Jv Proceeds With Park Construction For Logistics Sector

20 Days(s) Ago    👁 58
jv proceeds with park construction for logistics sector

Logistics multi-national DP World and the port authority of Saudi Arabia (Mawani) have embarked on the construction of a $250 million logistics park at Jeddah Islamic Port.

This joint venture (JV) project aims to enhance storage and distribution capabilities, boosting trade in Saudi Arabia and the broader region.

Covering 415 000 sqm, the facility will include 185 000 squares of warehousing space and a multi-purpose storage yard, making it the largest integrated logistics park in the country.

With a capacity of over 390 000 pallet positions, the park will facilitate the smooth movement of goods to and from Jeddah, DP World has said.

The Jeddah Logistics Park, part of a 30-year concession established in 2022, will be developed in two phases, with the first phase expected to open in the second quarter next year.

The facility will also feature a rooftop solar plant capable of generating 20 megawatts of renewable energy.

In addition to the park, DP World and Mawani are collaborating on the management of the South Container Terminal through a separate 30-year concession signed in 2020.

The terminal is undergoing a comprehensive modernization, set to be completed in Q4 2024, which will increase its handling capacity to five million TEUs.

Together, these projects represent nearly $218m in investment.

Sultan Ahmed bin Sulayem, chairman and CEO of DP World, said: Saudi Arabia has always been a crucial market for DP World, and this milestone demonstrates our continued commitment to the Kingdom.

Strategically located on the Asia-Europe shipping route, Jeddah Logistics Park will offer world-class multimodal connectivity and market access for our customers, supporting the ambitious goals of Saudi Vision 2030.

This investment is a significant step as we celebrate 25 years of operations in Jeddah and reaffirms our dedication to facilitating trade flow.

Mawani chief executive Omar Bin Talal Hariri added: The new logistics area will connect to DP Worlds South Container Terminal at Jeddah Islamic Port, promoting growth and increasing container handling capacity.

This project aligns with Mawanis broader strategy to expand logistics centres in Saudi ports in partnership with leading national and international companies, in line with the National Transport and Logistics Strategy and Vision 2030.

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