The Saudi Ports Authority (Mawani) has signed seven agreements to establish logistics centers in Jeddah, with a total investment value exceeding SAR 1 billion ($266 million), as part of efforts to expand logistics infrastructure and enhance supply chain efficiency across the Kingdom.
The signing ceremony was attended by Minister of Transport and Logistic Services Saleh Al-Jasser and Mawani President Suliman Al-Mazroua.
Al-Mazroua said the new agreements provide for the development of logistics centers under concession terms of up to 25 years, supporting efforts to position Jeddah as a global logistics hub. He noted that two agreements were signed with international companies, while five were awarded to Saudi firms with global ambitions. Valued at more than SAR 1 billion, the projects are also expected to create additional jobs.
He said that in February, at the onset of the Strait of Hormuz crisis, the Minister issued urgent directives to prepare the Kingdom's western coast to receive supply chains serving Saudi Arabia and the Gulf region. As a result, all entities involved in the logistics ecosystem worked toward that objective.
Al-Mazroua said Mawani focused on several key areas. The first was strengthening maritime connectivity by increasing shipping services to compensate for the shortfall affecting the Kingdom's eastern region.
During the crisis, more than 27 additional shipping services were introduced on the western coast, increasing capacity by more than 200,000 TEUs (twenty-foot equivalent units) per month to offset the shortfall.
He added that the second area focused on preparing ports to handle higher volumes by streamlining procedures with the Saudi Customs Authority and terminal operators, while expanding equipment capacity. Investments in these measures exceeded SAR 640 million over a three-month period.
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