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Sat 16 Jan 2010 11:17 AM

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UAE is rated Gulf region's top logistics hub

UAE ranks 24 among 155 countries in the World Bank Logistics Performance Index.

UAE is rated Gulf region's top logistics hub
LOGISTICS SURVEY: The Logistics Performance Index (LPI) survey is conducted every two years. (Getty Images)

The UAE is the best performing trade logistics service-provider in the Gulf region, according to the recent report released by the World Bank.

The Logistics Performance Index (LPI) survey conducted every two years reveals that the UAE has scored 3.63 points, ranking 24 among 155 countries across the world, the best among the other GCC countries.

The World Bank's LPI survey ranked Bahrain 32, Kuwait 36, Qatar 55 and Oman at 60. Saudi Arabia, the largest economy in the region stood at 40, according to the survey titled: 'Connecting to Compete.'

The LPI is an interactive benchmarking tool created to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance – the LPI 2010 allows for comparisons across 155 countries, the World Bank said in its report.

The Logistics Performance Index is based on a worldwide survey of operators on the ground (global freight forwarders and express carriers), providing feedback on the logistics “friendliness” of the countries in which they operate and those with which they trade.

Click here to see how the UAE fared region-wise in the Logistics Performance Index 2010

They combine in-depth knowledge of the countries in which they operate with informed qualitative assessments of other countries with which they trade, and experience of global logistics environment.

Feedback from operators is supplemented with quantitative data on the performance of key components of the logistics chain in the country of work, data collected for nearly 130 countries.

The LPI consists therefore of both qualitative and quantitative measures and helps build profiles of logistics friendliness for these countries. It measures performance along the logistics supply chain within a country and offers two different perspectives: International and Domestic.

The International LPI provides qualitative evaluations of a country in six areas by its trading partners - logistics professionals working outside the country.

Domestic LPI provides both qualitative and quantitative assessments of a country by logistics professionals working inside it. It includes detailed information on the logistics environment, core logistics processes, institutions, and performance time and cost data.

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