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Maersk to build a $136 mn logistics centre at Jeddah port

The centre will offer an array of solutions and infrastructure for warehousing, distribution, cold storage and e-commerce facilities

Maersk, a global integrator of container logistics has collaborated with the Saudi Ports Authority to build a logistics centre at Jeddah port which is expected to create 2,500 direct and indirect jobs, according to media reports. The new port will measure 205,000 square meters and the total investment will come to around $136 million over 25 years.

This project will be a first-of-its-kind at the Jeddah Islamic Port and it will offer an array of solutions and 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.

The aim is to connect and simplify the supply chains of importers and exporters in Saudi Arabia. Additionally, Maersk will also be investing heavily in renewable energy to power this facility and eventually achieve carbon-neutrality.

Omar bin Talal Hariri, president of the Saudi Ports Authority told the media, “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.”

In order to make this port one of the best in the region, Maersk will deploy a state-of-the-art warehouse management system for efficient inventory management, tracing and tracking at the unit level along with a rich dashboard that will offer rich dashboards for higher visibility and deeper insights. In order to make this facility more environmentally sustainable, the warehouses, cold storage and office buildings will all be powered with renewable solar energy.

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