Saudi Arabia is set to expand its logistics infrastructure with a new agreement between the Saudi Ports Authority (Mawani) and Aljeri, a leading logistics company. This $42 million deal will facilitate the construction of two advanced logistics zones within the kingdom's strategic ports, a move aligned with the nation's Vision 2030 to bolster its status as a global logistics hub.
The first logistics zone, slated to be built at the Jeddah Islamic Port, covers 54,000 square meters and aims to enhance the port's operational capacity. Jeddah Islamic Port, the largest port on the Red Sea, is already a key node in global maritime trade, ranking among the top ports worldwide in container handling efficiency. This new development will further solidify its role, offering state-of-the-art facilities for cargo handling and warehousing.
The second logistics zone will be developed at King Abdulaziz Port in Dammam, another critical gateway for the kingdom's imports and exports. Aljeri's role in the project underscores its commitment to expanding its footprint in Saudi Arabia's logistics sector, a vital component of the nation's economic diversification efforts. The zones will be equipped with the latest technology to support efficient logistics and distribution operations, meeting the growing demand for advanced logistics services in the region.
Both projects are part of Saudi Arabia's broader strategy to enhance its transport and logistics sectors, with the aim of transforming the country into a global logistics center that connects three continents. These new zones are expected to significantly boost the kingdom's logistics capabilities, providing a competitive edge in the regional and global markets.
This initiative reflects Saudi Arabia's ongoing efforts to attract private sector investment and foster public-private partnerships, which are key to achieving the ambitious targets set out in Vision 2030. By increasing the number of logistics service centers and enhancing the infrastructure of its ports, Saudi Arabia aims to position itself as a leader in the global logistics industry.
The agreement also emphasizes sustainability, with both zones designed to meet environmental standards, aligning with global trends toward greener logistics solutions. The development is expected to create numerous job opportunities and contribute to the local economy, further supporting Saudi Arabia's economic transformation goals.
This collaboration between Mawani and Aljeri marks a significant step forward in Saudi Arabia's quest to modernize its logistics infrastructure and strengthen its position as a central hub for global trade.