As Saudi Arabia's 'Mawani' announced an investment of 641 million riyals to expand the operational capacity at Jeddah Islamic Port, logistics and supply chain expert Khalid Al-Ghamdi confirmed that the global crises witnessed in recent years have accelerated the development of alternative and integrated logistics routes, including land, sea, air, and rail transport networks, providing Saudi Arabia with significant opportunities to strengthen its position as a regional and global logistics hub.

In an interview with Al Arabiya Business, he explained that the new expansions come as an extension of previous projects and initiatives, amid rising demand for supply chains, especially in the food, pharmaceutical, and other essential goods sectors, noting that expanding logistics infrastructure has become a necessity to keep up with current changes and future needs.

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He added that the geopolitical tensions in the region, along with disruptions affecting some vital sea lanes, have increased the importance of the Red Sea and Saudi ports along it, such as Jeddah Islamic Port, Rabigh, Yanbu, and Neom, enhancing their role in global trade.

He pointed out that the Neom project represents one of the most prominent new logistics routes, as it helps connect trade flows coming from the Mediterranean via the Suez Canal to Gulf countries, including Iraq and Kuwait, in addition to the Kingdom's cities and Jordan, giving it increasing strategic importance in the regional transport and distribution system.

He affirmed that Jeddah Islamic Port is one of the largest ports in the region in terms of operational capacity, location, and expansion potential, explaining that the port continuously adds new shipping lines, enhancing its role as a maritime link between the Kingdom and various continents.

Strategic Location

He noted that Jeddah Port has a great capacity to enhance commercial connectivity with Asian markets, led by India and China, as well as African markets, benefiting from its strategic location on maritime trade routes passing through the Suez Canal and the Cape of Good Hope.

He explained that the new expansions will increase the port's capacity, reduce handling times, and lower operational costs for shipping companies, importers, and exporters, giving it additional competitive advantages over regional and global ports.

He concluded by saying that Jeddah Port has become one of the most important logistics centers in the region, playing a pivotal role in redistributing goods and connecting Gulf and global markets, noting that ongoing preparations will strengthen its role as a key starting point for maritime trade through Bab el-Mandeb and the Suez Canal, supporting the Kingdom's goals of transforming into a global logistics hub.

Improving Efficiency

It is worth noting that the Saudi Ports Authority (Mawani) had announced an investment of 641 million riyals to expand the operational capacity at Jeddah Islamic Port.

The project is being implemented in partnership with Red Sea Gateway Terminal and UAE's DP World, as part of the targets of the National Transport and Logistics Strategy and the Kingdom's Vision 2030.

The expansion includes adding 3 quay cranes, 27 yard cranes, 91 handling trucks, along with new operating equipment, in addition to expanding container yards by 200,000 square meters to increase operational capacity and improve cargo handling efficiency.

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