Saudi Arabia’s Dammam port to get integrated logistics zone

King Abdulaziz Port in Dammam will soon get an integrated logistics zone, as the Saudi Ports Authority and MEDLOG have laid the foundation stone for the project.

The port authority, known as Mawani and MEDLOG, the logistics arm of the Mediterranean Shipping Co., will see the integrated logistics zone being built with an investment value exceeding SR150 million ($40.01 million), the Saudi Press Agency reported.

Omar Hariri, chairman of Mawani, said that laying the foundation stone of the new logistics zone aligns with the authority’s goal to develop a sustainable and prosperous maritime sector.

He further noted that this step will also contribute to the goals outlined in Saudi Arabia’s National Transport and Logistics Strategy, which aims to turn the Kingdom into a global logistics hub.

The SPA report added that the new integrated logistics zone will be built in an area of over 100,000 sq. meters, with a capacity of handling 300,000 containers per year.

Due to its proximity to Jubail Industrial City and major urban centers in the Eastern Province, the logistics facility is expected to meet the requirements of the local market in terms of transporting and handling goods.

Earlier this month, an additional report released by Mawani revealed that Saudi Arabia’s ports witnessed a 16.85 percent surge in container handling in November compared to the year-ago period.

According to the report, ports in Saudi Arabia handled 737,530 standard containers in November, compared to 631,160 in the same month of 2022.

In October, Mawani made significant progress in the global maritime index for the third quarter of 2023.

As outlined in a report from the UN Conference on Trade and Development, Mawani made a leap from 76.16 points in the second quarter to 77.66 points in the year’s third quarter.

Earlier this year, Saudi Arabia celebrated climbing 17 global ranks in the Logistics Performance Index issued by the World Bank.

On a separate ranking, the Kingdom’s ports rose to the 16th position on the UN’s Conference on Trade and Development Liner Shipping Connectivity Index in June.

Moreover, Saudi Arabia achieved significant progress on the World Bank’s Logistics Performance Index, jumping 17 places to reach the 38th position in 2023.