Dubai: Construction has started on a SR900 million logistics park forming part of the Jeddah Islamic Port, with Dubai's DP World and Saudi Ports Authority (Mawani) helming the project. The new facility will create more storage and distribution facilitiies in the Kingdom and helping its trade prospects.
The 415,000 square metre site will feature 185,000 square meters of warehousing space and a multi-purpose storage yard, making it the 'largest integrated logistics park' in Saudi Arabia. It will have a capacity for more than 390,000 pallet positions.
Established in 2022 as part of a 30-year concession, the Jeddah Logistics Park will be developed in two phases with a planned opening in Q2-2025. The Mawani and DP World alliance also includes the management of the South Container Terminal through a separate 30-year concession, which was signed in 2020. The terminal is currently in the final phase of a full modernisation and scheduled for completion in Q4-2024. it will see the handling capacity being ramped up to five million twenty-foot equivalent units (TEUs).
Altogether, the two DP World projects represent a combined investment of close to SR4 billion ($1 billion).
Sultan Ahmed bin Sulayem, Chairman and CEO of DP World, said in a statement: “Saudi Arabia has always been a deeply important market for DP World and this milestone represents our ongoing commitment to the Kingdom. Jeddah Logistics Park, strategically located on the vital Asia-Europe shipping route, will provide world-class multimodal connectivity and market access for our customers.
"This investment marks a significant step as we mark 25 years of operations in Jeddah and underscores our enduring commitment to facilitating the flow of trade.”
