Publisher: Maaal International Media Company
License: 465734
The Saudi Ports Authority (Mawani) has signed an agreement with CMA CGM Group, a world leader in shipping and logistics, to build an integrated logistics platform at Jeddah Islamic Port. The new facility will be established on 130,000 sq. meters of land leased by the port administration with the overall aim of developing an efficient sector-wide logistics mechanism and boosting the Kingdom’s profile as a global logistics hub connecting three continents.
The deal was signed by HE Omar Talal Hariri, President of Mawani, and Xavier Eiglier, CMA CGM Group’s Regional Director for the Middle East Gulf, Indian Subcontinent, Indian Ocean Islands, and Southern and Eastern Africa, in the presence of senior officials from both sides and a host of leading industry executives.
Mawani’s President commented on this occasion: “The logistics platform represents an important milestone in the Authority’s continued endeavour to fulfil the objectives of the National Transport and Logistics Strategy (NTLS) in creating specialized logistics zones within the precincts of Saudi ports and beyond in the pursuit of positioning the Kingdom as a global logistics hub. It adds further momentum to our aspirations in building a booming and sustainable maritime sector, achieving the socioeconomic ambitions listed out in Vision 2030, and offering world class logistics services that can stimulate economic growth and enable strategic integration with the transportation ecosystem.”
Xavier Eiglier, Regional Director, Middle East Gulf, ISC, Indian Ocean Islands, Southern and Eastern Africa, of the CMA CGM Group said: “ Today’s ceremony confirms our strong partnership with MAWANI and affirms our commitment to contribute to the development of the logistics’ sector in the Kingdom. This project marks the Group’s first integrated logistics platform in the Middle East and will help in expanding our service offering to our Saudi and global customers to use Jeddah as a transit hub for trading across the wider region. It will also enable our Group to expand its regional shipping and logistics network, where we see a lot of growth potential.”
Jeddah Islamic Port is Saudi Arabia’s top import and export destination, receiving 75% of the nation’s total inbound maritime trade and transhipments. With an annual capacity of 130 million tons, the Red Sea’s leading re-export hub features 62 berths and four terminals.
The port regulator’s recently launched strategy is well set to realize the goals conceived by the National Transport and Logistics Strategy (NTLS) to develop a competitive and productive maritime sector that keeps pace with global trends and promotes economic prosperity.
A new venture to accompany CMA CGM’s development in the region
The CMA CGM Group pursues its development in logistics within the region with the launch of a 130,000 sq. meters facility of specialized container depots and warehouses in one of Saudi Arabia’s major ports. CMA CGM INLAND SERVICES (CCIS), the Group’s entity dedicated to inland transportation solutions development, and its logistics subsidiary CEVA collaborated closely on this project which includes a USD 130 million investment over the span of 20 years to strengthen the CMA CGM Group’s presence in the Kingdom of Saudi Arabia and the whole region.
The project aims to offer a unified logistics ecosystem leveraging CMA CGM’s ocean network with CCIS inland solutions and CEVA’s logistics services, to offer customers seamless end to end logistics solutions. The agreement will create more than 150 direct jobs and hundreds of indirect ones within the logistics sector. It will be providing a trusted logistics hub in one of the busiest trading routes serving as an instrumental part of the global maritime trade connecting Saudi Arabia to the rest of the world.
CMA CGM subsidiaries, CCIS and CEVA, will be offering unique logistics solutions including advanced hub, export hub, value added services, temperature controlled bonded storage and multimodal transport solutions to cater for all customer needs.
CMA CGM pursues its expansion in the Saudi Market
With this major investment, the new project will strengthen Jeddah Port’s position as the hub of choice for both gateway and cross border trade in the Red Sea. It will support Jeddah Islamic Port’s growth strategy in its aim to become one of the top ten ports globally, as part of Saudi Arabia’s Vision 2030. The CMA CGM Group continues moving forward with its regional expansion strategy as a global leader in shipping and logistics.
Present in KSA since 1984, CMA CGM has offices across the entire Kingdom. The Group employs 209 staff members across KSA of which 35% of the local workforce are women. The Group connects the Kingdom to the world with 32 services and 24 weekly calls to provide customers with the best maritime and logistics service solutions. The Group is committed to offer the Saudi market a complete maritime and logistics offering combined with agility, professionalism, and efficiency.
About CMA CGM
Led by Rodolphe Saadé, the CMA CGM Group, a global leader in shipping and logistics, serves more than 420 ports around the world on five continents. Backed by a fleet of 566 vessels, in 2021 the Group transported 22 million TEU (twenty-foot equivalent units) containers. With its subsidiary CEVA Logistics, a world leader in logistics, which transports 474,000 tons of air freight and more than 21 million tons of land freight each year, and its air freight division CMA CGM AIR CARGO, the CMA CGM Group is continually innovating to offer its customers a complete and increasingly efficient range of new shipping, land, air and logistics solutions.
Committed to the energy transition in shipping, and a pioneer in the use of alternative fuels, the CMA CGM Group has set a target to become Net Zero Carbon by 2050.
Through the CMA CGM Foundation, every year the Group helps thousands of children through its actions to promote education for all and equal opportunity. The CMA CGM Foundation also acts in humanitarian crises that require an emergency response by mobilizing the Group’s shipping and logistics expertise to bring humanitarian supplies around the world.
Present in 160 countries through its network of more than 400 offices and 750 warehouses, the Group employs more than 130,000 people worldwide, including 2,900 in Marseilles where its head office is located.