MAWANI, DP World sign SAR 500 mln deal to build logistics park at Jeddah Islamic Port

Signing ceremony 

The Saudi Ports Authority (MAWANI) signed today, June 19, an agreement with DP World to establish a new fully-integrated smart logistics park at Jeddah Islamic Port, with over SAR 500 million in investments.

Saleh Al Jasser, Minister of Transport and Logistic Services and MAWANI's Chairman, said the deal aligns with the National Transport and Logistics Strategy’s (NTLS) objectives of positioning Saudi Arabia as a global logistics hub. It also supports logistics market growth on the Red Sea coast.

Under the agreement, the logistics park will be built over a total area of 415,000 square meters (sqm), with a capacity of 250,000 TEU and 100,000 sqm of warehouses, according to MAWANI's President Omar bin Talal Hariri.

The establishment will provide advanced and eco-friendly e-services, and integrate with the operations of the south container terminal.

Hariri added that this partnership will connect the port’s operations with the logistics park, which will allow for providing integrated logistics services with high-level operational efficiency, while expanding cooperation with the top logistics service providers.

That is in addition to strengthening reexport operations, in a bid to deliver top-notch services for customers and investors.

In October 2021, MAWANI and DP World announced the start of construction for the first phase of the South Container Terminal Development project at Jeddah Islamic Port, according to data compiled by Argaam.

In Dec. 2019, DP World was awarded a 30-year build-operate-transfer (BOT) concession by MAWANI for the management and development of the Jeddah South Container Terminal at the multi-purpose Jeddah

Islamic Port, with investments worth $500 million, Argaam earlier reported.