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Digitizing Logistics Procurement Processes
It is now a universally accepted fact, without a shadow of doubt, that digitization and automation of logistics processes, as all industrial systems globally, is well and truly upon us.
In our lead story for this edition, CM Mathew, Founder & CEO, LogisEye, the Scality, Dubai Free Zone Authority (DAFZA) based company, makes a compelling case for digitalization of logistics procurement processes. This is clearly a trend that we are witnessing not only in the logistics and supply chain but in every facet of business and industry worldwide.
GROHE, the renowned global German manufacturer of distinguished household products, recently took centre stage in the Kingdom of Saudi Arabia when it inaugurated its flagship, sophisticated dedicated showroom in the commercial Red Sea port city of Jeddah.
The Global Supply Chain tag team of Jason Verhoven, Publisher, and yours truly, travelled to the Kingdom to witness and report the high profile event up close and personal. We carry a full account of the occasion with an exclusive interview with Fawzi Dernaika, Leader, Saudi Arabia GROHE MENA & the parent company LIXIL EMENA.
Printed by United Printing Press (UPP) – Abu Dhabi
Distributed by Tawseel Distribution & Logistics – Dubai
Another interview of interest to our readers will be the one we conducted by Jay New, CEO, King Abdullah Port, the King Abdullah Port is located at the crossroads of the most vital global trade routes, interlinking three continents.
King Abdullah Port, situated on the Red Sea coast, is the Kingdom’s newest, strategically located port on the Red Sea in King Abdullah Economic City, is located at the crossroads of the most vital global trade routes, interlinking three continents—Asia, Africa and Europe.
UD Trucks Middle East, East, and North Africa (MEENA) has had a momentous 2022 and hopes to maintain this momentum through 2023. We carry a report on the truck manufacturer’s regional performance in fiscal 2022—a very uplifting report.
GWC Qatar had plenty of reasons to celebrate—on this occasion it was the smooth conduction country of the FIFA World CupTM Qatar, characterized by several commentators as the best of its kind ever.
Contributor’s opinions do not necessarily reflect those of the publisher or editor and while every precaution has been taken to ensure that the information contained in this magazine is accurate and timely, no liability is accepted by them for errors or omissions, however caused.
Articles and information contained in this publication are the copyright of Signature Media FZ LLE & SIGNATURE MEDIA LLC and cannot be reproduced in any form without written permission.
One highlight of this edition is the inclusion of a series of one-page reports on some of the latest developments in the regional logistics and supply chain landscape.
Add to this our regular repertoire of the latest news, topical features, profiles, business analyses, OpEds and useful content all of which are well encapsulated and curated to make for stimulating reading!
Happy reading!
Malcolm Dias Editor, malcolm@signaturemediame.com12 dnata-Emirates-SEGAP MoU
dnata ventures into Zanzibar.
14 GROHE GROHE-LIXIL expands in Saudi Arabia.
20 Pangaea X OpEd
Jadd Elliot Dib on Big Data.
23 King Abdullah Port-KSA
Exclusive interview with Jay New, CEO.
28 Al Masaood Abu Dhabi
Al Masaood CV&E advocates sustainability.
30 GWC celebrates Company celebrates its smooth conduction of the FIFA World Cup 2022.
06 LogisEye
Batting for procurement digitalization.
32 Emerson-SPARK
Emerson partners with Saudi Arabia’s SPARK.
33 Qatar Airways Cargo
Good performance record in 2022.
34 Leschaco Group
LSP opens new warehouse in the Netherlands.
36 UD Trucks
Celebrating a successful 2022.
40 AJEX-DACO-KSA
AJEX wins DACO contract.
42 Shipsy OpEd
Soham Chokshi on new supply chain trends.
46 News Up to date news of the Global Suppy Chain industry
Disruptions to supply chain operations in the aftermath of the pandemic are set to stay in the near foreseeable future. In the imminent future, disruptions may be related to geopolitical conflicts, fluid political situations, inflation, recession, weather related events and force majeure developments. Regardless, success relies on building flexibility into your operations and the case has increasingly been made for amplified use of technology in holistic logistics processes including procurement of logistics services.
Simplifying and empowering logistics by going digital in freight procurement
Dubai Airport Freezone (DAFZ)-based LogisEye is advocating the cause of digital procurement. ‘A smart business start with a smarter supply chain’ is the LogisEye credo.
CM Mathew, Founder & CEO, LogisEye, enunciates and backs his case calling for increased digitalization in the world of procurement of logistics services and products to ensure better competencies and eliminate associated frustrations, in this special analysis and contribution to Global Supply Chain.
Around the world, most of the companies continue to follow manual processes for their freight procurement and face enormous challenges.
The trillion-dollar freight industry demands smart and evolving technologies with an increased focus on procurement and overall supply chain transformation to meet the needs of the changing customer requirements, stresses Mathew, the nononsense, blunt spokesman of online procurement sourcing for the logistics and supply chain industry.
Technology inspired procurement processes
LogisEye makes its case with its sophisticated, state-of-the-art cloud-based digital freight procurement ecosystem, integrating with all stakeholders in the value chain.
With its multiple innovative solutions, scheduled to be launched over three phases, the aim is to solve the key challenges in the procurement and payment of freight services.
LogisEye not only accelerates digital transformation in the logistics industry but also adds value to each stakeholder across the value chain, according to a posting in its official website.
The platform aims to simplify and standardize the freight procurement processes and efficiently manage air freight, sea freight, road transportation, and cargo insurance, resulting in cost & time savings, real-time shipment tracking, and transparency.
Bleak current outlook
The short-term outlook by analysts and economists for companies is that the global economy is weakening rapidly, and businesses should prepare for continued volatility during 2023.
While the global economy continues to be battered by multiple shocks, the key is to minimize shipping costs and offer competitive selling price for your products to attract more and more customers, affirms Mathew, who examines the state of current affairs in the logistics sector in this contribution and calls for more, allpervading infusion of technology in the procurement of freight services.
Shipping costs are a major element and component in deciding your selling price. Shippers and consignees planning to survive 2023 and beyond need to embrace digital technologies to make their freight procurement and management faster, easier, cost effective and more efficient.
Is your overconfidence on your expertise costing you a lot?
Many of the logisticians worldwide are overconfident on their expertise in freight procurement and management. The processes that they follow did not change for several decades and it is adding to inefficiencies, increasing shipping & administrative costs and limited transparency and visibility.
Are you facing some or many of the following issues during your freight procurement and management currently?
• Dependency on a few regular freight forwarders for many years
• Email requests or WhatsApp to procure freight rates and long response time to get rates
• Rate comparison on excel sheet, noncomparable rates, hidden charges, additional charges
• Billing errors, billing delays, double billing, and duplicate payments,
• Lack of transparency in procurement of rates and award of shipments
• Limited visibility while tracking your shipments using Excel reports, accessing to multiple operating systems of different
suppliers, or sending emails or telephone calls
• Manual tabulation of data from different sources to get your logistics reports
• Manual documentation
• Limited supplier performance management
shipping rates from different service providers on different carriers and service levels. Users can search, compare, select, pay, route, and track their shipments under different Inco terms.
Get instant rates from Marketplace
Start now and be an earlier adopter of technology to stay ahead of the competition and industry evolutions. While digital freight solutions help you to reduce your shipping and administrative costs in addition to other benefits, it gives a new lease of life to logisticians worldwide.
LogisEye Freight Solutions
LogisEye provides and aggregator marketplace that connects different parties in the value chain making freight procurement and management simpler, faster, and cost effective.
LogisEye currently provides two digital freight solutions.
LogieBid: The marketplace for reverse auction/e-bidding solution. Registered customers can invite their existing service providers and additionally invite suppliers registered in LogisEye marketplace (optional) to get very competitive and all comparable shipping rates for shipments by air, ocean (FCL / LCL) and road (FTL / LTL) shipments across the world.
Customers got option to route and track their shipments under one platform with inbuilt electronic document management. Users can settle their agreed shipping costs either directly to the selected freight forwarders based on agreed credit terms or through LogisEye.
LogiQuote: Similar to Skyscanner for travel tickets, the LogisEye marketplace provides instant rates for freight and marine insurance.
LogisEye solutions provide rates in less than 10 seconds for airfreight and courier shipments where users can get instant
Instant freight rates, for both import and export, can be retrieved from the airfreight marketplace connecting UAE with top 50 countries, 1,500+ trade lanes. Rates can also be instantaneously for express deliveries in the courier marketplace comprising the UAE with 230 countries, for imports and exports, documents and parcels and spot dispatches.
Based on analysis, shipments below an average of 180kgs is cheaper to be moved by courier considering all different cost elements in moving shipment as airfreight. Using the company’s courier marketplace, users can get competitive courier rates from all three major global courier companies and other regional companies instantly.
Customers benefits
The following is a catalogue of advantages for adopting technology into the procurement realm:
• Large pool of freight forwarders in addition to your existing suppliers to get very competitive freight rates.
• Freight and marine insurance rates under one platform.
• Automated online freight requests and management, templates for regular trade lanes, sort, and filter options to accelerate your supplier selection.
• Accelerated response time, all comparable rates, online approval for any accessorial charges, billing accuracy, timely billing.
• Enhanced transparency and visibility, online tracking of all your shipments under one platform.
• Interactive dashboards, business intelligence reports and online supplier performance management.
• Electronic document management.
• Trade finance subject to approval from credit insurance.
The answer is to Go Digital, it’s faster, easier, cost effective and more efficient
Digital freight solutions can help customers in several ways
Cost Savings: Customers can find the most cost-effective shipping options by comparing rates from multiple service providers. This can help customers reduce their shipping and administrative costs and increase their profitability.
Data Driven Decision Making and Data
Analytics: Digital freight solutions help customers to make data-driven decisions as it can provide detailed data and analytics on their shipping operations. It will help customers identify trends, opportunities for improvement and inefficiencies in the process.
Automation to Improve Efficiency: By automating many of the processes involved in shipping and freight procurement including supplier/carrier selection, rate comparison, tracking and electronic document management, customers can
improve their efficiency in whole freight procurement and payment process, save substantial time and reduce the risk of errors.
Improved Customer Satisfaction: Digital freight solutions help to automate the process of sending shipping confirmations, delivery notifications, and tracking information to customers. In-built chat facility and virtual assistant provide a unique and compelling customer experience that help build customer loyalty.
Visibility: Real-time tracking and visibility into the status of their shipments allows customers to plan their operations more effectively and respond more quickly to any issues that may arise.
Increased Security, Transparency and Compliance: Digital freight solutions can help customers to set right processes to
comply with industry regulations, ensure enhanced transparency in their supplier and rates selection, security and integrity of their shipments.
Overall, digital freight solutions can help customers streamline and optimize their shipping operations, reduce costs, improve customer service, enhance transparency, and make data-driven decisions.
Vision
LogisEye’s Vision, as enunciated by Mathew, is to be the global leader in digital transformation accelerating and simplifying end-to-end logistics procurement. He goes on to elaborate that the company provides a digital platform that connects stakeholders delivering a more efficient, cost-effective and transparent logistics procurement process.
What is Digital Procurement?
Digital procurement, also known as e-procurement or electronic procurement, is the process of procuring goods and services electronically. This can include anything from online catalogs and marketplaces to request for quotation (RFQ) platforms, online auctions, and e-procurement platforms.
The main goal of digital procurement is to streamline the purchasing process and make it more efficient and effective. This is done by automating manual tasks, reducing errors and duplication, and increasing transparency throughout the process.
By digitizing the procurement process, organizations can enjoy a number of benefits, including reduced costs, improved efficiency, and increased transparency.
What is Digital Procurement Transformation?
Digital procurement transformation is the process of transforming your organization’s procurement function from a traditional, paper-based system to a digital one.
This transformation can be implemented in a number of ways, depending on the needs of your organization.
Digital transformation is inevitable in today’s business world. The competitive landscape is changing, and in order to survive, companies must adapt by leveraging new technologies.
One area that is ripe for digital transformation is procurement, as the process of procuring goods and services is still largely reliant on antiquated systems like paper or emails/spreadsheets.
Digital procurement transformation can help your organization save time and money, as well as improve efficiency and transparency.
The Evolution of Digital Procurement
Digital procurement has come a long way in recent years, thanks to advances in technology.
In the past, procurement was a manual process that was often time-consuming and error-prone. Relying on a pen and paper approach made it difficult to track spending, manage contracts, and keep tabs on supplier performance.
This led to errors and duplication and increased the chances for fraud and corruption. With the advent of digital technologies, however, procurement has undergone a rapid evolution.
Today, there are a number of software solutions that can automate and streamline the procurement process. These solutions make it easy to source suppliers, create and manage digital purchasing requests, issue purchase orders, and track invoices.
Implementing these solutions can help your organization save time and money, as well as improve efficiency and transparency.
dnata, Emirates Leisure Retail and SEGAP join forces with Zanzibar Airports Authority
Investment of over US$ 10mn creates 500 local jobs
dnata, recently celebrated the launch of its operations at Zanzibar Abeid Amani Karume International Airport (ZNZ) with its partners Emirates Leisure Retail and SEGAP, a joint venture between airport infrastructure and operations specialists Egis, and private equity fund manager AIIM (African Infrastructure Investment Managers).
The three companies will work closely together to deliver world-class services for airlines and passengers at the newly-built international terminal (T3) of ZNZ. The partnership is expected to significantly contribute to the government’s target of boosting its trade and tourism sectors.
The investment of dnata, Emirates Leisure Retail and SEGAP represents over USD 10 million and, to date, has created some 500 local jobs with the companies.
Partners
Emirates Leisure Retail has partnered with MMI as master concessionaire for all food and beverage, duty free and commercial outlets at T3. In collaboration with Eight Inc, the companies have created an innovative and immersive travel experience, ZOMA, designed to create a sense of place and extend the holiday feeling for passengers.
SEGAP entered into a 10-year technical partnership with Zanzibar Airports Authority (ZAA) to manage and operate Zanzibar and Pemba airports. The consortium will act as a long-term partner to help position Zanzibar as a leading tourism destination, improve airport performance across all fields and enhance airport infrastructure and services. The consortium will act as one project team for ZAA,
covering different airport management and operation aspects.
“We are confident that our investment, alongside our commitment to safety, quality and service excellence, will provide a major positive impact on Zanzibar’s transport, tourism and trade industries. This in turn will deliver significant benefits for the local community and businesses,” remarked Steve Allen, CEO, dnata Group and Chairman, Emirates Leisure Retail and MMI.
Strategic development
“We are delighted to continue our key role in ZAA’s strategic development in cooperation with the airport’s stakeholders, after a successful year of cooperation, where we have contributed to operational improvements to support the growth of tourism in Zanzibar,” commented Olivier Baric, Egis Aviation Director for Africa.
To establish operations, dnata has hired and trained over 340 local talent and deployed a fleet of more than 120 pieces of ground support equipment at ZNZ. The company will gradually expand its operations and team, and by 2024 expects to handle more than 4,000 flights annually with a team of over 400 aviation professionals at the airport.
dnata is also investing in a state-of-the-art facility to offer cargo services at the airport, supporting local trade and businesses. The cargo centre, which is scheduled for completion in 2024, will comply with the highest industry standards ensuring efficient and safe handling of a broad range of cargo, including perishables, pharmaceuticals, dangerous goods, live animals, aircraft engines and vehicles.
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GROHE expands its footprint in Saudi Arabia
Expands its operations in MEENA; Sales of HD Trucks up 35% in Qatar and 32% in Saudi Arabia
As part of its ambitious growth strategy in the Kingdom of Saudi Arabia, GROHE has partnered with the long-established Bayt Alebaa to showcase its latest breakthroughs, thereby reiterating its commitment to Saudi Arabia’s Vision 2030, the strategic framework for commercial growth and transformation, and contributing to its vibrant economic diversification.
GROHE, one of the global leaders and high-profile brands to reckon with in complete bathroom and kitchen fittings, has now forged a unique relationship with Bayt Alebaa, Jeddah, the Kingdom’s go-to destination for ceramics, marble, kitchens and sanitaryware—the largest ever showroom of its kind in the Kingdom. This is the firstof-its-kind showroom featuring GROHE’s exquisite designs, innovative sustainability solutions, and advanced technology.
The partnership with Bayt Alebba is characterized as another strategic move by GROHE as it consolidates both its presence and business involvement in the Kingdom. The showroom will display and highlight GROHE’s GET collection of faucets and many other of its iconic products and accessories available exclusively at Bayt Alebba.
Access to the GROHE range
In addition, consumers and businesses in the Kingdom will have access to GROHE’s comprehensive range of bestselling bath and kitchen solutions that have been specifically designed to meet sustainability and design standards, with their contemporary design and future-oriented functions.
“We are delighted to announce our
partnership with Bayt Alebaa in Jeddah, which will enable our customers to experience the beauty, elegance and cuttingedge innovation that defines GROHE’s products. Saudi Arabia’s rapid economic progress is spurred by new projects in real estate, hospitality, and public infrastructure,” affirmed Fawzi Dernaika, Leader, KSA & LIXIL EMENA.
“We are proud to support this strategic growth with a strengthened product portfolio for consumers as well as the commercial and residential sector, which will be showcased in Jeddah. Our vision is centered on delivering smart and some of the most innovative solutions for our customers in the Kingdom and beyond,” he further asserted.
Also present on the well-attended occasion were Shuja El Sibai, Trading Manager, Bayt Alebba; Ali Ragheb, KSA Activation Manager-LIXIL EMENA and Gita Ghaemmaghami, Leader Communications and CR MENA, LIXIL EMENA.
Following the launch of GROHE’s partnership with Bayt Alebba, many Saudi consumers can now enjoy access, up close and personal, with GROHE products that champion sustainable and responsible water consumption, a press communique stated.
Championing sustainability and zero emissions
GROHE’s Saudi expansion is also aligned with the Kingdom’s key objectives in Saudi Vision 2030 to reach net zero emissions by 2060 through new investments in energy and water conserving technologies.
GROHE’s range of products offers contemporary designs adapted to suit modern lifestyles and sustainability demands – such as touchless faucets that can reduce water consumption by up to 70% and contribute significantly towards green accreditation. In the last ten years alone, GROHE has received over 300 design and innovation awards as well as several top rankings as one of Germany’s most sustainable large brands.
Prominent global brand
GROHE is a leading global brand for complete and durable bathroom solutions and kitchen fittings in 150 countries. Since 2014 GROHE has been an eminent part of the strong brand portfolio of LIXIL, the Japanese manufacturer of pioneering water and housing products.
Focused on customer needs, GROHE creates dependable, intelligent, lifeenhancing and sustainable product solutions that offer relevant added value and bear the ‘Made in Germany’ seal of quality, R&D and design—attributes that are firmly anchored and ingrained as an integrated process in Germany.
Bayt Alebaa is a specialized Saudi Arabian company that provides high-quality cladding and finishing solutions since the mideighties. The range of products offered by Bayt Alebaa to customers includes sanitary ware, ceramic and porcelain, Italian kitchens, decoration, parquet, wallpaper, installation materials, all under one roof, across its showrooms in the Kingdom.
Global Supply Chain conducted an exclusive, one-one-one, with the ebullient and enthusiastic Fawzi Dernaika, Leader, Kingdom of Saudi Arabia, LIXIL MENA and GROHE EMENA, in the glittering and gleaming dedicated GROHE showroom in Bayt Alebba, following the formal inauguration, addresses by officials from GROHE, LIXIL and Saudi architect and designer Khalid Hashim, founder of KH Elite
Architecture, a champion of quality local resources and a close collaborator with GROHE.
The following are transcripts of the interview.
Global Supply Chain (GSC); Characterize the relationship and partnership between the LIXIL Group and GROHE?
Fawzi Dernaika (FD): LIXIL, the Japanese water technology company and a leader in the field of plumbing fixtures acquired a major shareholding in GROHE in January 2014. GROHE is now listed as a LIXIL subsidiary and an affiliate company. GROHE is a prominent and prestigious brand within the wider LIXIL Group.
The GROHE ethos is centred around our motto to make life better for our customers and to harness technology to the advantage of our users. We enjoy an amicable relationship and reinforce strengths on account of our partnership.
GSC: How significant is the MENA region and the Kingdom of Saudi Arabia particularly for GROHE?
FD: GROHE is well entrenched in the Middle
East North Africa (MENA) region with a strong geographical footprint. The region is very significant for us and we foresee good growth potential. We continue to grow from strength to strength.
Saudi Arabia today is a remarkable story of success, vision, and ambition. As a global leader in the sanitaryware industry, GROHE brand is proud to support this transformation, and serve the Kingdom. The Kingdom has always been an integral and important part of GROHE’s strategy.
We remain dedicated to fulfilling the goals outlined in Saudi Vision 2030, by supporting its priority sectors, especially hospitality, entertainment and housing and fulfilling the Saudi population’s demands for quality, technology, design and sustainability.
As Saudi Arabia is one of the largest consumer markets for sanitary ware, faucets and general sanitary equipment in the world and the largest market in the GCC, GROHE is well positioned to take part in the kingdom’s construction. We aim to be the leading
bathroom solutions and kitchen fittings provider in Saudi Arabia, with differentiated product lines to meet specific customer demands.
With our recent partnership with leading kitchens and sanitaryware destination Bayt Alebaa, we have expanded our footprint and looking forward to strengthening our connections with our customers. GSC: What do you attribute the GROHE success to?
FD: Brand GROHE is a household name and regarded as durable and reliable in the business community offering valuefor-money propositions. What defines and sets GROHE apart is technology, innovation, sophistication and our deeply embedded GROHE corporate value system, committed to creating the finest products that surpass customer expectations. .
Growing GROHE in Saudi Arabia
The Kingdom is a priority market for the pre-eminent German brand
Global Supply Chain was especially invited and present at the recent launch of the GROHE flagship store and showroom, the largest in the Saudi Arabia, in Bayt Alebba, the prominent bathroom and kitchen accessory repository in Jeddah, the Kingdom’s Red Sea bustling commercial port city.
GSC: How are the current market conditions looking for GROHE in Saudi Arabia?
FD: Market potential for GROHE in the Kingdom looks promising and we are optimistic about the future going forward. We anticipate further growth in business going forward.
GSC: In June 2022, GROHE established a new Regional Distribution Centre (RDC) in Dubai Logistics City…in partnership with Kuehne + Nagel. GROGHE currently has three Regional Distribution Centres (RDCs) in Dubai, Egypt and Turkey—do you plan to set up more?
FD: Currently, we do not anticipate setting up additional RDCs in the region or in Saudi Arabia and will professionally evaluate the requirement and viability. Our current network adequately serves us well but we continually monitor and review our processes and evaluate efficiencies in our system. Decisions are made if we can justify the case.
GSC: How did GROHE fare in 2022 relative to 2021, and what is your outlook for 2023?
FD: Our financial numbers for 2022 are good and we are very buoyed by our performance. We fully intend to maintain this momentum going forward in 2023.
GSC: Do you envisage production / manufacturing prospects in the region?
FD: This is an interesting question, and the short answer is I will not commit one way or another. I don’t rule out the possibility either for the long term.
As a pioneering company with high production and durability and reliance standards we have to professionally make a good case and carefully examine the ramifications of this move. It is based on multiple parameters including costs, investments, compliance, sustainability regulations, productions processes and a whole host of other considerations.
Suffice to say GROHE always takes these considerations seriously and evaluates and
Since 2014 GROHE has been an eminent part of the strong brand portfolio of LIXIL, the Japanese manufacturer of pioneering water and housing products.
vets all factors before taking decisions of this nature and magnitude. I guess in short we will cross the bridge when we get there…in a manner of speaking.
GSC: Talk to us about GROHE’s CSR and Sustainability endeavours including water conservation and UN Sustainability Development Goals (SDGs)?
FD: GROHE is deeply committed to our CSR goals that include adhering to water conservation and the United Nations SDGs. Furthermore, GROHE is constantly developing and improving water technologies that meet our environmental sustainability goals.
GROHE offers a number of opportunities for consumers to reduce their environmental footprint, for instance, GROHE’s water-saving
Fawzi Dernaika
Leader, KSA, LIXIL MENA
Fawzi Dernaika has worked with GROHE since 2016. Currently, Leader, KSA, MENA; Fawzi develops, leads, and drives GROHE’s channel management strategy, cultivates relationships with customers in the region, manages national accounts, drives new business development, and specializes in full-scale project management, including budgeting, team management and establishing internal processes.
Known for his dynamic leadership style, exceptional problem-solving and analytical skills, Fawzi brings more than 17 years of experience to the role. He has built, led, and inspired teams to succeed and has a deep knowledge of the Saudi Arabia market.
Seasoned business development and project management professional, Fawzi has several milestones to his credit in achieving and exceeding sales forecasts while streamlining operations to increase efficiency, team motivation and profitability.
Fawzi holds a bachelor’s degree in Computer Science from the University of Balamand in Lebanon.
EcoJoy technology used in showers delivers the same luxurious showering experience while reducing water consumption.
GSC: What is your vision (short term & long term) for GROHE in Saudi Arabia?
FD: As the official at the helm for GROHE in the Kingdom of Saudi Arabia, I am mindful of the tremendous responsibilities I carry and will do my best to vindicate the trust reposed in me.
One of the top priorities for GROHE is sustainability which is now our corporate credo. We are deeply committed to reducing and even possibly eliminating our carbon footprint in the long run.
Zero carbon emission is our goal and we are confident we will fully comply with the ambitions of the Saudi Vision 2030 to attain these aspiring targets.
LIXIL aims to achieve world-leading technology and innovate to make high quality products that transform homes through meaningful design, an entrepreneurial spirit, a dedication to improving accessibility for all and responsible business growth.
GSC: What distinguishes the GROHE name?
FD: Focused on customer needs, GROHE creates intelligent, life-enhancing, and sustainable product solutions that offer relevant added value, as every product is based on the brand values of quality, technology, design, and sustainability thus mastering breakthroughs in the industry.
As regards quality, GROHE looks for an excellence that goes way beyond the surface
GROHE local collaboration:
To amplify its message of sustainability across the Kingdom and strengthen its relationship with Saudi society, GROHE brand is connecting with influential Saudi talents. The company teamed up with the Saudi architect and designer Khalid Hashim, founder of KH Elite Architecture. A champion of quality local resources, Khalid is a close collaborator with leading brands that translate important innovations in the best and most efficient way possible. Thus, GROHE’s collaboration with him is built on shared values and mission. Khalid is excited to incorporate the latest GROHE technologies and solutions in his designs.
of the products. In fact, from design to production and customer service we aim for nothing less than perfection at every stage. GROHE’s history of great German engineering, severe internal tests and numerous external certification processes are what gives the customers complete confidence in a name they can trust.
On the technology front, GROHE aims for the best ways of technological innovation, and works to take part in the latest digital advances by creating smart solutions that enhance customers’ experiences. GROHE’s team of in-house experts looks for ways to make the consumers experiment enjoyable, even when it comes to water.
GSC: What is GROHE’s marketing strategy for the GCC markets?
FD: GROHE brand has been committed to creating exceptional experiences for its consumers and to delivering the best with its engineering, innovation and design activities which strengthens the customers’ confidence in the brand.
It is GROHE’s commitment, to introduce more sustainability in the GCC, as the products work on conserving water, energy, and other natural resources across the value chain from procurement through production, distribution, end use, and product disposal.
GROHE brand is delighted to introduce this practice in the GCC, as they are seeking
Bayt Alebaa
long-term partnerships within Saudi, to support the nation with products that deliver sustainability, profitability, and efficiency.
GROHE brand also looks forward to increasing the opportunities offered by Saudi Arabia’s booming construction sector and pave the way to creating new innovations. GROHE is proud to support the Kingdom’s ongoing transformation, guided by the ambitious Saudi Vision 2030, as it sees tremendous potential for growth in Kingdom’s federal housing program and its robust hotel supply pipeline.
GSC: What differentiates GROHE from its competitors, and what will it add to the Saudi market?
FD: Construction output growth in Saudi Arabia is anticipated to rise by 3.2 percent in 2022, with a further annual average growth rate of 4 percent between 2023 to 2026 as indicated by Global Data. Quality construction is only possible with high quality specifications.
With GROHE, our Saudi Arabian customers are assured of an exceptional product experience.
As experts in water technology, it is our mission to develop superior products with outstanding features. Just like cars, showers have engines too. The exceptional quality, precision and sheer number of internal parts set GROHE showers and faucets apart from those of our competitors.
Bayt Alebaa is a specialized company that provides the best cladding and finishing solutions since the mid eightes as it follows the concept of ‘Raising the quality of life in society’. Bait Al Ebaa provides a unique finishing and building experience that gives its customers the space to express themselves and their unique choices based in the latest lines and best materials in the market.
GROHE
GROHE is a leading global brand for complete bathroom solutions and kitchen fittings and has a total of over 6,500 employees in 150 countries around 2,600 of them are based in Germany.
To offer ‘Pure Freude an Wasser’ (Pure Joy of Water) every GROHE product is based on the brand values of quality, technology, design and sustainability.
Focused on customer needs, GROHE creates intelligent, lifeenhancing, and sustainable product solutions that offer relevant added value and bear the ‘Made in Germany’ seal of quality: R&D and design are firmly anchored as an integrated process in Germany.
In the past ten years alone, more than 460 design and innovation awards as well as several top rankings at the German Sustainability Award have confirmed GROHE’s success: GROHE was the first in its industry to win the CSR Award of the German Federal Government.
All GROHE products come with a seal of exceptional quality, having gone through numerous quality and endurance tests before they go on sale. Our brassware, showers and thermostats and all the components that go with them have to endure the simulated effects of 20 years’ daily use – with especially hard water.
GSC: What is GROHE’s regional expansion and business outlook for this year? What is in the future for GROHE?
FD: As the global demand for commercial and residential real estate grows, along with government-led efforts to improve sanitation standards, there are ample growth opportunities for the market.
There is a definite trend towards more luxurious products. GROHE are committed to work with regional partners in the upcoming years to deliver seamless and sustainable designs to support sustainability and growth throughout the globe.
The rise and impact of virtual teams
The plethora of ever-changing technological innovations is vastly transforming the way we do business. In today’s heavily digitalized world, data-driven decision-making can help enterprises keep up with constant customer demand, from manufacturing and financial operations to supply chains., opines
Jadd Elliot Dib, Founder & CEO, Pangaea X.At PangaeaX, we believe that data should be accessible and open to all. That’s why we’ve created a community where people can come together to share and discuss data topics.
Whether you’re a researcher, a data scientist, or simply someone with a passion for data, PangaeaX is the place for you. Our goal is to create a system where people can post data for free, fostering a spirit of collaboration and an open exchange of ideas. Together, we can use data to better understand the world around us and drive positive change.
Virtual teams
One of the most exciting developments in recent years has been the rise of virtual teams. Thanks to advances in communication and collaboration technology, we are now able to assemble teams from all around the world and work together seamlessly, regardless of location.
With our virtual teams’ feature, our clients can bring together experts from all over the world to work on a project without the need for physical meetings or office space. This not only saves time and money but also allows companies to tap into a wider pool of talent and knowledge.
Our upgraded version of virtual teams enables freelancers to collaborate, build their own teams, and bid on larger-scale projects where multiple skills and expertise are required.
The enhanced ‘teams’ version of the Pangaea X platform enables freelancers to build a team in three steps: by viewing a freelancer’s profile, matching the project requirements with the freelancer’s skillset, and finally inviting the data expert to join their team.
Benefits
Virtual teams also offer a host of other benefits, including increased flexibility and productivity as well as the ability to tap into diverse perspectives and experiences. This can lead to more innovative solutions and better outcomes for our clients.
At PangaeaX, we are proud to have embraced this technological innovation and have seen firsthand the positive impact it has had on our business. We believe that virtual teams are the future of work, and we are excited to see what the next generation of technology has in store for us.
In addition to virtual teams, we are also implementing cutting-edge technologies such as artificial intelligence to help our clients make sense of their data in new and innovative ways. We are committed to driving the future of data analytics and providing our clients with the tools they need to succeed.
The virtual teams feature is just one example of the innovative technologies we are bringing to the table. We look forward to continuing to push the boundaries of what is possible in the field of data analytics.
most vital global trade routes At the crossroads of the
King Abdullah Port is a key node in facilitating the Kingdom’s trade with the global markets
The pivotal objective at King Abdullah Port is to provide an excellent range of supply chain solutions, on both a regional and global scale, in line with the mission of Saudi Arabia’s National Transport and Logistics Strategy.
King Abdullah Port is located at the crossroads of the most vital global trade routes, interlinking three continents.
King Abdullah Port, situated on the Red Sea coast, is the Kingdom’s strategically located port that contributes to the achievement of its ambitious Saudi Vision 2030 by virtue of building a prosperous competitive economy with diversified income streams.
Besides its strategic location on the world map, its location at the local level is of no less importance. King Abdullah Port covers 17.4sqm of King Abdullah Economic City, 90 km north of Jeddah, the second largest city in the Kingdom, and its main trade centre.
The port location represents a vital element in the integrated transportation network of the Kingdom, as it is connected through a network of highways to many major and industrial cities, including Rabigh and Yanbu, which are witnessing a significant trade movement in petrochemicals in addition to being adjacent to the Industrial Valley, the latest and largest industrial area, according to a corporate posting.
Jay New is the current CEO of King Abdullah Port. He has over 20 years’ experience in port, shipping and logistics, most recently as CEO and General Manager of IPS / Hutchison Ports Dammam.
New’s earlier experience includes a board position at Gulftainer, and senior positions at Maersk. New oversees dayto-day operations of the Port and lead its long-term growth and development.
Global Supply Chain conducted an email interview recently with Jay New. The following are transcripts of that interview.
Global Supply Chain (GSC): As the newest port in the Kingdom of Saudi Arabia, talk to us about the strategic importance and potential of King Abdullah Port?
Jay New (JN): King Abdullah Port is a key contributor to Vision 2030’s objectives of achieving a more diverse and dynamic economy, helping to solidify the Kingdom’s position as a vital trade gateway to regional markets through multifaceted operations and thus was awarded the first position among 443 container ports globally according to the World Bank Container Ports Performance Index for the year 2021. By continually improving our services, we strive to be an enabler in the development of the logistics sector.
In alignment with the goals of Saudi Arabia’s strategic framework, King Abdullah Port constantly acts to set national benchmarks regarding the capacity and functionality of ports domestically. Thus, the port is a key node in facilitating the Kingdom’s trade with the global markets.
Our objective at King Abdullah Port is to provide an excellent range of supply chain solutions, on both a regional and global scale, in line with the mission of Saudi Arabia’s National Transport and Logistics Strategy.
Within the current state of Saudi Arabia’s vibrant economic development and diversification measures, we take great pride in our potential to actively support trade and commerce in the Kingdom for decades to come.
Moving forward, King Abdullah Port embraces its strategic position to assist in transforming the Kingdom into a global logistics hub that connects three continents.
GSC: How is the proximity to King Abdullah Economic City advantageous for King Abdullah Port?
JN: With its strategic location in King Abdullah Economic City (KAEC), a modern city with a pro-business ecosystem and infrastructure, King Abdullah Port leverages KAEC’s advanced facilities and services which has attracted many logistics projects as well as light and medium industries.
King Abdullah Port’s ongoing initiatives work cohesively to help facilitate domestic import and export, seamlessly guiding the flow of container goods by way of the port’s proximity to KAEC, which is presently home to more than 100 multinational and Saudi companies.
seamless & efficient service for the newly established electric vehicles factories of Lucid and CEER.
GSC: How do you assess the growth of King Abdullah Port to date since its inception in 2010?
JN: Established in 2010 as the first privately owned, developed, and operated port in the Middle East, King Abdullah Port initially began transshipment operations in September 2013, and transitioned into full operations in January 2014.
In nine years of operations, the port has utilized its world-class infrastructure to deliver unique advantages to both importers and exporters. In less than a decade, a range of port-wide enhancements and initiatives have allowed King Abdullah Port to develop significantly and pin itself on the global logistics maps.
When observing the port’s timeline of operations, nearly every year has been marked with an achievement or special accolade, demonstrating our continued commitment to excellence and development.
In 2020, King Abdullah Port recorded a 6.6% increase in container throughput, and achieved a remarkable 16% increase in the number of imported containers compared to the previous year. We were also successful in achieving a 12.4% increase in bulk cargo and 15% increase in general cargo during 2021.
King Abdullah Port’s location within KAEC and proximity to KAEC Industrial Valley offer a valuable strategic advantage to businesses. Companies operating in various industries have a base near the port which gives them direct access to extensive external transportation facilities, which include an ultra-modern highway network and the new Haramain High-Speed Railway.
King Abdullah Port and KAEC are currently collaborating to upgrade the port’s telecommunications infrastructure to 5G, utilizing the shared, existing resources which include telecommunication ducts and cellular towers. This will enable King Abdullah Port and KAEC’s businesses to implement 5G-based advanced solutions regarding security, operations, and marine services. In addition to launching our Roll on Roll off services which will provide a
These remarkable results were achieved despite the year’s global challenges due to the Covid-19 pandemic.
Further solidifying our position as one of the fastest-growing ports in the world and the leading port in the Middle East region, the port was ranked 84th among the top 100 container ports in the world, according to the 2021 edition of the prestigious Lloyd’s List One Hundred Ports. By the close of the year, King Abdullah Port recorded an outstanding 31% increase in container throughput.
Similarly, 2022 has been a calendar performance year for King Abdullah Port with our winning of the ‘Second Fastest Growing Port in the World’’ Award in April 2022. This is the second time the port has received this recognition in four years, according to Alphaliner.
Our position as one of the fastest-growing ports in the world and the leading port in the Middle East region, the port was ranked among the top 100 container ports in the worldin the 2021 edition of Lloyd’s List One Hundred Ports.
In May 2022, King Abdullah Port reached a milestone of handling 15 million TEU in a record amount of time since container terminal operations commenced nine years ago. The same month, in a remarkable global achievement, we rose in position from second place in 2020 to first position in 2021, officially becoming the most efficient container port in the world, according to the Container Port Performance Index published by The World Bank and S&P Global Intelligence.
GSC: Briefly describe the equation between King Abdullah Port and Ports Development Company?
JN: Ports Development Company (PDC) is the owner, developer and operator of King Abdullah Port, which is the company’s flagship project.
PDC also manages Specialised Marine Services (SMS), a joint venture company established in 2013 between PDC and the National Container Terminals.
SMS is the primary supplier of marine services, such as vessel towage, in King Abdullah Port. Its team includes highly qualified and skilled mariners with vast experience in dealing with the largest international vessels, the majority of which have visited the King Abdullah Port.
Many of those mariners hired to work in the marine services department are ambitious Saudi youth who undergo periodic training in accordance with the highest international standards. In addition to their continual professional development on the job, they also proudly hold a record of zero on-site accidents.
Currently, PDC’s primary focus is on King Abdullah Port. The company’s emphasis on the port has greatly attributed to the major contributions we have made thus far, boosting the volume of non-oil exports and helping cement the Kingdom’s position as a global logistics hub.
With that being said, we were, alongside our stakeholders, the first to engage in
knowledge exchanges outside the Kingdom with other successful global ports. The lessons learned thus far have been extremely beneficial and will be valuable in ensuring PDC’s and King Abdullah Port’s long-term growth and commercial continuity.
GSC: How did the King Abdullah Port fare in 2021 in terms of annual throughput in TEUs—incoming, outgoing and transshipment, vessels movement?
JN: 2021 presented several unpredictable circumstances from socioeconomic issues and regional conflicts to the COVID-19 pandemic. Throughout the year, King Abdullah Port was able to demonstrate its capability to remain agile, in recognition of our role to help facilitate the transport of valuable goods and products.
The port’s impressive performance came amid ongoing global market challenges, reflecting our growing operational capabilities as well as the Kingdom’s rising prominence as a global maritime hub.
King Abdullah Port continued its impressive growth in 2021, achieving a double-digit increase in throughput and winning multiple global recognitions that I mentioned earlier, including the first position in the CPPI report. We also successfully introduced an international in-transit cargo service supported by inland transportation between Saudi Arabia and the GCC countries, reducing the lead-time and costs significantly.
What we attribute our success to is an unrelenting desire to best serve our customers, and that desire directly leads to fantastic operational results. To remain a leader in our industry, we recognize its vital to utilize high-end equipment, make our port more seamless through automation and continually identify ways to empower our team members with the skills to thrive.
I believe that all our quantitative results come by focusing on quality and loyalty to our corporate values; being trustworthy, being straightforward, staying progressive
and remaining solution oriented.
GSC: What is the area coverage and the current handling capacity & activity and other vital data at King Abdullah Port?
JN: King Abdullah Port occupies an area of 17.4 km2 and holds an annual handling capacity of 5.5 million TEU and a capacity of 6,000,000 metric tons of bulk cargo in addition to 200,000 vehicles. In accordance with our master development plan and ongoing infrastructure construction initiatives completed, we will be equipped to handle 25 million TEU, 25 million tons of bulk cargo, as well as 1.5 million CEU per annum.
King Abdullah Port’s container terminals are well equipped to handle the growing size of mega ships on its 18 meters depth of berths, which can potentially create capacity challenges.
We also recognize our leading role in helping Saudi Arabia seamlessly receive a variety of goods to ensure consumer needs are met domestically. Through our bulk, agri-bulk & general cargo terminal, the port continues to streamline its operations to ensure cost-effective handling solutions, expediting the import of building materials, agricultural goods, raw materials and other key commodities.
In consideration of the rising need for Ro-Ro services, King Abdullah Port’s fully equipped RORO terminal is readily able to import, export and reship cars and other wheeled vehicles to global markets.
GSC: How is King Abdullah Port equipped in terms of port equipment—container cranes Panamax, post-Panamax & SuperPanamax & other machinery?
JN: King Abdullah Port’s container terminals have been fitted to accommodate 18-m depth and possess the largest cranes in the world, reaching a span of 25 TEU, with a capacity of 65 tons.
These superstructures, backed up with amble container storage, will allow the port to efficiently handle ultra-mega vessels with a capacity of over 23,500 TEU. Designed with its own power supply, King Abdullah Port’s container terminal is well equipped to cater to the needs of an evolving industry in a sustainable manner.
King Abdullah Port’s bulk, agri-bulk &
King Abdullah Port occupies an area of 17.4 km2 and holds an annual handling capacity of 5.5 million TEU and a capacity of 6,000,000 metric tons of bulk cargo in addition to 200,000 vehicles.
general cargo berths are set to connect to its Processes and Services Zone via conveyer belts and roads. At completion, the facility will be optimized for industries which import raw material and offer automated methods of transport. The terminal will be served by a dedicated service gate when finalized.
With our dedicated bulk terminal equipped with berths of 1,420 meters at depths of 14 meters, we can act as a key enabler to ensure the Kingdom’s food security while utilizing our capabilities to handle foodstuffs in large quantities.
Supported by our high-grade facilities, King Abdullah Port actively serves a market of nearly 400 million consumers in the MENA and East Africa regions.
GSC: What USPs and advantages does King Abdullah Port offer and how vast is its hinterland?
JN: King Abdullah Port’s unique selling points are numerous, the most notable being the fact the port forms part of KAEC, in addition to our direct access to connect through an extensive network of highways. King Abdullah Port also offers connected access to important commercial centers across Saudi Arabia and further along to the remainder of GCC countries.
King Abdullah Port has presented a very favorable case for PPP and its potential to advance the cause of the country. We take pride in our title as the first privately developed, owned and operated port in the Middle East, with private investment exceeding SAR 10 billion. We are currently supported by a single government regulator, the Economic Cities and Special Economic Zones, which greatly streamlines our ongoing development and operations. With state-of-the-art processing facilities and a fully integrated Port Community System, King Abdullah Port is already handling a rapidly increasing number of mega-sized cargo ships, with around-theclock clearance for incoming cargo, and is well on its way to meeting its goal of becoming one of the top ports worldwide.
GSC: What are your expansion plans for King Abdullah Port and are you hoping for more shipping companies to use the port?
JN: King Abdullah Port is carefully
proceeding with the implementation of its roll-on/roll-off (RORO) plans, which include the construction of five RORO berths. Once fully operational, these berths will provide a total capacity of 1.5 million CEU per year, making King Abdullah Port the regional leader in RORO cargo.
The presence of the food and pharmaceuticals sector at King Abdullah Port is also expanding. Enormous reefer racks along with temperature-controlled storage facilities have been installed and the Saudi Food & Drug Authority has established facilities at the port along with more than 17 other governmental entities.
On the business enhancement front, Zakat, Tax and Customs Authority is establishing a larger presence, which contributes to eliminating any unnecessary delays in processing cargo.
As a further improvement to reducing dwell time, the implementation of the Smart Gate system facilitates the process of cargo entry and exit automatically, in addition to pre-booking services for delivering and receiving goods, contributing to effective operations.
Our sights are set on being a leader within our industry and aim to set the right example for efficient port operations across the world.
GSC: What opportunities and challenges do you foresee for the King Abdullah Port for the short & long-term futures?
JN: There are a variety of opportunities that predict a positive future for King Abdullah Port, beginning with the upcoming introduction of Special Economic Zones (SEZ) across Saudi Arabia. Within these SEZs, we will have an opportunity to entice companies with unified regulation standards and several fee exemptions.
Additionally, the Saudi Landbridge Project, once built, will provide a fast rail connection to Riyadh, Dammam and the rest of GCC countries.
The Covid-19 pandemic’s knock-on effects lingered well into 2021 and King Abdullah Port, as with many seaports around the world, faced numerous challenges including unprecedented disruptions to global supply chains, a steady rise in freight rates,
market changes, and our objective is set on remaining as agile as possible. The ongoing recession may present disruptions, specifically in consideration of global supply chains, however, we are confident in our ability to navigate operational hurdles.
GSC: What is your broader vision for King Abdullah Port going forward?
JN: Looking ahead, King Abdullah Port is focused on continual improvement, measured against our success. Our aims, goals and activities in the future are rooted in what we have been able to achieve thus far.
Our participation in major local, regional and international maritime and logistics events is a measure to stay constantly aware of developing trends and help facilitate the transfer of knowledge domestically. King Abdullah Port’s achievement of being ranked the most efficient port in the world in less than a decade is a great win for the entirety of our team and mirrors our commitment to attention to applying the lessons we have learned.
By merit of our advantageous position and connection to Makkah and Madinah, in addition to Jeddah, the main trade center in the Kingdom, we embrace our role in delivering needed products for the people of Saudi Arabia. Moving forward, we will continue to empower our people, with plans to continue local, regional and international training programs ranging from IT to engineering, to upskill our valued staff.
Our deep commitment to the ambitious Vision 2030 framework, as well as the national strategies and initiatives, drives our efforts to place Saudi Arabia on the global stage as a pivotal logistics hub, facilitating the growth and diversification of the economy in the process. We are confident that 2023 will bring us more opportunities and success.
Al Masaood CV&E showcases sustainable waste management solutions at EcoWaste 2023 in Abu Dhabi
Al Masaood Commercial Vehicles and Equipment (CV&E) recently showcased their latest environmentally friendly UD Trucks and Renault trucks
Al Masaood CV&E participated in the recently concluded EcoWaste Exhibition and Forum 2023 in Abu Dhabi to showcase the latest environmentally friendly trucks from global brands UD Trucks and Renault Trucks that offer sustainable waste management solutions.
The division, part of Al Masaood Group, is the sole distributor of UD Trucks and Renault Trucks in Abu Dhabi.
“The displaying of UD Trucks’ and Renault Trucks’ products at EcoWaste 2023 directly reflects on our pledge towards a sustainable future,” explained Mohammad El Zeftawi, General Manager of Al Masaood CV&E.
Sole distributorship
As sole distributor of Renault Trucks, the division showcased Renault Trucks K480 Euro 5 Evolution with Optidriver Gearbox, which will soon operate in the national capital as part of Al Masaood CV&E’s
partnership with Abu Dhabi Waste Management Centre, TADWEER.
Renault Trucks’ K-Range Tractor Head 6x4, is a EURO 5 Enhanced Environmentally friendly Vehicle (EEV), producing engine power of 480 HP with a high efficiency of fuel consumption for vehicles operating on tough road conditions.
“Renault Trucks is well-established as one of Europe’s leading suppliers of truck solutions for the waste management sector and has been forging a significant presence in the region with over 400+ units already running in the UAE in this segment,” affirmed Guillaume Zimmermann, Commercial Director of Renault Trucks Middle East.
Al Masaood CV&E displayed UD Trucks’ flagship MD Croner model, PKE 19T chassis equipped with 16 CBM Compactor, among others.
Waste Management
With these advanced and unique spec, UD Trucks is leading the way to lift the productivity level in waste management from MD Trucks. With these advanced and distinctive specifications, UD Trucks is paving the way to enhance the productivity in waste management. The division will also be providing the full range of UD Trucks Quester and Croner in the market with Euro 5 emissions, Automated/Automatic transmission, and latest advance driver display, amon g many other advanced features available for the full range of trucks.
“Since few years now, UD Trucks is becoming a leader in the waste management sector in the UAE, and we are proud to be supporting some of the biggest waste management companies in the region along with our long-trusted partner Al Masaood,” commented Mourad Hedna, President of UD Trucks, MEENA.
GWC celebrates FIFA World Cup Qatar 2022TM success
The World Cup made Qatar the center of the world for that one month 2022 was a year of triumph, and it culminated in an unforgettable celebration: the best FIFA World CupTM in history. The State of Qatar is now savouring success in the aftermath.
For GWC, the leading logistics provider in Qatar, the smooth conduction and the streamlined passage of the games was an endorsement of the company’s confidence in delivering seamless logistical execution of hosting the FIFA World Cup Qatar 2022TM.
GWC celeabrated the success with honoring the outstanding team delivering on the 2022 commitment to deliver glory. This recognition comes from the company’s ethos in the importance of appreciating every sincere work and distinguished effort.
“Delivering the World Cup was a huge and complex logistics mandate and required immense coordination, agile
execution and quick thinking, and the GWC team delivered on all counts. The team serves with so much dignity and pride in what they do,” stated Shaikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani, Chairman, GWC.
Human-centred supply chain
“A human-centered supply chain model has been at the heart of GWC since the very beginning in 2004. Port executives, skilled warehousemen, packing specialists, delivery drivers, installation crew, inventory experts, quality supervisors, safety experts and line managers to name a few. Building a strong people-driven workforce of 5,000+ spread across diverse geographies around
the world and seasoned to tackle logistical challenges at scale,” asserted Ranjeev Menon, Group CEO, GWC.
GWC’s workforce occupies an important part of the company’s mandate for employee welfare. For this very purpose, GWC had set up a fan zone during the FIFA World Cup Qatar 2022TM for all the GWC staff which witnessed a huge turnout throughout the tournament and gave the employees a sense of what they have worked to achieve.
The fan zone featured live screening of all the FIFA World Cup Qatar 2022TM matches, bringing them closer to the actual event and echoing the ambience of the stadiums, a press statement concluded.
Emerson breaks ground for new Innovation and Manufacturing Hub in SPARK
New facility will further strengthen local manufacturing capabilities
The global technology, software and engineering powerhouse Emerson will build a state-of-the-art innovation and manufacturing hub at the King Salman Energy Park (SPARK) in Saudi Arabia, further expanding Emerson’s local capabilities. The facility will be one of the largest investments in the Middle East and Africa region for the company.
The facility, which is slated to open by December 2024, will provide industrial customers in the region with services for control systems engineering, staging and testing, manufacturing of differential pressure (DP) transmitters and control valves, pressure relief valve assembly and solenoid valve assembly, Emerson said in a press statement.
Continued commitment
The project demonstrates Emerson’s continued commitment to its customers and stakeholders in Saudi Arabia as the company prepares for rapid local manufacturing expansion in the region. The new facility will be developed in accordance with the environmental sustainability principles to support the company’s net zero emission goals, while also adhering to SPARK’s environmental sustainability standards.
Emerson’s construction of an innovation and manufacturing hub at SPARK aligns with Saudi Arabia’s ‘Saudi Vision 2030,’ a strategic framework to promote local content and improve localization. The Saudi government’s initiatives are designed to reduce the country’s reliance on imports, while supporting the development of domestic capabilities in a range of sectors, including manufacturing, technology and services.
“Our state-of-the-art innovation and manufacturing facility at King Salman
Energy Park propels our expansion strategies in the Middle East and Africa region,” remarked Lal Karsanbhai, President and CEO, Emerson. “This investment represents a significant milestone in our mission to provide quality and reliable services for our customers in Saudi Arabia,” he added.
Net zero emissions
“The new facility is positioned to offer our range of services to customers, while also supporting the company’s net zero emission targets,” commented Vidya Ramnath, President, Emerson Middle East
and Africa.
Attendees at a groundbreaking ceremony held at SPARK also included Hussein Zein, VP and GM, Emerson Saudi Arabia and Bahrain; Nabil Chaachou, VP Strategy & Business Development, King Salman Energy Park, and senior executives from Saudi Aramco.
“Our partnership with Emerson is another step in our commitment to championing the localization of the value creation through dedicated industrial development that contributes to the local GDP, generates job opportunities, and supports socioeconomic advancement in the Kingdom,” stressed Chaachou.
Qatar Airways Cargo flies high in 2022
With an overall tonnage of more than 1.7mn tonnes in 2022, Qatar Airways Cargo serves more than 170 destinations, of which 70 have a dedicated freighter service, ten more than in the pre-Covid period, Qatar Airways Cargo can boast an impressive growth last year.
Qatar Airways Cargo has performed well in 2022. The carrier successfully managed a broad range of demanding shipments. With an overall 84,000 tonnes of pharmaceutical products transported, including 4,000 tonnes of vaccines and over 1200 tonnes of Covid vaccines, the cargo carrier has maintained its strong engagement in helping curb the pandemic.
Moreover, providing safe transportation of 12,600 horses has confirmed its leading position in this field. Qatar Airways Cargo has also achieved a considerable number of charter operations with more than 1,400 charter flights last year, which includes charters for e-commerce, exotic animals, music band tours and FIFA related activities.
Next Generation Vision
By applying its Next Generation vision to all areas of its business, Qatar Airways Cargo has brought enhancements to its services and sharply accelerated its digital transformation.
In that respect, another key event in 2022 was the launch of the Digital Lounge, Qatar Airways Cargo’s new web platform, designed to provide a more streamlined and connected booking experience to customers. As part of the carrier’s omnichannel strategy, the platform offers users direct access to the main three bookings platforms of the industry.
“Launching The Next Generation has allowed us to bring an entirely new perspective to everyone involved in the air cargo value chain. This truly represents a milestone in our development and in the way Qatar Airways Cargo is doing business,” commented Guillaume Halleux, Chief Officer, Cargo, Qatar Airways Cargo.
This commitment resulted in the launch of two major WeQare chapters in 2022:
Chapter 3, Let’s Stand Together, consisted of organizing the collection of donations for children; as for Chapter 4, Diversity, it was a spectacular celebration of the carrier’s highly diverse team in the form of a livery showing some of their faces.
Sustainability & Decarbonization
Environmental sustainability and decarbonization are central to Qatar Airways Cargo’s corporate strategy. In 2021, Qatar Airway Cargo was the first cargo carrier to join the International Air Transport Association’s (IATA) CO2NNECT platform.
In 2022, Qatar Airways Cargo launched an online carbon dioxide emission calculator for customers to determine their shipments’ carbon emissions.
Qatar Airways Cargo is currently working on the development of a fully integrated carbon offsetting tool on its Digital Lounge portal which will offer customers an option to offset their shipments as part of the booking process.
IATA certifications being so essential to vouch for best practices in the industry, completing the IATA IEnvA Stage 2 recertification was a real asset for Qatar Airways Cargo especially since it was the first airline in the Middle East to obtain this environmental certification back in 2017.
In addition, it was also one of the first airlines to gain the CEIV Lithium Batteries certification which came as a rightful recognition of its active involvement in this matter.
2022 was a year of accomplishments and saw the launch of groundbreaking concepts
Leschaco to open 29,000sqm chemical logistics centre in Moerdijk, Netherlands
Following the opening of a new chemicals and dangerous goods warehouse in Malaysia last year, Bremen, Germany-headquartered Leschaco has now signed a lease with industrial land developer DHG (David Hart Group) developing a new ADR (a warehouse where dangerous goods are stored) warehouse facility in Moerdijk, Netherlands.
Leschaco’s new chemical logistics centre has optimal multimodal transport links: In addition to the proximity to the seaports of Rotterdam and Antwerp, access to the two most important waterways in the Netherlands.
The warehouse offers space for approximately 45,000 pallets on an area of 29,000sqm. It is divided into five sections. Four of them are equipped with carbon dioxide extinguishing systems, specifically designed for the storage of chemicals and dangerous goods, while the fifth is for the storage of general cargo and is equipped with ESFR (Early Suppression, Fast Response) sprinklers.
Strategic milestone
“This project is an important strategic milestone for our presence in Europe. It is also necessary to meet the increasing
demand in the region and to be closer to our customers,” remarked Constantin Conrad, Managing Partner, Leschaco Group.
“The new logistics centre offers our global customers in the chemical, healthcare, automotive, industrial materials and consumer goods sectors a wide range of services and, in combination with other Leschaco products, complex logistics solutions at the highest level. In addition to pallet storage, this includes various kinds of value-added services according to our customers’ demands,” asserted Sebastian Haebler, Head of Global Contract Logistics, Leschaco.
The new building meets all safety and environmental standards. Solar panels on the roof will be able to cover part of the electricity demand. Other sustainable measures, such as the use of electric floor heating instead of gas or oil installations,
LED lighting, and the highest construction standards for isolation, also contribute to improving the climate balance, as do the short distances to the port of Moerdijk for transport by barge and rail and e-charging stations for cars.
Owner-managed LSP
The Leschaco Group is a traditional, ownermanaged logistics service provider and offers intercontinental logistics solutions for sea and air freight as well as contract logistics and tank container operation. As proven partner for leading companies in plant construction and mechanical engineering, automotive, chemical, and related industries, producers of consumer goods and pharmaceuticals. Leschaco offers comprehensive logistics solutions from one single source, the press statement concluded.
The project is an important strategic milestone for the company’s presence in Europe
UD Trucks produces an impressive report card for 2022
Expands its operations in MEENA; Sales of HD Trucks up 35% in Qatar and 32% in Saudi Arabia
UD Trucks has continued its journey of exceptional growth and performance throughout the Middle East, East, and North Africa (MEENA) region by registering an average of 30 per cent growth for the second year in a row.
This boost for the Japanese truck manufacturer strengthens its position as a market leader in a largely European-dominated regional truck market. UD Trucks continues to place its ‘Better Life’ Strategy for people and the planet at the core of its objective to become the Japanese Sustainability Leader by 2025, a press communique stated.
There were positive stories for UD Trucks right across the region over the past 12 months. Sales of heavy-duty trucks in Qatar were up by 35 per cent thanks to the brand’s reputation for producing robust and modern trucks. This also contributed to UD Trucks’ steady performance in other key segments, including the waste management and construction sector in the UAE.
Saudi Arabia, UD Trucks’ largest market by volume, enjoyed a 32 per cent increase in sales, and the brand has now expanded into every segment, from construction and logistics to waste management. The brand is now involved in several Kingdom-wide projects – many of its partners are involved with the visionary NEOM project.
Sustainability strategy
Further contributing to this growth and supporting its ‘Better Life’ sustainability strategy for the planet, UD Trucks has entered other key segments in the region.
Irrigation vehicles were used to clean up waste oil contamination from the soil in Kuwait as part of the second soil remediation project, while water tankers, vacuum trucks, and jet cleaners were provided by the brand to the Babil Municipality (Babylon, a city in Central Iraq) in Iraq.
In Abu Dhabi, UD Trucks will lead the waste management project after winning a large portion of the business, helping to position the company as a leader in this field.
In 2022, the brand added the Euro5compliant Quester model with ESCOT as well as the Croner PKE19 with automatic transmission to its fleet.
UD Trucks versatility
In Africa, specifically in Ethiopia and Uganda, UD Trucks delivered a significant number of vehicles primarily intended for general cargo use, despite the hard economic conditions and currency shortage. In 2023, further countries are set to be added to UD’s operations as the brand continues with its plans for expansion on the continent.
With a focus on efficiency, uptime, and customer service, UD Trucks and its partners have invested significant time and resources in developing a network of workshops across the region to meet customers’ needs.
UD Telematics, with a penetration of more than 40 per cent in targeted markets, is a key USP for the brand, as it helps customers by providing information in real-time about vehicle location, speed, fuel consumption, driver behaviour and other relevant data to
improve uptime and total cost of ownership.
Optimizing Fleet Management
By optimizing its fleet management processes, UD Trucks helps fleet managers to increase efficiency and reduce costs, resulting in improved customer satisfaction. The company’s customers also benefit from the availability of comprehensive Service Agreements, ensuring greater control over costs and easier administration, thus providing full peace of mind to fleet managers. In 2022, the company registered a 35 per cent service contract penetration.
All-round proficiency
The company is dedicated to achieving proficiency in every aspect, not only through improvements in its fleet and the services it offers to customers, but also through investing in the needs of its employees. Some 2,135 hours of technical, soft skills and driver training, for over 1,000 personnel, have been conducted in the past 12 months, both in-person and online. These sessions were based on blended learning modules and physical training, and were designed to facilitate competence development, while reducing costs.
Positive sentiment
Positive sentiment about the brand has been reinforced by its ‘Better Life’ strategy. In line with the company’s commitment to focus on people, UD launched several initiatives in 2022, including supporting the Arabian Ocean Rowing team to raise awareness of plastic pollution and environmental sustainability, as well as supporting employees and partners participating in Dubai Marathon to promote physical and mental wellbeing.
“2022 has been an excellent year for UD Trucks in the region, a confirmation year that its trucks, services and values are well appreciated by our customers. UD is clearly recognised as a brand providing its customers with efficient, reliable, and costeffective products and services,” affirmed Mourad Hedna, President, UD Trucks MEENA
“With a strong foundation in place, we are on track for another successful year in 2023. We will continue to work on our growth and customer satisfaction in all areas,” he concluded.
AJEX Logistics Services expands Saudi-based operations
New contract awarded by Dammam Airports Company
Thanks to the new partnership, AJEX will now operate logistics services from King Fahd International Airport, expanding its services throughout Saudi Arabia’s oil rich Eastern Province.
AJEX Logistics Services, the leading Middle East specialist in express distribution and shipping solutions, recently signed a new partnership agreement with Dammam Airports Company to provide logistics services from King Fahd International Airport, located in Saudi Arabia’s Eastern Province.
Eng. Mohammed Bin Ali Al-Hassany, CEO, Dammam Airports Company and Mohammed Al-Bayati, CEO, AJEX signed the agreement at the Dammam Airports Company headquarters.
New partnership agreement
The new partnership agreement supports both companies’ strategic objectives for the year ahead. In 2023, AJEX has plans for significant expansion across the Middle East, with new services, operations and facilities set to be launched across the region, while Dammam Airports Company is working on expanding the logistical capacity of its facilities as King Fahd International Airport grows in regional importance.
“At Dammam Airports Company, we are keen to raise the capacity of our express cargo facilities at King Fahd International Airport. This new partnership with AJEX Logistics Services supports our strategic objectives, which are aligned with the Kingdom’s Vision 2030 strategy for transportation and logistics services,” commented Eng. Al Hasany on the new partnership.
“Located just a few hours by road from Kuwait, Bahrain and Qatar, Dammam, with its strategic location, is an important logistics centre to the GCC region that will enable us at AJEX to enhance our capacity and service times for our customers.,” remarked Al-Bayati.
Oil producing hub
Dammam and the wider Eastern Province serve as Saudi Arabia’s main oil-producing hub and are home to many large industrial companies in sectors including petrochemicals, chemicals, steel, cement, aluminium, plastics, and service-providing companies.
Located just 20 kilometres from Dammam, King Fahd International Airport seeks to become a regional logistics hub, with plans underway to expand its facilities to process 3.5 million tons of cargo by 2050.
Founded in 2021, AJEX Logistics Services is the Kingdom of Saudi Arabia’s logistics & transportation expert. Specialized in Middle East e-commerce distribution and industrial solutions, AJEX is established in the UAE, Bahrain, Saudi Arabia and China, a press statement said.
Customer-centric solutions
With a network of more than 40 active logistics facilities, AJEX offers a full suite of customer-centric solutions from express distribution, e-commerce solutions, road, ocean, airfreight, warehousing, cold chain and healthcare solutions.
AJEX is a joint venture between Ajlan & Bros Holding, a leading investment company and conglomerate in the Middle East region, and SF Express, a leader in China Transportation and Logistics. The inauguration of DACO is part of the prospective vision towards the development of the national airports industry, starting with King Fahd International Airport. DACO also aspires to extend its services to other local and international airports in the future. It seeks to develop the infrastructure, and operate, upgrade, and maintain airfield facilities, the press communique concluded.
Eight Technology and Supply Chain Trends to expect in 2023
Supply chain reliability was identified as one of the top four challenges in the Middle East in 2021.
Middle Eastern countries have seen great developments in recent times, from being poised as the global trade hub and ranked 11th in the Logistics Performance Index to earmarking significant amounts for supply chain development and driving sustainability initiatives.
In this OpEd for Global Supply Chain, Soham Chokshi, CEO & Co-Founder, Shipsy, through his professional crystal ball, examines how several initiatives, challenges, and evolving market dynamics will shape the future of supply chains and logistics. Here are his eight supply chain and tech trends to look out for in 2023 in the region.
1. Automation of Last-mile Processes
As we enter 2023, more companies will embrace last-mile automation tools because they are instrumental in reducing turnaround time and improving delivery efficiencies. By leveraging smart logistics management tools, businesses can facilitate seamless delivery operations between their fleet and 3PLs. Such tools automate carrier selection through pre-defined logic. Intelligent auto-allocation rules factor cost, historical data, serviceability, first-attempt delivery rate, etc., to automatically assign deliveries. Faster and efficient decision-making helps reduce delivery turnaround times, which is particularly critical for UAE consumers who prioritise fast delivery over free/cheap delivery.
2. Use of Predictive Intelligence
Predictive analytics in supply chain management involves analysing historical data, understanding trends, and gaining future foresight to make smarter decisions.
It helps companies predict outcomes and efficiently manage potential risks, delays, or emergencies.
According to the 2022 MHI (Mitsubishi Heavy Industries Group) Industry Report, the adoption of predictive analytics is expected to increase from 22% to 82% over the next five years. Gartner also reports that by 2024, 75% of organisations will invest in data and analytics capabilities to prevent enterprise failure. Hence, more organizations are expected to increase their use of predictive intelligence to make their supply chain resilient.
3. An Increased Focus on AI and ML for Efficiency
Supply chain reliability was identified as one of the top four challenges in the Middle East in 2021. Businesses must realise the immense value Artificial Intelligence, and Machine Learning bring to supply chain management. The technologies save costs and allow enterprises to build self-governing supply chains.
According to a 2022 PWC survey, about 48% of players in the supply chain industry intend to integrate AI into their operations. A Gartner report also states that 28% of supply chain leaders surveyed plan to leverage AI in their logistics business to improve process efficiency. In fact, the UAE is all set to see technology rapidly take over sectors and processes, with the country’s goal to become a global leader in AI by 2031.
4. Greater Implementation of Blockchain
Trust, transparency, reliability, and traceability remain long-standing logistics and supply chain industry issues. Blockchain’s immutable, tamper-proof nature is an antidote to
Soham Chokshi
Soham Chokshi is the CEO and co-Founder of Shipsy, India’s first and only end-to-end Global Trade and Logistics Management Platform that helps customers reduce logistics costs, achieve transparency and improve on-time delivery of goods across the Ocean, Air, Rail, and Road with an intelligent approach.
Under his supervision, the company has rapidly blossomed into a leading SaaS-based solution provider dedicated to reducing logistics costs and improving ontime delivery of goods across the ocean, air, and road transportation through its pioneering ‘Bloomberg for supply chain’ model. In his professional capacity, Soham spearheads the overall business growth of the organization.
His auxiliary responsibilities include ensuring revenue pipeline and ARR growth, maintaining key customer relationships, directing measures for brand amplification, ensuring a strong product roadmap, fundraising, investor relations, and overseeing key processes and initiatives for people development. Under Soham’s helm, Shipsy is fast developing as the preferred technology partner for logistics management for bolstering domestic and cross-border trade.
Soham is on a mission to establish Shipsy as the global SaaS leader and a trusted partner for shippers and logistics around the world by helping them manage their logistics with greater efficiency and agility.
the above challenges. The technology infuses efficiencies and enables smart contract-based payment processes critical to international logistics management. Blockchain will witness more traction to instil greater trust and ensure high levels of financial transparency in logistics.
5. Platformization to Eliminate Fragmentation
Operational silos and point systems that restrict data exchange hamper enterprise growth. Platformization will help companies create a centralised view of their supply chain operations. Embracing the platform approach assists enterprises in boosting collaboration with freight forwarders and internal teams, consolidating all container movements, sharing live updates, and actively tracking incidental charges using a single window.
6. Growing Reliance on Multiple Logistics Service Providers
Large order volumes and higher delivery expectations will only increase dependencies on 3PL. It is because partnering with multiple logistics service providers increases serviceability, and delivery reliability, helps reduce delivery turnaround times, and
cost-effectively manages elastic demand. According to Gartner, logistics providers with deep service portfolios are better equipped to solve complex challenges, bring innovation to business, and maximise cost and service benefits.
Approximately 90% of Fortune 500 companies turn to 3PLs to augment their logistics and supply chain functions. UAE’s 3PL market is also expected to grow at a CAGR of 9.2% over the forecast period 2021-27. Hence, along with the trend, smart 3PL orchestration solutions that simplify managing multiple 3PLs using unified dashboards will also see an uptick.
7. Greater Collaboration of CrossBorder Logistics Stakeholders
The global cross-border B2C eCommerce market, valued at US$ 793.7mn in 2021, is anticipated to surpass US$ 3,042.2mn by 2028. Although it presents lucrative opportunities for retailers and eCommerce players, poor operational visibility weighs down the sector’s potential in the guise of cost leakages, missed delivery SLAs, and reputation dents.
Logistics stakeholders, such as manufacturers, retailers, freight forwarders, shipping lines, logistics service providers, and others, will leverage smart logistics
8. Focusing on the economic benefits of sustainability
Sustainability is more important than ever, especially with several government policies and initiatives directed toward the goal. However, freight (air, sea, and road) transport contributes nearly 8% of global greenhouse gas emissions. Investor pressure, consumer awareness, and potential future regulations are pushing businesses to curb their carbon footprint.
In fact, businesses across geographies are seeing significant cost savings by reducing miles travelled through intelligent route planning, dynamic order batching, advanced territory optimisation, and route optimisation, and prioritising greener delivery modes such as electric vehicles and bicycles for last-mile deliveries. More companies in the region will take the greener route to improve delivery profitability moving ahead.
State-of-the-art technological tools are imperative to deal with the rapidly evolving market dynamics. AI, ML, automation, and predictive intelligence-powered smart logistics management platforms empower businesses to actualise the benefits of the above trends and stay on top of the business game.
Etihad Cargo boosts China capacity with additional Shanghai freighter service
n Etihad Cargo will further expand its capacity offering to the Chinese market with the introduction of an additional weekly Abu Dhabi–Shanghai freighter flight from 2 February 2023.
The additional freighter service to Shanghai will increase the carrier’s weekly
per week, increasing the cargo capacity out of Shanghai to 850 tons.
“Following the introduction of two more weekly freighter services between Shanghai and Abu Dhabi in 2022, this additional freighter service between Etihad Cargo’s Abu Dhabi hub and Shanghai will further enable Etihad Cargo to fully meet customers’ capacity needs,” remarked
Martin Drew, Senior Vice President— Global Sales & Cargo, Etihad Aviation Group.Etihad Cargo’s customers have benefited from additional cargo capacity on widebody passenger flights, and the carrier will continue to evaluate its network and add frequencies to the Chinese market in line with customer demand.
Etihad and Satavia sign multi-year commercial agreement
n Etihad Airways recently signed a groundbreaking contrail management contract with SATAVIA, a leading UK-based green aerospace firm.
The partnership will build on a previous proof-of-concept engagement to expand the scope for contrail management within dayto-day flight operations. The partnership also incorporates an agreement to collaborate on the generation of future carbon credits from contrail management activity.
The contract was signed by Etihad’s Head of Sustainability and Excellence, Mariam Al Qubaisi and SATAVIA CEO, Dr Adam Durant, at the recently concluded World Future Energy Summit (WFES) at ADNEC, Abu Dhabi. Once in force, the new agreement will see Etihad scaling SATAVIA contrail prevention across daily flight schedules, accelerating the airline’s progress towards climate neutral operations.
“Our collaboration with SATAVIA illustrates the possibility of credible sustainability
advances in day-to-day commercial operations,” commented Mariam Al Qubaisi.
“By implementing minimal changes to a small percentage of flights, eco-conscious operators like Etihad can eliminate most of their non-CO2 climate footprint with little to no impact on day-to-day operations and on
shorter timescales than other green aviation interventions,” remarked Dr Durant.
“This is a great example from Abu Dhabi Sustainability Week of the shared innovation and commitment by UK and UAE companies to tackle climate change,” stated Patrick Moody, the British Ambassador to the UAE.
King Abdulaziz Port launches Container Terminal Development Project
n The Saudi Ports Authority (Mawani) recently announced the laying of the foundation stone for upgrading and developing two container terminals at King Abdulaziz Port in Dammam under the Build-Operate-Transfer (BOT) concession signed with Saudi Global Ports (SGP) valued at over SAR 7bn (US$ 1.865bn).
The launch ceremony was attended by HE Omar Hariri, President, Mawani, and Eng. Abdullah Al-Zamil, Chairman, SGP, alongside senior logistics and maritime executives.
The concession will work on refurbishing berths and facilities across the Port’s first container terminal besides expanding berths and overhauling the container yard within the second container terminal to enable the Arabian Gulf hub to handle giant containerships.
The development works will also add a custom-built sandbox to test cutting-
edge technologies and conceptualize new processes before going online.
Apart from generating over 4,000 jobs in the local economy, the project is expected to raise the Port’s overall capacity by 120% to 7.5 million TEUs and strengthen the nation’s supply chains, boost its foreign trade, and improve the Kingdom’s rank in global indices.
As part of its long-term developmental strategy to deploy 160 high-impact projects at a total cost of over SAR 4bn (US$ 1.07bn), Mawani is keen on partnering with leading industry players to transform Saudi ports into engines of growth and investment in the shipping and transportation sectors.
2022 represented a monumental year for King Abdulaziz Port in Dammam and its operator SGP with record-breaking annual performances across various indicators yielding the Port’s highest container throughput in its history at over two million TEUs.
KEZAD Group boosts manufacturing with 500,000MT Dana Steel Project
n Khalifa Economic Zones Abu Dhabi – KEZAD Group recently signed a preliminary agreement with Dana Steel, the flagship manufacturing unit of industrial conglomerate Dana Group, for the establishment of its first hot and cold rolling steel complex in Abu Dhabi.
Under the terms of the agreement, Dana Steel will invest to develop a 50,000sqm facility in KEZAD. The new complex will facilitate backward integration of the company’s continuous galvanising and continuous colour coating lines and will have 500,000 Metric Tonnes Rolling Capacity.
By providing a base for Dana Steel first facility in Abu Dhabi, KEZAD Group is extending its support for the Abu Dhabi Industrial Strategy, which looks to more than double the size of the emirate’s manufacturing sector to AED 172bn (US$ 46.83bn) by 2031 through a series of transformational programmes.
“By enabling vertical integration of their manufacturing supply chain, we look forward to supporting Dana Steel on its journey to serve customers and expand its international
reach,” remarked Mohamed Al Khadar Al Ahmed, CEO, KEZAD Group.
“With worldwide demand for quality steel products set to grow, we are quite excited to
start this milestone project in KEZAD, which builds upon our efforts to enhance value for our customers across continents,” commented Dr Ankur Dana, CEO, Dana Steel Industry.
DHL launches 2023 sustainability challenge for innovators
n DHL, in partnership with Dubai South and EZDubai, has recently announced the launch of its new international innovation challenge, ‘The Fast Forward Challenge: Sustainable Solutions’. The challenge calls for individuals and businesses across four continents to pitch their innovative technologies and solutions aimed at solving global sustainability issues.
The 2023 Fast Forward Challenge’s theme is ‘Sustainable Solutions’, and it is inspired by DHL’s commitment to positively contributing towards the UN’s 17 Sustainable Development Goals and its mission to achieve net-zero logistics by 2050.
“At DHL, we are proud that sustainability is a cornerstone of our business strategy – we are working to reduce our logisticsrelated emissions to zero by 2050,” remarked Amadou Diallo, CEO, DHL Global Forwarding Middle East & Africa (MEA).
The best ideas from the MEA region will be invited to pitch to a panel of industry primes and decision makers at the DHL Innovation Centre in Dubai. The MEA winner will then receive additional mentorship and an opportunity to conduct a proof of concept with DHL.
dnata breaks ground on US$ 14mn cargo warehouse in Erbil, Iraq
n dnata has broken ground on its new, 20,000sqm cargo warehouse which will add significant expansion to its operations at Erbil International Airport (EBL) the capital of Iraq’s Kurdistan province. The facility represents an investment of US$ 14mn and will create up to 50 additional, direct jobs with dnata in Iraq.
The foundation stone for the cargo warehouse, which is scheduled for completion in September 2024, was recently revealed by Jaffar Dawood, Senior Vice President for UAE and Iraq Airport Operations, dnata.
“We stay committed to the Iraqi aviation industry and continue to invest in our operations to contribute to the development of Erbil as a regional cargo hub,” remarked Jaffar.
dnata’s newest cargo facility will be capable of processing 100,000 tonnes of cargo annually, including perishables, pharmaceuticals, and dangerous goods. dnata will also implement its advanced ‘OneCargo’ system within the facility, digitising processes and maximising efficiencies across its cargo operations in Iraq.
The facility will be equipped with the latest technologies, including thermal insulation to reduce the building’s
environmental impact by maintaining low carbon dioxide manufacturing emissions and operating costs.
dnata’s latest expansion follows the opening of a new, advanced cool chain
facility and a bus maintenance facility in 2022 at EBL. The company currently provides ground handling and cargo services to over 25 airlines with a team of over 400 aviation professionals.
Group AMANA delivers AED 150m R&D facility for Jotun
n Group AMANA has announced the completion and handover of a major AED 150mn (US$ 41mn) strategic project for Jotun MEIA FZ in Dubai Science Park.
The advanced facility is part of the company’s new MEIA (Middle East, India and Africa) regional office, and covers a built area of 23000sqm. This is the latest project delivered to the highest standard by AMANA Contracting, with optimal quality and results.
The facility houses spaces for corporate users for regional operations and has a main boardroom, meeting rooms, prayer rooms, gym, training rooms, recreational zones, a canteen, and other areas.
“AMANA leveraged innovative technologies to improve on quality and reduce materials, achieving over two million manhours with no lost-time injury (LTI) or any major safety incidents, highlighting our commitment to the highest safety standards,” commented Joe Labaky, General Manager, UAE and Emerging Markets, AMANA Contracting.
AMANA used the latest technologies, including BIM and Offsite Construction to deliver excellence and timely construction. BIM technology was used to map out digital drawings of the project and deliver thorough installation of Modular Systems, instead of
conventional methods.
Aligned with Jotun’s global initiative to reduce its carbon footprint by 50% by 2030, AMANA used an innovative technique to help reduce energy dissipation in the building, a press statement concluded.
RAKEZ partners with Tradeling to support its SME community
n Ras Al Khaimah Economic Zone (RAKEZ) recently signed a Memorandum of Understanding (MoU) with Tradeling, MENA’s dominant e-marketplace that focuses on businessto-business (B2B) transactions.
The partnership aims to offer SME community members at RAKEZ further support and solutions in the areas of trade, supply chain, logistics, finance and market research needs.
The agreement was jointly signed by Ramy Jallad, Group CEO, RAKEZ, and Marius Ciavola, CEO, Tradeling. As part of the agreement, RAKEZ companies will enjoy free listing opportunities to promote and sell their products on Tradeling’s platform to its 200,000 registered users, along with extended credit facilities, bank instalment options, fulfilment, and logistics services among many other.
“We are very happy to partner with Tradeling and introduce yet another value-added service to support the SMEs in our ecosystem.,” remarked Jallad.
“The aim of this collaboration is for both companies to work synergistically to enhance overall offerings and strengthen their position in the market while providing the best possible service to the overall customer base in the UAE,” commented Ciavola.
AP Moller-Maersk completes acquisition of Martin Bencher Group
n AP Moller-Maersk (Maersk) has announced the completion of its acquisition of Martin Bencher Group, a Danish Project Logistics expert with premium capabilities within non-containerised project logistics and global operations.
“I am thrilled to welcome Martin Bencher to Maersk and is an excellent fit to Maersk and our integrator strategy,” commented Karsten Kildahl, Regional Managing Director—Europe, Maersk.
Martin Bencher is a renowned specialist within project logistics services with a high degree of reliability, a proven track-record, and a strong focus on Health, Safety, Security and Environment (HSSE).
Martin Bencher was founded in 1997 and is an asset-light logistics provider that specialises in project logistics. Martin Bencher’s core capability is designing end-to-end project logistics solutions for global clients.
“Our companies complement each other in so many ways, that we expect a seamless transition experience for both
our colleagues and clients. Together, we can attain our full potential and will bring the scale, commitment, and capabilities to handle the entire logistics scope of work for clients around the world,”remarked Peter Thorsoe Jensen, CEO, Martin Bencher.
Ministerial visit to Agility Logistics Parks
n Agility Logistics Parks (ALP) in Riyadh recently received HE Dr. Rumaih Al-Rumaih, Vice Minister of Transport & Logistics, HE Eng. Osama Al-Zamil, Vice Minister of Industry and Mineral Resources, and HE Eng. Loay Omar Mashabi, Deputy for Logistics Services.
The visit included a tour of ALP’s facilities, which included
Martin Bencher Group is headquartered in Aarhus, Denmark and has a presence in 23 countries.
The enterprise value of the transaction is approximately US$ 61mn, a press communique concluded.
warehouses and operations centers for several leading companies including Saudi Post, NUPCO and Salasa. During the visit, officials were informed about Agility’s innovative logistics solutions, which contribute to the Kingdom’s Vision of becoming a regional logistics hub.
Pioneering mobility tech start-up engages MENA Enterprises with clean energy
n TERRA TECH (Terra), the MENA region’s first B2B micro-mobility tech start-up will introduce its fleet of electric motorbikes with a swap and drive operations model for the region’s growing business landscape, whilst considering environmental impact, the company announced via a press communique.
Established in 2021 as Dubai International Financial Centre (DIFC) company by serial entrepreneur Husam Zammar, Terra is the groundbreaking project that he has worked towards his entire career to date.
Having developed an energy-efficient motorbike combined with a first-of-itskind swap and drive subscription model in the region, Terra is piloting in the UAE, engaging with leading private enterprises contributing to the country’s thriving economy.
Combined with corporate bike rentals, Terra’s ‘Smart Swapping Stations’ will be set up across the country allowing drivers to book and switch bike batteries through the platform’s mobile application.
The solution enables companies to diligently decrease their carbon footprint with reduced carbon dioxide emissions. At the same time, time efficiency, cost/ overhead reduction, driver tracking,
and limitless range improve operational efficiency, the press statement continued.
‘With a business mission centered around revolutionising the standard transportation system towards sustainable and innovative mobility,
AD Ports to set up JV to boost Caspian businesses
n AD Ports Group recently signed an agreement with Kazakhstan’s KMTF (Kazmortransflot) to launch a joint venture (JV) to provide offshore and shipping services for energy companies in the Caspian Sea and to tender for projects worth over US$ 780mn.
The JV, which will be 51% owned by AD Ports Group and 49% by KMTF, a fully owned offshore logistics and services subsidiary of the Kazakh National Oil Company (KazMunayGas), will look to offer services, including offshore logistics.
At a later stage, the JV will also offer container feedering, Ro-Ro and crude oil transportation in the Caspian Sea and the Black Sea, the
Abu Dhabi Stock Exchange-listed AD Ports Group said in a regulatory filing on Wednesday.
AD Ports Group and KMTF also signed a seven-year vessel pooling agreement. The JV includes the provision of several tankers for the transportation of crude oil internationally, with plans to jointly carry 8-10mn tonnes of crude annually in the medium term.
“This new joint venture with KMTF opens the door to enormous opportunities in the Caspian Sea, which plays a key role in global energy production, and is serviced by prominent players within the energy sector,” stated Falah Mohammed Al Ahbabi, Chairman, AD Ports Group.
Terra’s electric motorbike fleet is a solution to the rising use of its petrol-fueled counterpart enabling progress and changing one motorbike at a time,’ affirmed Zammar, CEO & Founder, Terra.
AviLease and SIRC sign landmark MoU
Abu Dhabi Airports appoints Maureen Bannerman as its new Chief Commercial Officer
n Abu Dhabi Airports recently announced the appointment of Maureen Bannerman as the company’s new Chief Commercial Officer (CCO) effective from January 2, 2023.
A highly accomplished leader and seasoned professional with over 20 years’ experience primarily within the aviation industry, Bannerman has joined Abu Dhabi Airports following a successful tenure as Chief Executive Officer and Managing Director of APM Terminal at the Khalifa Bin Salman Port in Bahrain.
“We are confident her exemplary track record will help realize our growth strategies and commercial plans as an enabler and a catalyst for tourism, trade, logistics and business in the emirate and the UAE,” commented HE Eng. Jamal Salem Al Dhaheri, Managing Director & CEO, Abu Dhabi Airports.
In her new position, Maureen has assumed roles and responsibilities including developing and implementing commercial plans that align with Abu Dhabi Airports’ business strategy and financial objectives, as well as identifying and pursuing viable new commercial opportunities.
As CCO, she will also play a pivotal role in the company’s long-term strategic growth plans in line with Abu Dhabi Economic Vision 2030.
n AviLease, the aircraft lessor, and the Saudi Investment Recycling Company (SIRC) have signed a Memorandum of Understanding (MoU) to launch the production and distribution of sustainable aviation fuel (SAF) to AviLease’s fast-growing network.
AviLease, will support the partnership by committing to an offtake agreement and will market SAF contracts to its global airline customer base. SIRC will act as financier and facilitator, assembling the necessary expertise in production technology and distribution capabilities to leverage the unique proposition of Saudi Arabia, a press communique indicated.
“Through this unique partnership, we will be able to bundle the supply of SAF into our offerings, which we believe will trigger large-scale production of SAF in a country that has the natural competitive advantages to become a low-cost producer and has already made clear commitments towards energy transition,” remarked Edward O’Byrne, Chief Executive Officer, AviLease.
“Our partnership with AviLease offers us direct access to the growing airline industry and allows us to tap into the enormous potential of SAF,” commented Eng Ziyad Mohammed AlShiha, Chief Executive Officer, SIRC.
ACWA Power signs agreements for 1.5GW wind plant in Uzbekistan
n ACWA Power recently signed the power purchase agreements (PPAs) and investment agreements (IAs) with Uzbekistan to develop the 1.5 GW Kungrad wind farm in the Republic of Karakalpakstan, Uzbekistan.
Each of the three projects will also incorporate a 100MW capacity battery energy storage system. Regarded as the largest single-site wind farm in Central Asia to date, and one of the largest of its kind in the world, the wind farm is expected to reach an investment value of US$ 2.4bn.
The PPAs were signed by Rohit Gokhale, Executive Vice President, ACWA Power and Dadajon Isakulov, Chairman, National Electric Grid, Uzbekistan, while the investment agreements were signed by Mohammad Abunayyan, Chairman, ACWA Power and Jamshid Khodjaev, Deputy Prime Minister & Minister of Investment and Foreign Trade.
“The wind farm in Karakalpakstan, which will be built by our reliable
partner ACWA Power, will be another pillar of a sustainable and reliable energy system in Uzbekistan,” remarked Jurabek Mirzamakhmudov, Minister of Energy, Uzbekistan.
Abu Dhabi’s Integrated Transport Centre launches Phase Two of the Smart Mobility Project
n In line with the vision of the wise leadership to make Abu Dhabi’s cities smarter and more sustainable, the Integrated Transport Centre (ITC) of the Department of Municipalities and Transport (DMT) in Abu Dhabi has announced the launch of the second phase of operations of the Smart Mobility project on Yas and Saadiyat Islands.
The Smart Mobility Project is carried out in collaboration between the DMT, the ITC and Bayanat, an ADX listed public company with majority shareholding by G42 that specializes in AI-powered geospatial intelligence.
The Integrated Transport Centre confirmed that the project comes as part of Abu Dhabi’s smart mobility strategy to shift towards smart and sustainable transport solutions based on knowledge and innovation and reinforces efforts to develop cities fit for the future and achieve sustainable development in the emirate.
“Through our strategic partnership with the Integrated Transport Centre, we are making intelligent, eco-friendly and safe transit accessible for all to serve the community better,” commented Hasan Al Hosani, CEO, Bayanat.
The project is expected to achieve financial close by 2024 and will be fully commissioned in 2027. When complete, the facility is expected to power 1.65 million households.
Qatar Energy and Chevron Philips ink a US$ 6bn deal
n Qatar Energy and the US oil company Chevron Philips Chemical Company have signed a US$ 6bn deal for a petrochemical project.
This was announced by the Qatari company in a press statement. The two companies will invest in the Ras Laffan Petrochemicals Complex considered the largest project of its kind in the Middle East. The complex is expected to go into production in 2026.
Ras Laffan will double Qatar’s ethylene production capacity and increase its polymer output from 2.6 million tons to more than four million tons a year. Overall, Qatar’s petrochemical production capacity will rise to almost 14 million tons annually.
“The integrated site also includes two highdensity polyethylene derivatives units with a total capacity of 1.7 million tonnes per year,” commented Saad Al Kaabi, the Qatari Energy Minister and CEO, Qatar Energy.
The deal was signed joint by the Qatari Minister and Bruce Chinn, CEO, Chevron Phillips Chemical Company, at the Qatar Energy offices in Doha, Qatar. Under the deal, the complex will be 70 percent owned by Qatar Energy and 30 percent by ChevronPhilips.
IME doubles its number of barges
n International Marine & Energy (IME), a leader in the UAE’s bunkering industry and licensed supplier of petroleum products, has added three new barges to enhance its supply chain as it seeks to expand its footprint both regionally and globally.
IME has supported the maritime industry for over a decade through the trading and physical supply of fuel, contributing to the UAE’s reputation as a global bunkering hub, the company said in a press communique.
Since receiving the license to supply bunkering products in 2020, IME has been operating three barges within the UAE territory, focused on Sharjah and Khorfakkan. Now, three additional barges are operational, taking the total number to six, guaranteeing the timely availability and efficient fuel delivery for clients worldwide. The six barges will deliver marine gas and fuel oil conforming to ISO 8217 standards.
“Securing the license was a testament to our commitment to providing quality fuel services and our focus on ensuring the highest maritime safety standards. As a homegrown UAE company, we will continue to contribute towards the nation’s reputation as a trusted global bunkering hub, given that nearly 90 percent of goods traded globally are carried across our oceans,” explained Ali Fathi, Founder, IME.
“With regional economies poised for further growth in 2023 according to the World Bank, the UAE’s status as a hub for bunkering will gain further traction in 2023,” remarked Hamed Fathi, Director & General Counsel, IME.
With the addition of the new barges, IME will continue to work closely with local and international authorities and stakeholders to deliver tailored solutions that meet any supply challenge, the press statement concluded.
Hyundai appoints DH Park as Head of Middle East & Africa Regional HQ
n Hyundai Motor Company has announced the appointment of DH Park as its new Head of Hyundai Motor Company Middle East and Africa Regional HQ.
He will oversee operations across the Middle East Africa region.
“Thanks to the growing number of satisfied and loyal customers, we will work with our team to maintain our strong performance in this important region despite global challenges,” commented Park on his appointment.
DH Park brings over 27 years of automobile experience with global leadership roles in various positions at Hyundai Motor Company, a press communique concluded.
KEZAD
Group boosts
manufacturing with 500,000MT Dana Steel Project
n Khalifa Economic Zones Abu Dhabi – KEZAD Group recently signed a preliminary agreement with Dana Steel, the flagship manufacturing unit of industrial conglomerate Dana Group, for the establishment of its first hot and cold rolling steel complex in Abu Dhabi.
Under the terms of the agreement, Dana Steel will invest to develop a 50,000sqm facility in KEZAD. The new complex will facilitate backward integration of the company’s continuous galvanising and continuous colour coating lines and will have 500,000 Metric Tonnes Rolling Capacity.
By providing a base for Dana Steel first facility in Abu Dhabi, KEZAD Group is extending its support for the Abu Dhabi Industrial Strategy,
which looks to more than double the size of the emirate’s manufacturing sector to AED 172bn (US$ 46.83bn) by 2031 through a series of transformational programmes.
“By enabling vertical integration of their manufacturing supply chain, we look forward to supporting Dana Steel on its journey to serve customers and expand its international reach,” remarked Mohamed Al Khadar Al Ahmed, CEO, KEZAD Group.
“With worldwide demand for quality steel products set to grow, we are quite excited to start this milestone project in KEZAD, which builds upon our efforts to enhance value for our customers across continents,” commented Dr Ankur Dana, CEO, Dana Steel Industry.
Juan
Chaparro appointed to top position at Ecolog
n Ecolog International, a leading global provider of integrated services and logistics solutions for life support, supply chain, energy and healthcare industries, recently announced the appointment of Juan Chaparro as Executive Chairman of the Board, as of 01 January 2023.
With over 30 years’ experience as an executive in supply chain management, procurement and sourcing, Chaparro brings a wealth of expertise in complex logistics management in fastpaced environments as well as the B2C focus. This aligns with Ecolog’s vision and growth strategy and makes him a valuable addition to the leadership team, a press communique stated.
“Ecolog is a unique organization with distinguished history and the potential to help improve all aspects of the lives of the people it serves, from water and sanitation to catering, healthcare and the wider environment,” commented Chaparro on his appointment.
With projects in both emerging and established markets catering to various institutional clients, Ecolog is set to leverage its scale and footprint to also provide direct services to consumers.
Incorporated over two decades ago in Germany, with the footprint in nearly 40 countries, the company’s service portfolio includes life support, supply chain management, construction, engineering, healthcare and environmental services, the press statement concluded.
Tadweer signs five operations contracts with a total value of over US$ 545mn
n The Abu Dhabi Waste Management Company (Tadweer) recently signed five operations contracts with a value of over US$ 545mn (AED 2bn).
The contracts, which were signed with Alphamed Abu Dhabi and Terberg RosRoca Vehicle Manufacturing, Beeah Sharjah Environment Company, Averda Waste Management, and JV Lavajet Al Ain and Nael & Bin Harmal Hydroexport (NBHH), cover solid waste collection and transportation services, public cleaning services in Abu Dhabi and Al Ain, and waste containers management and maintenance in Abu Dhabi.
The 6-year contracts aim to make a big leap in the quality of environment-friendly services by providing electrical equipment for waste collection and transportation, cleaning services for main roads and automatic sweeping, and training programs for employees to ensure that their work complies with international standards.
The contracts were signed during EcoWASTE 2023 Exhibition and Forum, as part of Tadweer’s commitment to fostering partnerships that contribute to enhancing
sustainable waste management and maintaining a clean and healthy environment in Abu Dhabi.
Tadweer is also exploring cooperation opportunities in transforming solid municipal waste selectively into sustainable aviation fuel (SAF) and the potential of converting waste into fuel and sustainable chemical materials. The company also signed a MoU with Beeah Sharjah Environment Company to explore
new cooperation opportunities for waste management overseas, a press communique indicated.
“Through these partnerships, we aim to join our efforts and utilize the best practices to overcome waste management challenges, by raising the public’s awareness, and addressing challenges related to waste collection, transportation, and treatment,” remarked Eng. Ali Al Dhaheri, CEO, Tadweer.
J&T Express signs Lionel Messi as its first Global Brand Ambassador
n J&T Express, the global logistics provider, has recently announced that the world-renowned football star and 2022 World Cup-winning team captain, Lionel Messi, as its first global brand ambassador.
Signing up the Argentinian captain Lionel Messi as the company’s first global brand ambassador, comes in line with J&T Express ambitious expansion strategy to a global network and establish itself as a one-stop e-commerce specialist within the logistics supply chain.
J&T sees Messi as a ‘generational athlete’ whose sporting ethic, humility and dedication align with the values of the fast-growing logistics company. Rachel Liu, Global Branding Director, J&T Express, commented on the announcement.
“J&T Express seeks to develop logistic solutions to connect its customers to the world. I look forward to being part of this journey,” Messi said on this occasion.
Founded in Indonesia in August 2015, J&T Express offers a range of services including domestic and international courier services, freight forwarding, e-commerce fulfillment, supply chain solutions and specialized services.
In January 2022, J&T Express officially expanded its logistics network to Saudi Arabia and the United Arab Emirates, covering all local provinces and regions in the two countries.
Apart from catering to businesses of all sizes, J&T Express also serves some of the biggest e-commerce platforms such as SheIn and Noon, with a large volume of e-commerce parcels flying from China to UAE / KSA daily through their services, a press conference concluded.
Avis UAE aims to make 6% of the fleet electric in 2023
n Rental and leasing solutions provider, Avis UAE, has been awarded the title of ‘Best Car Rental Company of the Year’ by the Middle East Hospitality Excellence Awards, and the ‘Leading Car Rental Company’ by World Travel Awards.
“The awards are a testament to our unwavering commitment to seamless service, hospitality, and innovation,” asserted Dominic Hagerty, General Manager, Avis UAE.
The company is on a mission to provide customers with total control over their rental experience. Avis UAE was one of the first companies in Dubai Airport to go completely paperless with PDAs, bookings, servicing, invoicing, and electronic signatures, with further innovations under development that will achieve a 100% contactless rental experience.
“By the end of 2023, we aim to make 6% of the fleet electric, inclusive of motorcycles, cars, and trucks. Currently, we already lease e-motorbikes for courier and postal service companies, and sustainably source local oil as opposed to importing,” Hagerty continued.
Avis launched in the United States in 1946 and was the first to rent cars from airport locations. In 1975, Hareb Mohammed Al Otaiba successfully secured the Avis franchise in the UAE.
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Emirhan Turhan Head of Sales - UAE
+971 56 408 7656
emirhan turhan@hellmann com
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