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The groundbreaking ceremony
The Saudi Ports Authority (MAWANI) and Dubai’s DP World broke ground today, May 26, on a logistics park project at Jeddah Islamic Port, with investments totaling SAR 900 million ($250 million).
According to the Emirates News Agency (WAM), the 415,000-square-meter (sqm) greenfield facility will feature 185,000 sqm of warehousing space and a sprawling multi-purpose storage yard, making it the largest integrated logistics park in the Kingdom.
It will accommodate more than 390,000 pallet positions, offering customers an efficient platform for the seamless flow of goods to and from Jeddah.
The project will provide state-of-the-art storage and distribution facilities, in addition to its contribution to enhancing trade flow in Saudi Arabia and the wider region.
Established in 2022 as part of a 30-year concession, Jeddah Logistics Park is being developed over two phases, poised to open in Q2 2025.
The collaboration between MAWANI and DP World also includes the management of the South Container Terminal through a separate 30-year concession signed in 2020.
The terminal is currently in the final phase of a comprehensive modernization project, scheduled for completion in Q4 2024. By then, 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 nearing SAR 4 billion ($1 billion).
President of MAWANI, Omar Hariri, said, “This new logistics area will be connected to DP World’s South Container Terminal at Jeddah Islamic Port, facilitating growth and increasing the number of containers handled at the terminal.”
He added, “The project is part of MAWANI’s broader efforts to expand the number of logistics centers in Saudi ports, in partnership with major national and international companies, and in line with the objectives of the National Transport and Logistics Strategy and Vision 2030.”
According to data compiled by Argaam, MAWANI and DP World announced in October 2021 the start of construction work for the first phase of the Southern container terminal development project at Jeddah Islamic Port.
In June 2022, they signed a new agreement to establish a fifth logistics zone in Jeddah Islamic Port, with an investment value exceeding SAR 500 million.
Related News
DP World plans to operate logistics park in Jeddah Islamic Port |
Mawani, DP World start works on first phase of overhauling South Container Terminal project |
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