Saudi Arabia is making a significant move to transform its logistics sector with an investment exceeding SR1 trillion ($267 billion), aiming to establish itself as a global logistics hub by 2030. According to Saudi Minister of Transport and Logistics Services, Saleh bin Nasser Al-Jasser, SR200 billion of this investment has already been utilized.
The country has made impressive strides, improving its position in international rankings, such as the Logistics Performance Index and the Global Connectivity Index. This transformation is part of a broader Vision 2030 initiative led by Crown Prince Mohammed bin Salman, focusing on modernizing transportation and enhancing the logistics network.
At the Global Logistics Forum 2024 in Riyadh, Al-Jasser emphasized the critical timing of the forum, given the current global logistics challenges. He highlighted the necessity of ensuring supply chain security and efficiency to support economic growth and connectivity.
The forum is set to address logistics challenges and foster a sustainable future. Al-Jasser pointed out Saudi Arabia’s strategic location at the crossroads of Asia, Europe, and Africa, making it an ideal host for the event.
Saudi Arabia’s historical role as a trade hub was also highlighted, with references to ancient trade routes like the Incense Road and the Spice Road. Modern infrastructure, including King Salman International Airport and advanced seaports, underscores the Kingdom’s commitment to leading global trade.
The Kingdom is also focusing on sustainability, reducing carbon emissions through initiatives like the Saudi Green Initiative and advancements in technology, such as AI and blockchain, to enhance the supply chain.
Several key agreements were signed at the forum, including cooperation between Saudi Arabia and Egypt in maritime connectivity and a memorandum of understanding for the KSA-Sino Logistics Zone. Other agreements involved training programs and significant expansions in logistics infrastructure.
Agility, a global supply chain services provider, announced a major expansion in Riyadh, adding substantial warehousing space and creating new jobs. This expansion aims to attract international firms to Saudi Arabia’s logistics market.
The Global Logistics Forum, organized by the Ministry of Transport and Logistics Services, seeks to redefine global trade and supply chains by enhancing efficiency, sustainability, and profitability, amid challenges like economic instability and climate change.
