The Saudi Ports Authority (Mawani) and the French shipping group CMA CGM have signed an agreement to launch an integrated logistics platform at Jeddah Port in Saudi Arabia.
The new facility will be established on 130,000 m² of land leased by the port administration with the overall aim of developing an efficient sector-wide logistics mechanism and boosting Saudi Arabia’s profile as a global logistics hub.
The deal was signed by Omar Talal Hariri, president of Mawani, and Xavier Eiglier, CMA CGM Group’s regional director for the Middle East Gulf, Indian Subcontinent, Indian Ocean Islands, and Southern and Eastern Africa, in the presence of senior officials from both sides and a host of leading industry executives.
Mawani’s president commented, “The logistics platform represents an important milestone in the Authority’s continued endeavour to fulfill the objectives of the National Transport and Logistics Strategy (NTLS) in creating specialised logistics zones within the precincts of Saudi ports and beyond in the pursuit of positioning Saudi Arabia as a global logistics hub.”
Jeddah Islamic Port is Saudi Arabia’s top import and export destination, receiving 75% of the nation’s total inbound maritime trade and transhipments. With an annual capacity of 130 million tons, the Red Sea’s leading re-export hub features 62 berths and four terminals.
Jeddah Port regulator’s recently launched strategy is well set to realise the goals conceived by the National Transport and Logistics Strategy (NTLS) to develop a competitive and productive maritime sector that keeps pace with global trends and promotes economic prosperity, according to a statement.
CMA CGM INLAND SERVICES (CCIS), the Group’s entity dedicated to inland transportation solutions development, and its logistics subsidiary CEVA collaborated closely on this project which includes a US$130 million investment over the span of 20 years to strengthen the company’s presence in Saudi Arabia and the whole region.
“This project marks the Group’s first integrated logistics platform in the Middle East and will help in expanding our service offering to our Saudi and global customers to use Jeddah as a transit hub for trading across the wider region. It will also enable our Group to expand its regional shipping and logistics network, where we see a lot of growth potential,” said Xavier Eiglier.
