The Middle East is rapidly emerging as a global trade powerhouse, with the Kingdom of Saudi Arabia (KSA) being a key cog in the machine. Saudi Arabia’s logistics market, fueled by strategic investments and considerable infrastructure development, is on a trajectory to reach USD 38.8 billion by 2026, with a compound annual growth rate (CAGR) of 5.85%.
Saudi Arabia has already committed USD 106.6 billion towards expanding its land, air and sea cargo capacity, solidifying its position as a key player in the global supply chain. This commitment is further exemplified by the Saudi Port Authority’s (SPA) substantial USD 4.5 billion investment into the logistics sector in 2023, focusing on maritime logistics.
Maersk Logistics Park provides a pillar for Saudi Vision 2030
Saudi Arabia’s ambitious Vision 2030 blueprint envisions the country as a dominant hub that captures 55% of the Gulf Corporation Council (GCC)’s logistics industry. This vision also targets a substantial increase in non-oil exports, from USD 36 billion to 140 billion, and light exports from USD 5.6 billion to a massive USD 140 billion, all by 2030.
Maersk Logistics Park (MLP) in Jeddah directly supports these goals. Strategically located at the Jeddah Port, which is the Red Sea’s largest port, the Maersk Logistics Park leverages Saudi Arabia’s prime position for distribution into the GCC, East Africa, and along the Asia–Europe trade route. It’s a cornerstone of the Kingdom’s development roadmap, focusing on process improvements, infrastructure enhancement, and regulatory reform within Saudi Arabia’s logistics sector.
This investment in port and logistics infrastructure is a collaborative effort between the public and private sectors. A.P. Moller Maersk’s establishment of the expansive 225,000-sqm. MLP exemplifies this partnership and drives progress towards Saudi Arabia's ambitious economic transformation.
Features of the Maersk Logistics Park
The Maersk Logistics Park in Jeddah is a development by A.P Moller-Maersk in partnership with the Saudi Ports Authority (Mawani). This complex aims to revolutionize supply chains in the region by connecting industries and population centers, with essential facilities including:
The park provides immense value for businesses across various sectors, including FMCG, e-commerce, retail, petrochemicals, and even those with refrigeration needs.
End-to-end convenience
Ultimately, the Maersk Logistics Park’s proximity to the Jeddah Port and city offers significant advantages for industry players, including transport cost savings of up to 60%, enhanced reliability, and a reduced time to market of between three to five days.
Furthermore, the Maersk Logistics Park provides comprehensive supply chain collaboration through Maersk Integrated Solutions, ensuring that goods, whether raw materials or finished products, are delivered on time and within budget.
This end-to-end logistics solution streamlines the complexities of moving goods into, out of, and through the GCC, offering businesses greater supply chain visibility, planning, and overall efficiency.
Learn more about Maersk and the Saudi Arabia logistics sector
With a unique combination of strategic location, optimised design, and our industry-leading service under the end-to-end integrator strategy, the Maersk Logistics Park is a one-stop shop that offers enhanced visibility and greater control of the global supply chain.
Contact us for more information on this groundbreaking development and how to get your operation set up within the Maersk Logistics Park at the Jeddah Islamic Port today.
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