Kuehne + Nagel has become the first international logistics provider to operate a wholly-owned national subsidiary in Saudi Arabia.
The company, which previously operated in the Kingdom as a joint venture with E.A. Juffali and Brothers, recently took advantage of a change in domestic legislation to trade under the global Kuehne + Nagel brand.
“The establishment of a wholly-owned national company in Saudi Arabia provides us with significant strategic and operational advantages,” said Werner Kleymann, regional manager of Kuehne + Nagel in the Middle East.
“Customers can now fully leverage the quality and scope of our globally standardized business and IT processes together with our comprehensive portfolio of forwarding and logistics services. At the same time, with a professional national management team now in place, we can consistently pursue our investment and development objectives in the Kingdom in terms of both operations and staffing,” he added.
Kuehne + Nagel, which currently employs 80 staff in Saudi Arabia, has headquarters in Jeddah and additional branches in Riyadh and Dammam.
The company has reported a strong position in the local seafreight and airfreight markets and stands to gain substantial benefits from the ongoing expansion of the regional oil and gas sector. In addition, it plans to establish a contract logistics division later this year, which is set to see considerable investment during the course of 2009.
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