Saudi Ports Authority and Maersk Saudi Arabia will set up a new 205,000 sq.m. integrated logistics park at Jeddah Islamic Port for a total investment of SAR 510 million ($136 million) over 25 years.

The park will offer infrastructure for warehousing, distribution, cold storage and e-commerce facilities, as well as a hub for transshipments, petrochemical consolidation, air freight and less than container load (LCL) cargo.

Mawani said the new facility would be the first of its kind at Jeddah Islamic Port, and that Maersk will also be investing in renewable energy to power the facility and eventually achieve carbon-neutral status.

The project is expected to create more than 2,500 direct and indirect jobs in Saudi Arabia, the authority said.

Omar bin Talal Hariri, president of the Saudi Ports Authority, said: “The strategic partnership between the authority and Maersk is an important step to achieve our ambition for Jeddah Islamic Port to become among the top ten ports in the world by 2030.

“I am confident that this partnership will greatly enhance the distinguished operational capabilities of Jeddah Islamic Port, which ranks first among the Red Sea ports due to its strategic location linking the international shipping route between East and West.”

The park will be able to handle annual volumes of up to 200,000 TEUs across different products, Mawani said. 

(Writing by Imogen Lillywhite; editing by Seban Scaria)

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