Saudi Ports Authority (Mawani) has recently signed an agreement with A. P. Moller – Maersk, committing to an investment of US$ 136 million over a period of 25 years to set up an Integrated Logistics Park at Jeddah Islamic Port in Saudi Arabia. The new facility will be able to handle around 200,000 TEU of container cargo a year, across different product segments.
Spread over an area of 205,000m2, the greenfield project will be the first of its kind at the Red Sea port, offering a range of solutions with the goal of connecting and simplifying the supply chains of importers and exporters in the Kingdom.
Richard Morgan, Managing Director, Maersk West & Central Asia said, “We are building an innovative, digital and technologically-advanced logistics infrastructure on the foundations of our strong network of global shipping and logistics services to create value for customers in the region. Our ambition is not only to connect and simplify our customers’ supply chains, but also be a catalyst in the growth of trade and economies through our customer-centric solutions.”
A bonded and non-bonded warehousing and distribution facility will cover more than 70% of the total area, while the remaining part will act as a hub for transshipment, air freight and LCL cargo. The facility will feature several different sections to accommodate different general cargo and cold chain storage as well as a dedicated eCommerce fulfilment centre.
Maersk will also be investing heavily in renewable energy to power the facility and eventually achieve carbon-neutrality. The warehouses, cold stores and office buildings will all be powered with renewable solar energy, while yard machinery including forklifts, reach stackers, empty container handlers, trucks and other vehicles deployed for the movement of cargo will be electric.