Australian Exporters

Many Australian businesses face logistical barriers when shipping directly from Australia, including:

• Distributors reluctant to hold stock – Some distributors prefer not to maintain inventory, leading to delayed deliveries and lost sales.
• Complex import formalities – Customers in Europe often struggle with import regulations, customs duties, and VAT compliance.
• Shipping disruptions – International freight from Australia has been heavily affected by recent global supply chain disruptions.
• Higher costs for smaller dealers – When smaller resellers have to source products from wholesalers, it adds unnecessary margin layers.

The Netherlands: A Strategic Gateway to Europe

Setting up a European Distribution Center (EDC) in the Netherlands can resolve many of these challenges by providing a streamlined and cost-effective solution.

• Faster delivery times – Ship products in bulk to the Netherlands and fulfill orders across Europe within 2-3 days.
• Improved cost efficiency – Reduce logistics costs by consolidating shipments and leveraging established 3PL (third-party logistics) providers.
• VAT deferment benefits – The Dutch system allows non-EU businesses to avoid upfront VAT payments on imports, improving cash flow.
• Better customer experience – Offer European customers local inventory, minimizing their administrative burden and making your products more attractive.

Finding the Right 3PL Partner in the Netherlands

HIDC offers a free-of-charge matchmaking service to help businesses identify suitable logistics providers based on their specific needs. The process involves:

1. Logistics Assessment – Completing a detailed logistics questionnaire to determine supply chain requirements.
2. Shortlisting Providers – HIDC identifies potential 3PL partners based on expertise and availability.
3. Direct Introductions – Businesses are connected with a curated list of logistics partners for discussions and negotiations.
4. Implementation & Scaling – Setting up warehousing, distribution, and value-added services such as order fulfillment, returns processing, and product customization.

Beyond Warehousing: Value-Added Logistics Services

Many Dutch 3PL providers offer additional services to enhance supply chain efficiency, including:

• Returns & repair management – Handle product servicing and warranty claims within Europe.
• Customs & compliance support – Ensure seamless import/export processes, including post-Brexit UK distribution.
• E-commerce fulfillment – Enable B2B and B2C order fulfillment with integrations into major European marketplaces.

The Cost-Benefit Analysis: 3PL vs. Traditional Distributors

Switching from a distributor model to a European warehouse-based distribution strategy can optimize costs while improving customer experience. Businesses should assess:

• Logistics & storage costs – Compare 3PL fees with distributor margins.
• Scalability – A central EDC allows businesses to expand into new European markets more efficiently.
• Customer satisfaction – Faster, localized delivery improves sales and customer retention.

How to Get Started

For businesses considering setting up a supply chain hub in the Netherlands, the first step is to evaluate logistics needs and connect with potential partners. HIDC provides a free logistics assessment to support companies in making the transition.

📩 Need help setting up a European logistics hub? Contact us to explore how a Netherlands-based supply chain can accelerate your European expansion.