Saudi Ports Authority (Mawani) has signed a deal with A. P. Moller – Maersk, which will see $136 million invested over the next 25 years to set up an Integrated Logistics Park at the kingdom’s Jeddah Islamic Port.
Spread over an area of 205,000 sqm, the greenfield project will be the first of its kind at the port and is expected to create more than 2,500 direct and indirect jobs in Saudi Arabia.
Maersk will also be investing heavily in renewable energy to power the facility and eventually achieve carbon-neutrality.
Minister of Transport, Saleh bin Nasser Al-Jasser, said: “The development of the new Integrated Logistics Park will further enhance the capabilities of Jeddah Islamic Port and contribute to consolidating the kingdom’s position as a leading global hub for maritime transport and logistics services.”
Minister of Transport, Saleh bin Nasser Al-Jasser.
A bonded and non-bonded Warehousing & Distribution (W&D) facility will cover more than 70 percent of the total area, while the remaining part will act as a hub for transshipment, air freight, and LCL cargo.
According to a statement on Sunday, the park will be able to handle annual volumes close to 200,000 TEUs across different products.
Richard Morgan, managing director, Maersk West & Central Asia, said: “We are building an innovative, digital and technologically-advanced logistics infrastructure on the foundations of our strong network of global shipping and logistics services to create value for customers in the region.
“Our ambition is not only to connect and simplify our customers’ supply chains, but also be a catalyst in the growth of trade and economies through our customer-centric solutions.”
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