GLOBAL SUPPLY CHAIN APRIL 2024 ISSUE

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April 2024 Issue 112 ENHANCING THE BUSINESS OF LOGISTICS GWC Progress Report Saudia Cargo Harnessing Optimisation Tools FIATA-RAME 2024 Dubai Live Ground Report ETIHAD CARGO Advancing with Flying Colours Exclusive Interview: STANISLAS BRUN , Vice President Cargo, Etihad Airways

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Etihad Cargo—Flight Path to Progress

Etihad Airways, the National Carrier of the UAE, has been flying high!

Recently published official figures from Etihad Airways testify to the Carrier’s superlative performance in the calendar year 2023. It reported 40 percent more passengers from 10million to 14million, year-on-year. Passenger revenues increased by AED 4billion (US$ 1.1billion) to AED 16.7billion (US$ 4.5billion). The Airline launched 15 new destinations and added 14 aircraft including four A380s.

Given the nature of our publishing business, we were keen to touch base with a spokesperson or senior official from the Carrier’s Cargo Division. To this end, Stanislas Brun, the newly appointed Vice President, Etihad Cargo, was gracious enough to be interviewed exclusively by Global Supply Chain. We carry the full transcripts and report of this expansive interview in this edition for our Cover story. It makes for interesting reading.

The recently concluded landmark three-day FIATA-RAME (Region Africa Middle East) 2024 Conference was hosted at the Atlantis The Palm by the UAE’s National Association of Freight & Logistics (NAFL). It was attended and addressed by key officials including FIATA RAME Chair Dr. Juanita Maree; Dr. Stéphane Graber, FIATA Director General; FIATA Global President Turgut Erkeskin and Nadia Abdul Aziz, President, NAFL. We carry a full report.

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There have been new appointments in the top echelons at GWC, Qatar’s long-standing and biggest logistics services provider (LSP). Their financial performance has also been noteworthy. We bring you the update.

Saudia Cargo has also demonstrated an impressive score card with several innovative and progressive recent developments. We bring you to current on this count.

Elsewhere Global Supply Chain conducted an exclusive one-on-one interview with Niels Hougaard, Managing Director, Tetra Pak Arabia, and Marcelo Piva, Regional Sustainability Director, Greater Middle East and Central Asia, Tetra Pak Arabia, on the sidelines of the recently concluded Gulfood 2024 in Dubai. Read on for the full interview.

Transportation of hazardous goods and lithium batteries specifically is always a matter of concern and regulations for all stakeholders involved. We delve and investigate this issue.

Add to this our regular repertoire of the latest news, topical features, profiles, business analyses, commentaries, professional contributions, OpinionEditorials (OpEds), and useful content all of which are well encapsulated and meticulously curated to make for stimulating reading!

Happy reading!

malcolm@signaturemediame.com

APRIL 2024 3

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4 APRIL 2024 April 2024 Issue 112 06 Etihad Cargo Flight Path to Progress. 14 FIATA-RAME 2024 Conference NAFL hosts Milestone Summit. 18 EPG-ARABIAN ETHICALS EPG highlights regional case study. 20 GWC A News Roundup. 24 HAZMAT Transportation Exploring the Regulatory Mechanism. 26 Saudia Cargo Highlighting recent developments. 28 Hand-Held Devices OpEd-Rami Younes, GM, Swisslog ME. 30 DIP Angola Dubai’s DIP forays into Angola. 32 Tetra Pak Middle East Exclusive Interview. 38 ADPG Tbilisi AD Ports Group expands into Georgia. 39 Etihad Rail Etihad Rail-BEEAH Group ink MoU. 40 Ramadanomics & e-Commerce Q&A-Dhruv Agrawal, COO & Co-Founder, Shipsy. 44 Starlinks KSA Revolutionizing Smart Supply Chains. 46 News Up to date news of the industry.

Exceptional Developments and Outstanding Performance are Headline Highlights at Etihad Cargo

UAE National Carrier’s Cargo Division builds a rock sold reputation for reliability and innovation

Etihad Cargo, the cargo and logistics arm of Etihad Airways, was established in 2004, Etihad Cargo has since grown rapidly and exponentially to become one of the top air cargo carriers in the world, offering customers a range of cargo products and services to five major continents.

From its hub in the UAE capital Abu Dhabi, strategically located at the crossroads of the world’s busiest trade lanes, Etihad Cargo provides an integral link between Asia, Europe, North America, Australia and Africa.

In addition to general cargo, Etihad Cargo offers a wide range of specialty products including live animals, dangerous goods, valuables and vulnerables, personal effects, as well as its market leading cold chain products (the latter holding IATA’s stringent Centre of Excellence for Independent Validators certifications for both Pharmaceutical and Perishables Logistics, as

well as Live Animals Logistics).

Etihad Cargo’s number one priority is safety, and the carrier recently became the third Middle Eastern airline to achieve International Air Transport Association’s (IATA) Centre of Excellence for Independent Validators Lithium Batteries (CEIV Li-batt) certification.

Etihad Airways recently appointed Stanislas Brun to the role of Vice President Cargo. Brun will be responsible for Etihad Cargo’s commercial operations including scheduled and charter flights, revenue management and network planning. Brun will report to Etihad Airways’ Chief

Operating Officer, Mohammad Al Bulooki.

Brun joins Etihad Cargo from Geodis, where, in his role as Senior Vice President Global Airfreight, he oversaw the global air cargo operations of the logistics and supply chain solutions provider. As the newly appointed Vice President Cargo of Etihad Cargo, Brun will oversee all facets of the cargo commercial operations, including revenue management and network planning.

Global Supply Chain interviewed Stanislas Brun exclusively a few weeks after his appointment. The following is the transcript of that extensive interview.

COVER STORY: ETIHAD CARGO 6 MARCH 2024

Global Supply Chain (GSC): You were recently appointed to your current top position in February 2024; what is your mandate and what are you tasked with?

Stanislas Brun (SB): Joining Etihad Cargo at this juncture is truly an exhilarating opportunity, especially given the impressive trajectory the carrier has followed over the last two decades.

Since its inception, Etihad Cargo has meticulously built a reputation for reliability and innovation, always prioritising our customers and continuously investing in our service portfolio and operational reach. My mandate, as I step into this role, is to amplify these efforts, ensuring that our commitment to our customers and partners not only remains steadfast but grows stronger.

We will be intensifying our customerfirst philosophy, enhancing our service quality, fostering strong partnerships, and steering Etihad Cargo towards even greater heights of success. It’s a time of immense potential for Etihad Cargo, and I am looking forward to contributing to its

future achievements, ensuring we keep delivering on our promises and remain the air cargo partner of choice.

In the coming months, my focus will be on getting even closer to our customers and partners. This involves a deep dive into understanding their unique needs and challenges, with the goal of delivering tailored solutions that not just meet their current expectations but are also anticipatory of their future needs.

The essence of my role is to keep the customer at the centre of everything we do, ensuring their needs and feedback directly influence our strategic decisions and development processes.

Service quality, a cornerstone of Etihad Cargo’s success, is an area where there’s always room for enhancement. My focus will include identifying opportunities for improvement and innovation in how we deliver our services. This continuous pursuit of excellence is critical in maintaining our competitive edge and ensuring we offer the best possible experience to our customers.

“The essence of my role is to keep the customer at the centre of everything we do, ensuring their needs and feedback directly influence our strategic decisions and development processes.”
COVER STORY: ETIHAD CARGO MARCH 2024 7

Alongside this, strengthening and expanding our partnerships will be key. By building robust collaborations, we can extend our reach, improve our service offerings, and ensure that we remain a preferred choice for cargo services worldwide.

Investing in our growth and embracing innovation will also be a significant part of my mandate. Staying ahead of industry trends, leveraging new technologies, and continuously refining our offerings are essential strategies to ensure Etihad Cargo remains at the forefront of the cargo industry.

GSC: Etihad Airways recently released its FY-2023 Annual revenues. Cargo revenues touched AED 3.4billion (US$ 914million) in 2023. What is your take on the figures?

SB: As we emerged from the pandemic, market conditions started to adjust on its way to normalization. However, it is worth highlighting that we are still far from pre pandemic yields and revenues.

That said, if we compare the 2023 results to 2019, before the Covid-19 pandemic, Etihad Cargo’s volumes were still 30% higher in 2023. Highlights in 2023 includes Etihad

“Etihad Cargo’s volumes were still 30% higher in 2023 transporting 37% more PharmaLife and 10% more FreshForward shipments, made possible by our continuous product enhancements.”

Cargo transporting 37% more PharmaLife and 10% more FreshForward shipments, made possible by our continuous product enhancements, investment in infrastructure and technology, and working closely with our partners and customers.

GSC: Where do you foresee Etihad Cargo growth revenues in 2024?

SB: The air cargo market remains challenging, but Etihad Cargo is actively exploring opportunities for pockets of capacity demand across our network while continuing to add depth to our network via new routes and increased frequencies to ensure we can fully meet our customers’ requirements.

In terms of our key verticals for 2024,

pharmaceuticals, express cargo and express options for other types of cargo will continue to be a focus for Etihad Cargo, and logistics across these critical sectors will further evolve. E-commerce also shows great potential, and Etihad Cargo has already signed e-commerce contacts with our key partners and customers that will see us extend our dedicated charters until December 2024.

In response to growing demand for transportation solutions for high-value electronics, Etihad Cargo launched SecureTech, our ninth premium product, which is dedicated to the safe and secure transportation of lithium-powered goods, including laptops and mobile phones. So far in 2024, we have already witnessed a 51% increase in electronics shipments versus the same period last year.

We have ambitious growth plans for the coming year, including adding further depth and destinations to our global network, which will enable us to add more capacity along key routes. Etihad Cargo will also continue to strengthen our partnerships so we can enhance our capabilities, ultimately benefiting our customers.

8 MARCH 2024

Etihad Cargo and Rotate launch Sales Cockpit across Etihad Cargo’s global stations

Following the successful roll-out, Rotate will continue to develop further features and enhancements

Etihad Cargo has officially launched Sales Cockpit, a digital sales optimisation tool that will enable the carrier to enhance customer relationships and add value to its partnerships.

Etihad Cargo partnered with Netherlandsbased Rotate in May 2023 to co-develop Sales Cockpit with the aim of utilising data and machine learning to improve customer service and gain a more in-depth understanding of the carrier’s partners and customers.

Using custom-built algorithms to analyse data, Sales Cockpit generates tailored and customisable recommendations on how users can strengthen customer relationships by identifying current and future opportunities.

Co-development

Etihad Cargo and Rotate have completed the co-development and delivery of the first-of-its-kind tool. The carrier will now

roll out Sales Cockpit globally, providing its commercial teams with access to updated data analysis and a real-time snapshot of Etihad Cargo’s business on specific routes, with individual customers and by product.

“The successful co-development and completion of Sales Cockpit in partnership with Rotate will benefit Etihad Cargo’s partners, as sales representatives and account managers are empowered by data to have more meaningful interactions with customers,” stated Stanislas Brun, Vice President Cargo, Etihad Cargo.

“The tailored recommendations provided by this innovative tool will help Etihad Cargo deliver a more efficient and seamless customer journey and boost sales, helping the carrier to develop stronger partnerships and help customers achieve their business objectives,” he continued.

Innovative partner

“Co-developing Sales Cockpit with an innovative partner like Etihad Cargo gave us unique access to an expert team to rapidly build and validate the solution.

The collaboration helped maximise adoption, as both Head Office and local teams were involved throughout its development. We are immensely grateful to the whole Etihad Cargo team for the enthusiasm and energy they put into this project,” observed Ryan Keyrouse, Chief Executive Officer, Rotate.

Over 50 Etihad Cargo team members were involved in the co-development of Sales Cockpit, contributing over 1,000 of the total 6,000 development hours. During the development phase, Rotate and Etihad Cargo’s steering team visited ten of the carrier’s global stations in 20 weeks, allowing improvements to be implemented in real time following feedback from Etihad Cargo’s teams, a press communique noted.

Etihad Cargo’s sales representatives and commercial teams will now be using Sales Cockpit globally to gain visibility of the carrier’s key accounts across its entire network. This will enable them to benchmark regional performance and identify opportunities on a global scale to help customers meet their tonnage targets.

COVER STORY: ETIHAD CARGO MARCH 2024 9

GSC: Etihad Cargo recently partnered with Awery Software Solutions to streamline operations. Tell us more.

SB: Our partnership with Awery demonstrates Etihad Cargo’s commitment to meeting the increasing demands of our customers, particularly at a time when the e-commerce boom has led to a significant rise in charter service requests.

Last year alone, we witnessed a 35% increase in charter requests and operated 23% more charters, totalling 262 freighters, compared to the previous year. These numbers not only highlight the growing need for our services but also underscore the importance of innovating our operations to better serve our customers.

In response to this demand, we’ve implemented a customised version of Awery’s Enterprise Resource Planning (ERP) system specifically designed for our Cargo Chartering Programme.

This strategic enhancement is set to revolutionise how we manage charter operations, making our processes more efficient and allowing us to offer faster response times and more competitive pricing. The system’s capabilities, from classifying and prioritising charter queries to leveraging historical data for better pricing decisions, are crucial for our goal of providing the highest levels of service to our customers.

What makes this partnership especially significant is the direct benefit it offers to

our customers. With the new ERP system, our customers can now enjoy a more streamlined process for booking charters. They can easily accept quotes with a single click or provide feedback on quotes they choose not to accept, enhancing our mutual communication and understanding.

The ability to quickly access and compare past quotes ensures that we remain competitive in our pricing, all while maintaining the consistency and quality of service our customers have come to expect from us.

In managing our charter enquiries more efficiently and enhancing our operational capabilities, we’re not just responding to the current surge in demand; we’re preparing for the future. This initiative is a pivotal step in our ongoing digitalisation journey, aimed at leveraging technology to improve customer service and affirm our position as the air cargo partner of choice.

GSC: Etihad Cargo recently signed a three-year strategic partnership with WFS. Provide us the details.

SB: Etihad Cargo’s three-year strategic partnership with Worldwide Flight Services (WFS) covers cargo handling services at 12 major international airports across Europe, North America, India, and Asia Pacific. This collaboration marks a significant milestone in our mission to provide high-quality air cargo solutions globally.

Etihad Cargo’s partnership with WFS, a relationship that has been strengthening since our first cargo handling agreement in Frankfurt in 2005, is a testament to our shared commitment to excellence. The addition of new stations under this partnership, including Amsterdam, Bengaluru, Barcelona, Boston, Copenhagen, and Chicago, reflects our dedication to expanding our global footprint and enhancing our service capabilities.

This partnership not only signifies a mutual dedication to delivering top-tier air cargo solutions but also assures our partners and customers of the highest service quality, no matter their location. This strategic expansion is pivotal for Etihad Cargo, as we continue to innovate and provide exceptional service, reinforcing our position as a customer-centric and forwardthinking air cargo carrier.

GSC: Etihad Cargo continues a strong cool chain product growth trajectory. Explain. SB: In 2023, we achieved the third consecutive year of growth for our dedicated cool chain products— PharmaLife and FreshForward—including a significant 37% increase in pharmaceutical and healthcare shipments and a 10% increase in perishable shipments. These achievements underscore Etihad Cargo’s unwavering commitment to excellence in pharmaceutical and perishables logistics.

10 MARCH 2024
COVER STORY: ETIHAD CARGO

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Our success in cool chain logistics is the result of deliberate strategic investments in infrastructure and technology. Last year, we inaugurated our dedicated pharma hub, doubling our cool chain storage and handling capacity. This 3,300square-metre facility, equipped with the latest technology, has dramatically enhanced our capability to handle sensitive shipments with the care and precision they require. Following the launch, we immediately saw a surge in pharmaceutical volumes, highlighting the hub’s impact on our operations.

Moreover, Etihad Cargo’s investment in refurbishing our perishables handling and storage facilities underscores our dedication to maintaining the highest standards of quality and safety. By operating a dedicated, temperature-controlled warehouse and integrating it seamlessly with our FreshForward truck fleet, we’ve made the journey of perishables through our network smoother and safer.

Our commitment extends beyond infrastructure to include our global network expansion and the establishment of strategic corridors like Pharma Corridor 2.0 and Fresh Corridor 2.0. These initiatives have not only bolstered our volumes but have also set new standards in transparency, traceability, and trackability within the sector, bringing immense value to our

customers and the global supply chain.

At Etihad Cargo, putting our customers first means continuously enhancing our products, technology, and expertise to meet their evolving needs. Our record growth in cool chain products is a testament to this commitment, as we strive to support emerging and growing markets, particularly in critical regions like India, through our expanded operations and increased frequencies across key trade routes.

Our partners and customers benefit from our relentless pursuit of excellence and innovation, ensuring Etihad Cargo remains at the forefront of global air cargo operators.

GSC: Etihad Cargo SecureTech was introduced to make transportation of Consumer Electronics safer. How so?

SB: SecureTech, the latest addition to Etihad Cargo’s premium product suite, was specifically designed to meet the growing global demand for the safe and secure transportation of consumer electronics. This innovative service is a direct response to our customers and partners seeking a reliable solution for transporting high-value electronic devices, such as mobile phones, laptops, and tablets, powered by lithium batteries.

Understanding the unique challenges associated with transporting electronics,

particularly the risks posed by lithium batteries, SecureTech incorporates enhanced security features and rigorous handling procedures to ensure the utmost safety of these shipments. These features include constant surveillance, secure and controlled storage areas, and access restricted to authorised personnel throughout the transportation process, from the build-up of pallets to delivery at the destination.

Safety remains Etihad Cargo’s number one priority, and we’re proud to have achieved the International Air Transport Association’s (IATA) Centre of Excellence for Independent Validators Lithium Batteries (CEIV Li-batt) certification. This certification demonstrates Etihad Cargo’s commitment to the highest standards of safety and efficiency in handling electronics, backed by sophisticated safety management systems and specialised equipment.

Our staff undergoes extensive training to handle lithium batteries safely, adhering to stringent acceptance checks that include thorough reviews of documentation, packaging, and labelling.

The launch of SecureTech positions Etihad Cargo to address the surging demand for air cargo capacity for electronics, notably from key markets like India, which has seen significant growth in electronic exports.

12 MARCH 2024

introduction of new routes and increased frequencies, ensures our capability to fully meet this demand while providing our customers and partners with the confidence that their electronic shipments will be transported safely and securely, arriving on time and as promised.

GSC: How significant is the cargo / freight business for Etihad Cargo in general?

SB: Etihad Cargo is an integral part of Etihad Airways’ ambitious growth vision. As a combination carrier, our partners and customers benefit from belly hold capacity on board passenger flights, supported by freighters to key markets, and we are continuously enhancing our product offering so we can remain the air cargo partner of choice.

GSC: Do you plan to acquire more cargoonly freighters?

SB: Etihad Cargo has signed a letter of intent with Airbus for seven state-of-the-art A350F aircraft. These new-generation freighters are set to enhance our cargo operations significantly, representing the pinnacle of efficiency in air cargo transport. We anticipate the arrival of the first in Q1-2027. As we look forward to these upgrades, we remain proactive in exploring strategic options to augment our fleet in the interim.

freighter services to the Middle East?

SB: Etihad Cargo’s strategy is to deploy freighters to areas that would feed the belly of Etihad Airways’ global passenger network. Demand drives our freighter operations and network, and we deploy them based on market conditions and requests from our customers and markets. We continuously evaluate our network and respond to demand with agility to meet our customers’ capacity requirements fully.

GSC: How does Etihad Cargo hope to close 2024?

SB: Etihad Cargo’s focus for 2024 is further strengthening our partnerships, leveraging technology and putting our customers first. These are the pillars that will enable us to grow, deliver on our promises and remain the air cargo partner of choice. By remaining customer-focused, agile and adaptive, we are confident 2024 will be another strong year for the carrier.

GSC: Talk to us both about the opportunities and challenges for Etihad Cargo for the foreseeable short- and longterm futures in relation to in relation to the Middle East?

SB: I will be working closely with our team and partners to execute short-, mid- and long-term plans to achieve Etihad Cargo’s

developing new cargo hub infrastructure at Zayed International Airport. Another one of my focuses will be continuing to form and nurture strategic alliances and partnerships, as well as further developing synergies within our extensive global network.

In terms of sectors showing great potential, pharmaceuticals, life sciences, and perishable goods remain pivotal to Etihad Cargo’s operations. In 2023, we celebrated another year of double-digit growth in our PharmaLife and FreshForward offerings, marking the third consecutive year of such success. We aim to sustain this upward trajectory into the next year.

The demand for e-commerce and electronics transportation is surging. In response, Etihad Cargo has tailored its services to the evolving needs of our partners and customers, offering specialised charters for the swift movement of express and e-commerce shipments. Additionally, we have introduced SecureTech, a novel solution designed specifically for the secure transportation of electronic goods.

Our dedicated freighters, combined with our proficiency in managing express and e-commerce deliveries, alongside the strategic location of Abu Dhabi and Zayed International Airport, position us as a prime hub for these specialised charters.

MARCH 2024 13

FIATA-RAME 2024 Field Meeting & Conference opens in Dubai

The Middle East and Africa logistics market is currently valued at US$ 163.57bn

Held under the patronage of HH Sheikh Ahmed Bin Saeed Al Maktoum, Honorary Patron of NAFL-UAE, the Geneva, Switzerland-headquartered International Federation of Freight Forwarders Associations (FIATA) RAME (Region Africa Middle East) 2024 Field Meeting and Conference opened in the first week of March at The Atlantis, The Palm, Dubai.

The recently concluded two-day conference (5 and 6 March 2024) organised by NAFL, under the theme ‘Connectivity, Resilience, and Sustainability in Global Supply Chains and Trade’, delved into the trade disruption due to geo-political issues and strategies for a burgeoning MEA logistics market, currently valued at US$ 163.57bn and forecasted to reach US$ 222.63bn in 2029. Present on the occasion was Humaid Bin Salem, Chairman, International Chamber of Commerce UAE, to discuss the strategies for seamless logistics ecosystem in the face of geo-political disruptions.

FIATA RAME Official Meeting 2024

The event also hosted the FIATA RAME Official Meeting that featured industry bigwigs including FIATA RAME Chair Dr. Juanita Maree; Dr. Stéphane Graber, FIATA Director General and FIATA global President Turgut Erkeskin.

14 APRIL 2024

In his opening remarks, HE Humaid Bin Salem emphasised the UAE’s commitment to facilitating and promoting global trade through seamless multimodal connectivity.

“In line with the UAE’s goals to diversify the economy, the ICC shares FIATA’s vision to facilitate global trade. In the face of global supply chain disruptions, whether due to natural disasters or geo-political events, it is imperative that we think globally and work as one cohesive team,” he stated.

The opening ceremony was preceded by a welcome keynote by Turgut Erkeskin, President of FIATA, who delivered a comprehensive overview of the global challenges and evolving trends in the logistics sector.

Geo-political developments

“As globalisation dynamics are shifting, global trade is impacted by geo-political developments anywhere. Yet, amidst these challenges lie opportunities for resilience and adaptation. Our mission transcends problemsolving; it advocates for an approach rooted in agility, creativity, and strategic planning,” he continued.

“We had over 400 FIATA specialised diploma graduates in 2023 from the Middle East region; there is no challenge that we cannot overcome when such qualified workforce and expertise exist in the region,” he added.

“We hope that current uncertainties, end soon as we move into the future, strengthening existing trade routes will function while building regional corridors offering seamless global connectivity. With a focus on practical solutions and actionable insights, we strive not only to address challenges but also to forge a path towards a more resilient, sustainable, and interconnected future for all stakeholders in the global logistics arena,” asserted Turgut Erkisken.

Welcoming delegates

Ms Nadia Abdul Aziz, President, NAFL (National Association of Freight & Logistics), hosts of the Summit Meeting and Convention, welcomed over 600 delegates, representing 16 FIATA member associations, with 11 from the Arica & Middle East region from more than 29 countries.

“The UAE remains a global gateway for logistics and trade with investor-friendly policies and synchronisation with international markets. Our commitment to excellence is reflected in our ranking as the top destination for foreign direct investment (FDI) and the 7th place ranking on the global logistics index,” she remarked emphasizing the significance of the UAE hosting the meeting.

The event highlighted the latest initiatives, including advancements in digitalisation and implementing the Authorized Economic Operator (AEO) programme undertaken by Dubai Customs.

In the following presentations, Dubai Chamber highlighted its international services tailored for corporates and investors, with a particular focus on fostering business research and sustainability efforts. Meanwhile, Dubai South showcased its offerings encompassing e-commerce, logistics growth, and the Sea-Air Free Zone.

Evolving logistics landscape

The panel discussions on day one highlighted the evolving logistics sector across the region under the theme ‘GCC Market Overview, Opportunities, and Growth Areas’. Featured panellists at the session included Gopal R., Senior Vice President of the Supply Chain & Logistics Practice at Frost & Sullivan; Eng. Ali Bin Abdulatif Al Mesned, Qatar Chamber Board Member and President of the Qatar Association of Freight and Logistics (QAFL) elaborated on Qatar’s opportunities and economic growth prospects, providing an overview of the latest freight forwarding and trading ecosystem advancements.

Representing the Saudi Ministry of Investment were Majed Alsaadi and Ms. Reem Abdul Aziz Hasanain, along with Amal Balghunaim from the Ministry of Transport and Logistics Services and Abdullah Daoud from the Ministry of Transport & Logistics, shed light on opportunities in logistics and trade sector within KSA.

The session highlighted the National Industrial Development & Logistics Program (NIDLP) and outlined the logistics strategy for KSA’s transportation and logistics services sector.

This milestone meeting acted as a platform for bringing together key stakeholders–industry leaders, innovators, and thought leaders - to shape the future of logistics in the MEA region.

FIATA-RAME 2024 SUMMIT-DUBAI 16 APRIL 2024

FIATA-RAME 2024 Conference calls for further collaboration and digitalization

NAFL commits to develop digital platform for efficient, sustainable logistics

Held under the patronage of HH Sheikh Ahmed Saeed Al Maktoum, Honorary Patron of NAFL, the International Federation of Freight Forwarders Associations (FIATA) RAME (Region Africa Middle East) Field Meeting and Conference 2024 recently closed successfully in Dubai committing to working together to address the current disruptions in the logistics sector to build resilient and sustainable supply chains.

An important outcome of the conference was the signing of a Memorandum of Understanding (MoU) between the UAE National Association of Freight & Logistics (NAFL) and Kale Logistics, a leading provider of comprehensive cloud enterprise systems for the logistics sector. The partnership will focus on developing digital solutions to streamline processes and data analytics to facilitate trade.

This will further drive the digitalization of the sector in the UAE and enable NAFL stakeholders, members and the private sector in general to improve efficiency and transparency and benefit from a digital platform that supports operational processes and data sharing between stakeholders and facilitates the paperless exchange of traderelated information.

The platform, which will initially focus on the UAE market, aims to improve trade flows within the region and capitalize on the strategic location and connectivity of the country and the entire RAME region.

Throughout the conference, the focus was on fostering collaboration and introducing innovative solutions within the industry. Among the critical issues addressed at FIATA RAME were the strategies for tackling disruptions rising from geopolitical uncertainties and other causes such as natural disasters.

Partnerships

The event also emphasized the importance of partnerships between governments, logistics providers and industry players to facilitate interoperability in the global logistics market and develop sustainable practices.

Thanking the participants Nadia Abdul Aziz, President, NAFL, thanked the participants for their attendance. “The FIATA-RAME 2024 Conference was a valuable platform to foster collaboration and explore innovative solutions. The meeting identified several key areas for improvement in the regional logistics sector. One of our focus areas is harnessing the opportunities offered by digitalization, particularly in the private sector, which includes many of our members,” she observed.

“To this end, our partnership with Kale Logistics will help private sector players to streamline processes through digitalization, measure sustainability data and simplify business processes. In the meantime, we are also talking to entities, which include the National Information Centre, global audit experts and collaboration between the government players and the private sector to improve business and improve the sustainability of the sector,” she continued.

Challenges to opportunities

“We aim to turn the challenges in the industry into opportunities, improve the flow of trade in the region and utilize the connectivity of the UAE and the region to overcome the current challenges,” she further added

“Building resilience and sustainability in the African and Middle Eastern logistics industry requires a collaborative approach. We are encouraged by the discussions at the FIATARAME conference and the commitment of stakeholders to work together to overcome the challenges and create a more resilient future for the industry,” said Turgut Erkeskin, President, FIATA, in his keynote address to the Conference.

The two-day event brought together key players from the African and Middle Eastern logistics and global experts from the industry, serving as a crucial platform for knowledge sharing, forging partnerships, and charting a path toward a more resilient and collaborative logistics landscape in Africa and the Middle East.

FIATA-RAME 2024 SUMMIT-DUBAI APRIL 2024 17

EPG’s leading-edge WMS streamlines operations for UAE healthcare leader Arabian Ethicals

EPG was awarded the contract based on multiple criteria

Ehrhardt Partner Group has confirmed that prime UAE-based healthcare, pharma and FMCG distributor Arabian Ethicals has successfully deployed EPG’s LFS (Logistics Focused Solution) Warehouse Management System (WMS) across its territories.

With the implementation of LFS, Arabian Ethicals (AEC) has now streamlined and upgraded its operational processes across all divisions, spearheaded by its National Distribution Centre at Dubai Silicon Oasis and including other satellite locations.

The project further underlines the growing global success of the Germanbased company’s modular supply chain software.

The bold technological renewal now makes AEC one of only a handful of healthcare distributors in the UAE able to reap the benefits of a state-of-the-art WMS.

As the foremost UAE healthcare distribution specialist, AEC relies on stateof-the-art automation systems provided by trusted partners. Such systems allow AEC’s expert staff to ensure its diverse portfolio, including pharmaceutical, consumer and veterinary health products, meets the demanding needs of its governmental and private customers.

The provider serves hospitals, clinics, pharmacies, and supermarkets across the entire country, making speed, accuracy and efficiency vital pillars of its promise to customers.

EPG offers best and most costeffective solution

AEC managers tasked four vendors to submit proposals for a new WMS that would take the company to the next level, having identified that in a fast-moving and unpredictable commercial environment, their existing, locally made system was no

longer fit to meet the flexible requirements of its valued customers. EPG was included among these vendors following a recommendation from one of AEC’s trusted 3PL partners.

EPG was awarded the contract based on multiple criteria. These included the quality and robustness of the proposed solution, ease of implementation, and the German specialist’s global experience and reputation. Crucially, AEC concluded that LFS provided the best cost-effectiveness and ROI, despite not being the cheapest offering available.

LFS is winning friends and contracts across the globe because it speeds up, simplifies and optimizes warehouse workflow and operations via a modular suite that can be refined to suit each customer’s specific sector needs. The automated system works hand-in-hand with manual resource to ensure all goods inventory is received, identified, stored, moved and dispatched in the most reliable, timely and appropriate manner to suit the customer’s agreed priorities.

Modular capability suite ensures perfect fit

Following initial sessions between key AEC stakeholders and EPG’s international and local support teams, the project was successfully rolled out in three phases between Q3/2022 and Q2/2023.

“With the successful implementation of LFS across all our divisions, Arabian Ethicals once again ups the standards in the industry, becoming one of only a handful

EPG SUPPLY CHAIN SOFTWARE 18 MARCH 2024

of local distributors deploying a state-ofthe-art warehouse management system,” enthused AEC General Manager Stephan Stauffer.

“The EPG team worked hand in hand with our supply chain to assure the new platform seamlessly integrated with our existing systems and they continue to do so as we look forward to rolling out additional modules in the near future,” he added.

Capabilities

“The beauty of LFS is that it is modular, enabling us to fit the customer’s wishes

precisely by selecting from a matchless suite the capabilities which best suit their business needs. We are delighted that AEC has trusted us to deliver for their business and we look forward to working on future plans with them,” stated Ghouse Katiri, EPG Head of Customer Projects.

AEC and EPG continue to work on future enhancements and recently implemented Tatmeen – the UAE’s official track and trace platform for pharmaceutical products, using LFS as the core platform. Over the coming year, AEC plans to implement additional modules such as the delivery app, as it continues on its exciting upward path.

EPG–Smarter Connected Logistics

EPG is a leading international provider for a comprehensive Supply Chain Execution Suite (EPG ONE™) and employs 1,000 people at 23 locations around the world.

The company group provides its more than 1,600 customers with WMS, WCS, WFM, TMS and voice solutions to optimize logistics processes, from manual to fully automated logistics environments.

EPG solutions cover the entire supply chain: From warehouse and road to ground and cargo handling solutions at airports. With the EPG AES™ Aviation Execution Suite, EPG offers an all-inone solution for airport logistics and ground handling. Logistics consulting, cloud services, managed services and logistics training courses at the company’s own academy round out the comprehensive list of solutions from EPG.

EPG SUPPLY CHAIN SOFTWARE MARCH 2024 19

GWC leads the transport and logistics sectors in Qatar

The Company is a catalyst for sustainable economic growth and innovation

As the backbone of supply chain, road transport plays a pivotal role in connecting its various links, from raw material origins to final customer delivery, for this premier Qatari provider of comprehensive logistics services.

With the Ministry of Transport finalizing the Qatar Freight Master Plan (QFMP), attention has shifted to establishing an integrated, effective, and multimodal road freight system that supports Qatar’s continued economic development needs; providing strategic road transport solutions that are efficient and competitive; integrating seamlessly with air and sea freight; ultimately reinforcing sustainable economic diversification and strengthening competitive advantages in regional and global arenas.

Leading example of innovation

Gulf Warehousing Company (GWC) emerges as a leading example of innovation and adaptability amid the industry’s changing dynamics, poised to navigate forthcoming challenges and prepared to establish pioneering standards of excellence in logistics.

With over two decades of experience, GWC is strategically positioned to take on the logistical needs and challenges of the transport sector with efficiency and adaptability. Thanks to its transport fleet (the largest in Qatar), cutting-edge tracking systems, and tailored solutions, clients across diverse industries are provided with competitive advantage and added value that is integrated into their supply chain.

“Amidst the finalization of the Qatar Freight Master Plan, GWC will continue to support the country’s efforts in actualizing Qatar’s Third National Development Strategy (2024-2030), which consolidates Qatar international position as one of the most competitive and sustainable countries to provide innovative transport solutions that support the national economy,” stated Ranjeev Menon, CEO, GWC Group.

GWC-QATAR

A Robust Transport Management System

GWC’s success in road transport is significantly influenced by its cuttingedge transport management system, which seamlessly integrates technology to plan, execute, and optimize the movement of goods. The system provides a comprehensive view of operations, from analytics to real-time tracking.

Ensuring Safe Transportation and Deliveries

Safety is a paramount practice at GWC. The company fosters a “safety-first” culture by adhering to recognized standards and guidelines, continuous staff training, journey management based on risk assessment and proactive risk mitigation. Integral to our commitment to safety is ensuring optimal vehicle conditions and driver training to handle emergencies.

Additionally, GWC employs meticulous compliance and safety guidelines throughout the transportation processes based on the various cargo categories it handles, including dangerous goods.

Performance Metrics and Continuous Improvement

GWC sets benchmarks for operational efficiency, monitoring fleet utilization, as well as repair and fuel costs. Rigorous monitoring identifies areas for improvement to ensure sustainable practices and environmentally conscious operations.

Accident rate reduction and driver performance assessments are pivotal in our continuous improvement strategy. An incentive-based scheme motivates drivers to adhere to safety protocols, maintain fuel efficiency, and exhibit professionalism on the road.

Sector-Specific Solutions

GWC offers tailored solutions that serve different sectors through its diverse transport fleet. Most prominent among them is the oil and gas sector, which it supports by organizing the safe transport of chemicals and petrochemicals and providing specialized carriers for hazardous materials.

GWC appoints New Managing Director and Board Member

Sheikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani gets top position

Gulf Warehousing Company has appointed Sheikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani as its Managing Director and Board Member.

As a company deeply rooted in Qatar’s economic landscape, GWC is playing a pivotal role in achieving the nation’s ambitions of becoming a global hub for logistics services and enhancing its appeal as a centre for global investment and business, according to a recent press communique.

“Sheikh Abdulla brings a wealth of leadership, experience, and vision as we seek to capitalize on new opportunities and overcome challenges, while pursuing our strategic objectives of growth, innovation, and sustainability,” stated Sheikh Mohammad Bin Hamad Bin Jassim Al Thani, Chairman, GWC.

“With steadfast support from Qatar’s visionary leadership, esteemed stakeholders and shareholders, and the invaluable trust of our clients, GWC is poised to continue driving the progress in the logistics sector, while actively fostering growth and advancement in Qatar and across the region,” added Sheikh Mohammad.

Development Strategy

GWC’s strategic initiatives are closely aligned with Qatar’s Third National Development Strategy 2024-2030, particularly in meeting the requirements of economic diversification clusters for logistics and shipping services.

Through these efforts, GWC significantly contributes to enhancing Qatar’s position as a global focal point for shipping, transportation, and logistics services, thereby working towards the country’s objective of achieving a top 15 ranking in the worldwide Logistics Performance Index.

“Throughout 20 years of industry leadership, the GWC team has proven that commitment and diligence are the cornerstones of logistics excellence. Together, we will continue to innovate, expand, and contribute to the growth of Qatar’s economy in alignment with Qatar National Vision 2030,” commented Sheikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani, Managing Director, GWC.

Career

Sheikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani has been a member of the GWC Board of Directors since 2008. He previously worked with Qatar Petrochemical Company (QAPCO), Muntajat (Qatar Chemical and Petrochemical Marketing and Distribution Company QPJSC), and Qatar Steel. His appointment marks a new chapter in GWC’s growth, where he will lead the company in further solidifying its powerful position within Qatar, across the GCC, and globally, the press statement concluded.

GWC-QATAR MARCH 2024 21

The company recently launched a modern station for cleaning ISO Tank containers which are used for transporting chemicals, a first of kind facility in the State of Qatar. Through it, the company cleans approximately 100 ISO Tank containers per month, with a capacity to clean 1,000 ISO Tank containers per month.

The company also provides container handling and repair services. More than 10,000 containers pass through the GWC’s container yard located in Al Wukair Logistics Park every month, out of which approximately 6,000 containers are repaired and reused.

Other specialized vehicles GWC offers are those used to transporting fine art and collectibles, flatbed carriers with capacities reaching more than 110 tons, vertical cranes of 140 tons, forklifts and other specialized vehicles and machinery.

Empowering the Workforce

“We consider our workforce as ambassadors of the company, which is why we strongly emphasize recruitment processes. This process involves thorough screening, skills verification, and additional tests to ensure personnel are equipped to navigate the dynamic challenges of the transportation sector. Our learning and development program covers induction modules, practical training, and internal and external safety training, as well as self-development courses,” concluded Menon.

GWC AGM approves cash dividends at QAR 0.11 per share

Shaikh Mohammed Bin Hamad Bin Jassem Bin Jaber Al Thani elected GWC Chairman

Gulf Warehousing Company (GWC) recently held its Annual General Meeting (AGM) in Doha, Qatar. The meeting was Chaired by Sheikh Abdullah Bin Fahad Bin Jassem Bin Jaber Al Thani and attended by representatives of the Ministry of Commerce and Industry, GWC’s external auditors Ernst & Young, and the company’s shareholders.

The General Assembly ratified all the items on its agenda including the approval of cash dividends to shareholders of 11% of the nominal value of the company’s shares, which is 0.11 Qatari Riyals per share.

The assembly also approved to release the board members from liability and distribute rewards to each member based on the evaluation of the board committees. Furthermore, the AGM presented a comprehensive review of the Group’s compliance with the Corporate Governance Code.

The company’s new board of directors, as elected by the general assembly, now constitutes the following members: Sheikh Mohammed Bin Hamad Bin Jassim Bin Jabor Al Thani, Chairman; Sheikh Fahad Bin Hamad Bin Jassim Bin Jaber Al Thani, Vice Chairman;

Sheikh Abdulla Bin Fahad Bin Jassim Bin Jaber Al Thani, Member; Ahmed Mubarak Al Maadid, Member; Mohammed Hassan Rafi’ Al Emadi, Member; Hanadi Anwar Al Saleh, Member; Sultan Yousif Khater Al Sulaiti, Member; Mohammed Abdulmonim Al Sayed, Member; and Abdulaziz Mohammed Jaber Al Sulaiti, Member.

The company achieved net profits of QAR 215mn for the year ended 2023, and total revenues of QAR 1.5bn. The total operating profit reached QAR 323mn with an Asset base of QAR 5.2bn. The EPS for the year ending 2023 recorded was QAR 0.367.

22 MARCH 2024
IN LITHIUM-ION MOTIVE LEADER POWER BATTERY www.lithiumforkliftbattery.com ©2024 BSLBATT All rights reserved BSLBATT ISO and UL areproperty of the international organization for Standardization and Underwriters Laboratories respectively Subject to revisions without prior notice E &0 E

Handling transportation of Hazardous Goods

Experienced and professional companies are the key to safe transportation

Dangerous goods have a wide array of classes. Each one needs to adhere to a specific set of protocols, safety procedures and documentation when prepared for transport. This demands a logistics partner that has the expertise and appropriately trained personnel to handle the complicated transport of hazardous goods.

The following categories constitute the nine classes of dangerous goods—Explosives, Flammable gases, Flammable liquids, Flammable solids, Oxidants, Toxins, Radioactive goods, Corrosives and Batteries.

Lithium Batteries

Lithium batteries have become the preferred energy source to power a wide variety of consumer goods ranging from mobile phones to children’s toys to cars and e-bikes. Though widely used, most people are not aware that lithium batteries are dangerous goods that can pose a safety risk if not prepared in accordance

with the transport regulations. To help with compliance, IATA has developed guidance for shippers, freight forwarders, ground handlers, airlines and passengers.

Smart luggage regulation

■ Baggage installed with non-removable batteries exceeding 0.3 g lithium metal or 2.7Wh is forbidden for carriages. When the baggage is to be checked in, the lithium battery must be removed and carried in the cabin as a carry-on item.

■ Smart Baggage with Integrated Lithium Batteries and/or Electronics.

■ Small lithium battery-powered vehicles

HAZARDOUS GOODS 24 APRIL 2024

IATA issued a notice on the classification of small lithium battery-powered vehicles when shipped as cargo and the provisions that apply, specifically the wording of Special Provision A214. Devices such as balance wheels, air wheels, solo wheels, mini balance boards and hoverboards, are classified as UN 3171, battery-powered vehicles. See the Cargo Provisions: Small Vehicle Powered by Lithium Batteries

Guidance material

To assist shippers in understanding the complete requirements related to the transport of lithium batteries, including packing instructions, IATA has prepared the updated Lithium Battery

Guidance Document. This 2024 guidance document includes updated and additional FAQs for shippers to learn how to comply with the 65th Edition of the IATA Dangerous Goods Regulations (DGR) on definitions, classifications, exceptions, and prohibitions.

The guidance document on the carriage of battery-powered cargo tracking devices and data-loggers has been revised to include reference to EASA guidance and the revised FAA advisory circular as well as to incorporate revisions to the 62nd edition (2021) of the IATA DGR. The guidance document has been further revised following the adoption of an exception from the application of

the lithium battery mark on packages containing Covid-19 vaccines.

The guidance document also provides information to manufacturers of these active devices, users of the active devices and operators that must approve the carriage of active devices in cargo.

Raising awareness

Preparation is a key component in understanding the terms of the Regulations. IATA has created a training course on Shipping Lithium Batteries by Air that covers all aspects of the identification, packing, marking and labeling, as well as the documentation requirements on lithium batteries transportation.

Progress Report: Sustainability, Digitalization and Safety in Air Cargo

The International Air Transport Association (IATA) reviewed progress in digitalization, safety and sustainability at the recent IATA World Cargo Symposium with the aim of accelerating progress on these critical priorities.

“Air cargo volumes are now firmly back to pre-pandemic levels. The challenge now is to ensure that air cargo growth is efficient, safe and aligned with achieving net zero carbon emissions by 2050. Through the hard work of the air cargo industry, the building blocks are in place to significantly accelerate progress in all these areas,” commented Brendan Sullivan, IATA’s Global Head of Cargo at the recently concluded World Cargo Symposium (WCS) in Hong Kong.

Digitalization & Safety

“Safety is critical to air cargo’s success. Last year the industry’s safety record reached new heights. Among the 38 million flights in 2023 there were 30 accidents, just one of which was fatal. A good safety record is earned every day. For air cargo that means continuing to put special emphasis on the handling of dangerous goods, and in particular lithium batteries,” added Sullivan.

Four areas were noted with respect to the safe transport of lithium batteries:

1A test standard for fire retardant shipping containers is ready for approval.

2Over 90 airlines are now sharing dangerous goods incident data through the IATA Global Aviation Data Management (GADM) programme.

3Guidance was published for operators to recognize and mitigate the risks from inexperienced e-commerce shippers using the postal system.

4An update to Annex 18 of the Chicago Convention clarifying responsibilities for

the handling of dangerous goods and their effective regulation is now ready for global adoption by states.

Underpinning the safe handling of dangerous goods by air cargo operators is the IATA Dangerous Goods Regulations (DGR). Importantly IATA renewed and strengthened its partnership with ICAO to publish this critical document in early 2024. And it is supported by numerous innovative tools including the Connect API and DG AutoCheck which are gaining industry traction as the benefits of automating previously paper-based processes are recognized.

“For any industry to survive, change is essential. And constant change for anyone is never easy. However, it is worth it when that change delivers 60mn tonnes of cargo that powers economies, improves peoples’ lives and genuinely makes our world a better place. And that is what inspires us to make our industry more efficient, ever safer and on target for net zero carbon emissions by 2050,” concluded Sullivan.

HAZARDOUS GOODS APRIL 2024 25

Saudia Cargo goes live with RTS Velocity and AcceleRate and Foresight solutions

Carrier redefines freight automation

Revenue Technology Services (RTS), provider of profit optimization tools for the travel and transportation industry, recently announced that Saudia Cargo, one of the world’s leading cargo airlines, went live with RTS Velocity, AcceleRate and Foresight solutions as part of a phased approach.

Velocity is a comprehensive revenue management solution designed to forecast capacity, show-up rate, and demand while optimizing overbooking, allotments, and bid prices. AcceleRate complements Velocity by offering dynamic pricing decision support tailored for the cargo industry, according to a press communique.

This solution considers numerous factors such as competition, customer value, price elasticity, and costs to recommend dynamic prices, alongside managing rating and rate sheet information. These dual solutions work seamlessly together to enhance efficiency for Saudia Cargo.

Revenue planning

Additionally, Foresight serves as a revenue planning and sales budgeting solution, considering schedules, capacity, demand, routes, equipment characteristics, and shipment details to set annual revenue targets and sales objectives. It also facilitates the design of freighter/truck

26 MARCH 2024

schedules based on split demand, ensuring comprehensive planning and optimization across the organization.

The extensive implementation effort comprised two distinct phases, each focused on the development of advanced Artificial Intelligence (AI) and Machine Learning (ML) techniques. These innovative solutions were tailored to enhance air cargo revenue management processes, encompassing forecasting capacities, overbooking optimization, O&D (origin and destination) based demand forecasting, and allotment optimization, the press note continued.

“Our partnership with RTS Global epitomizes our unwavering commitment to pioneering innovation and cutting-edge solutions that redefine our industry. It’s a testament to our relentless pursuit of excellence and our dedication to staying ahead of the curve when it comes to delivering unparalleled service quality and operational efficiency through automation,” remarked Mansour Alasmi, Vice President of Network & Revenue Management, Saudia Cargo.

Pushing boundaries

“These innovations are a testament to our shared ethos of pushing boundaries and continuously striving for excellence, ensuring that Saudia Cargo remains at the forefront of progressing our industry and customer satisfaction,” he continued.

“Today marks a momentous stride forward for the RTS and Saudia Cargo partnership with the successful integration of RTS Velocity, AcceleRate, and Foresight solutions. We are confident Saudia Cargo will redefine cargo automation. This accomplishment strengthens our global partnership, setting new standards and inspiring us to reach even greater heights,” commented Johan Van Rensburg, Global Had of Cargo Delivery, Saudia Cargo.

“Our vision of an end-to-end decision support solution suite for cargo has been realized with Saudia Cargo with Velocity, Foresight and AcceleRate. The thought leadership shown at Saudia Cargo is something for the aviation industry to look up to and we are glad that RTS is the chosen partner in this journey,” observed Mukundh Parthasarathy, Head of Cargo Solutions, RTS.

Saudia Cargo, WFS and Cainiao Group unite to boost efficiency of e-commerce trade

New collaboration aims to create a business model for future e-commerce logistics gateways at global airports

Saudia Cargo, Worldwide Flight Services (WFS), a Member of the SATS Group, and Cainiao Group have officially launched their strategic collaboration at Cainiao’s Liege eHub in Liege Airport, Belgium, further solidifying their longstanding partnership.

The collaboration is aimed at optimizing logistics processes through operational streamlining and the adoption of logistics innovations, according to an official press communique.

An inauguration ceremony was held today at the airside of the eHub, currently leased by WFS, with logistics procedures, facilities, and innovations invested in by Cainiao, demonstrating a commitment to delivering best quality service solutions to clients and partners. WFS, in close collaboration with Cainiao, operates within the air cargo station.

Since November 2021, Cainiao and WFS have been working together to enhance operational quality for joint partners like Saudia Cargo. Key service level agreement commitments include a 3-hour e-commerce transit, BUP release within 3 hours from ATA, and truck handling in less than 90 minutes.

Collaboration

The collaboration has also bolstered the logistics capacity of the eHub, with three temperature-controlled facilities jointly designed by the three parties. These include areas for loose 2-8°C (205 sqm), BUP (Bulk Utilization Programme) 2-8°C (140sqm), and loose 15-25°C (400sqm), supporting the transportation of perishable and pharma cargo products. Additionally, the eHub has obtained BCP certification, enabling the transport of fresh goods and further enhancing its capacity to facilitate cross-border trade.

This initiative addresses the growing demand for high-quality logistics operations in the cross-border

e-commerce sector, particularly in the Middle East and European markets. Earlier this year, Cainiao launched its international express shipping service, global 5-day delivery, in collaboration with AliExpress, now available in ten countries worldwide, the press statement continued.

The collaboration between Saudia Cargo and Cainiao includes specific freighter flights from Hong Kong to Riyadh and Liege, strategically tailored to meet the increasing logistics demands in these key regions and enhancing e-commerce delivery efficiency. Furthermore, the contract extension to WFS for handling over 50,000 tonnes annually on flights connecting Liege and Riyadh underscores Saudia Cargo’s ambition for operational excellence and reliable logistics services.

Pivotal market

“With the Kingdom of Saudi Arabia serving as a pivotal market, our operations into Liege solidify its status as a crucial hub for efficient connections to Europe, while also strengthening our position in the KSA market,” affirmed Teddy Zebitz, CEO, Saudia Cargo.

“By combining WFS’ proven handling capabilities with the use of innovative technologies, our team in Liege look forward to delivering the clearly defined service standards set by Cainiao and Saudia, and to supporting the continued growth of our successful collaboration,” commented John Batten, Chief Executive Officer, Europe, Middle East, Africa and Asia (EMEAA) WFS.

“We are confident that this win-win collaboration will further reinforce Cainiao’s position as the world’s leading cross-border e-commerce logistics provider by offering the valued customers of us three companies with enhanced experience,” remarked Eric Xu, Vice President, Cainiao Group.

SAUDIA CARGO MARCH 2024 27

How Automation is enabling Customer Excellence for Omnichannel grocers

The digital landscape for grocery shopping is expanding rapidly both regionally and globally

The integration of sophisticated automation technologies is pivotal, enabling these businesses to streamline operations, enhance efficiency, and meet the evolving needs of their customers with unparalleled precision, affirms Rami Younes, General Manager, Swisslog Middle East, in this special contribution for Global Supply Chain.

As regional consumer behaviour undergoes a swift transformation, particularly in the e-commerce sphere, the surge in online grocery sales in the Middle East underscores a significant shift.

According to PayPal, mobile e-commerce in the UAE is second only to China, with almost 60% of UAE users buying items using their smartphones in the past year. Amidst this burgeoning demand, omnichannel grocers are harnessing the power of automation to redefine customer excellence.

The integration of sophisticated automation technologies is pivotal, enabling these businesses to streamline operations, enhance efficiency, and meet the evolving needs of their customers with unparalleled precision.

The digital landscape for grocery shopping is expanding rapidly, with e-grocery platforms in the UAE and KSA projecting significant growth and increased market penetration in the coming years, from 5.5% in 2016 to 13% by 2026 in the UAE and a remarkable 50% increase in average order size by 2026 predicted in Saudi Arabia.

Innovative strategies

This growth is supported by innovative strategies such as the adoption of dark stores and the expansion of logistical networks, aimed at improving delivery speeds and product diversity.

Furthermore, automation plays a critical role in inventory management, ensuring availability, tracking consumer trends, and facilitating the efficient fulfilment of online

orders through robotic assistance and the exploration of autonomous delivery solutions.

This strategic embrace of automation by omnichannel retailers is not just enhancing operational efficiencies but is also setting a new standard for customer service excellence in the digital age.

Protecting the In-Store Experience

As the demand for online grocery shopping continues to rise, concerns have emerged regarding its impact on the traditional in-store shopping experience. In response to this, retailers are leveraging technology and automation to optimise the fulfilment of online orders and maintain good in-store experiences by reducing congestion and wait times.

28 MARCH 2024

For instance, Almarai, a leading Saudi multinational dairy company, partnered with Swisslog to automate its distribution logistics and fulfilment processes, which indirectly impacts the in-store shopping experience as well.

Automating picking and distribution processes leads to increased efficiency in fulfilling orders, reducing the time it takes for products to reach stores from distribution centres.

This efficiency translates to faster replenishment of stock on store shelves, minimising instances of out-of-stock items, and ensuring a smoother shopping experience for in-store customers.

Increasing Confidence in Online Shopping

Reducing in-store picking is the first step to expanding an omnichannel business. However, with increasing orders, manual picking, even in dedicated fulfilment centres, can constrain profitability, scalability, and speed.

This is why grocers like Raha, Kuwait’s first e-grocery solution, and others have opted for automation. When aiming for customer excellence, selecting the appropriate automation is pivotal.

The primary distinctions between e-grocery and other e-commerce lie in order complexity and picking schedules. E-grocery orders typically involve a greater number of items than regular e-commerce orders, and any inventory issues can halt fulfilment entirely.

Unlike traditional e-commerce, e-grocery functions like a continuous assembly line, with orders prepared throughout the day. Falling behind can adversely affect customer satisfaction and disrupt the entire day’s schedule. Grid-based systems like AutoStore prove highly effective in handling disruptions. Even if one robot goes offline, others can still access the entire grid, ensuring continuous order fulfilment.

Delivering Selection and Quality

Grid-based automation systems offer a high storage density, enabling e-grocers to offer online customers a broad range of products akin to in-store availability. This density minimises the need for substitutions and enhances customer loyalty by ensuring

“UAE and KSA projecting significant growth and increased market penetration in the coming years, from 5.5% in 2016 to 13% by 2026 in the UAE and a remarkable 50% increase in average order size by 2026 predicted in Saudi Arabia.”

consistent product availability and quality.

Compared to shuttle systems, grid-based systems can store a larger proportion of products, thereby reducing the likelihood of substitutions for online customers. They are also adept at managing inventory for online orders, guaranteeing freshness and quality. For instance, the SynQ system can accommodate various inventory management approaches, including product selection based on expiration and best-by dates.

Furthermore, it enhances pick accuracy by directing pickers to the correct products and verifying the correct SKU, which is essential for upholding high standards compared to third-party in-store ‘shoppers’, who may lack familiarity with the store’s layout or product assortment.

Providing Unmatched Convenience

E-grocery shopping has become more than just a convenience—it is a way of life. In fact, 72% of customers say that they would opt for online grocery shopping just because it is more convenient.

People rely on e-grocery to save time during busy weeks or simply to grab essentials on their way home from work without leaving their car. In such a fastpaced environment, fast and reliable order fulfilment is paramount.

This is where automated systems shine, outperforming manual processes and setting new standards for convenience while bolstering the reputation of grocers across the region. For instance, e-grocers in the UAE are taking proactive steps to ensure they meet the evolving expectations of their customers in today’s omnichannel landscape.

While automation may not always be the initial step in this journey, it is increasingly recognised as essential for grocers seeking to differentiate themselves based on the customer experience they provide, all while maintaining control over fulfilment costs.

RAMI YOUNES

General Manager for Swisslog Middle East.

He is responsible for overseeing the strategic landscape of Swisslog’s operations across the Middle East, with a specialised emphasis on warehouse logistics. With a career spanning more than 25 years, Rami brings a wealth of expertise in operations. Before joining Swisslog Middle East, he took on the role of Chief Operating Officer at ALS Logistic Solutions, where his visionary leadership played a pivotal role in the success of a notable 4PL Logistics startup, Integrated Logistics Services, based in Saudi Arabia.

HAND-HELD TECHNOLOGY IN THE WAREHOUSE MARCH 2024 29

Dubai Investments Park Angola inks deal for Phase 1 Infrastructure Development

China’s CHEC will serve as the main contractor for Phase 1A infrastructure works

Dubai Investments Park (DIP) Angola has marked a significant leap forward in its development journey as it announces the inking of a pivotal contract for Phase 1A Infrastructure Development with China Harbour Engineering Company Ltd (CHEC), one of the leading international civil engineering firms operating in Angola.

This DIP-CHEC important milestone underscores the project’s commitment to establishing itself as an innovative 2,000 hectare unique and premier integrated mixed-use residential, commercial and industrial hub in Angola, Africa.

CHEC will serve as the main contractor for Phase 1A infrastructure works, including roadworks, storm sewer system, water systems, and electrical systems with a contract duration spanning 10 months.

Long-term success

“By partnering with a reputable firm, DIP Angola demonstrates its dedication to quality, efficiency, and the long-term success of the project,” asserted Omar Al Mesmar, General Manager, Dubai Investments Park.

“Phase 1A infrastructure works represents a crucial foundation for the overall success and sustainability of DIP Angola and lays down the framework for attracting further investment, businesses, and industries to the region. By providing essential road networks, water systems, and electrical infrastructure, DIP Angola creates an environment conducive to economic activity, job creation, and revenue generation for the local community and the broader Angolan economy,” he added.

DIP Angola’s properly planned roadworks and storm sewer systems will not only ensure smooth traffic flow but also mitigate the risk of flooding, enhancing the overall livability of the area. Adequate water and electrical systems are fundamental for residential, commercial, and industrial activities, ensuring that residents,

businesses, and industries have reliable access to essential utilities, according to a press communique.

Leveraging expertise

“This partnership underscores our commitment to leveraging our expertise and resources to contribute to the development of Angola’s infrastructure landscape. We are confident that our team’s dedication to excellence and our collaborative approach will ensure the successful delivery of high-quality infrastructure that meets the needs of DIP Angola and its stakeholders,” commented Xiaoying Hao, Southern Africa Division, General Manager, China Harbour Engineering Company Ltd.

“With a rich portfolio of successful projects in Angola and a proven track record of expertise in infrastructure development,

we are honoured to be chosen as the main contractor for Phase 1A infrastructure works at DIP Angola,” he continued.

Eco-friendly practices

DIP Angola’s commitment to sustainability extends beyond its eco-friendly practices. By investing in robust infrastructure, the project promotes sustainable development by minimizing environmental impact, optimizing resource utilization, and promoting resilience against future challenges such as climate change, the press statement further noted.

Developed by Dubai Investments

International Angola, DIP Angola’s Phase 1A infrastructure works marks a major milestone and a significant step forward in DIP Angola’s journey towards establishing itself as a premier destination for mixed-use development in Africa.

DIP-ANGOLA 30 APRIL 2024
From L-R Xiaoying Hao and Omar Mesmar at the signing of the deal

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Tetra Pak provides premier processing and packaging solutions

Tetra Pak boasts a rich legacy in the Middle East spanning five decades

The key innovation that set Tetra Pak apart was the development of aseptic packaging, a method that allows food to be stored for long periods without refrigeration, while maintaining its quality and safety. The first product using this technology was launched in 1961, a tetrahedronshaped carton that became the iconic Tetra Brik.

Tetra Pak, the multinational iconic food packaging and processing company, originated in Sweden. The company was founded in 1951 by Ruben Rausing and Erik Wallenberg, with the goal of developing a packaging solution that would preserve and transport liquid foods more efficiently and safely.

Tetra Pak boasts a rich history in the Middle East, having cultivated a substantial presence in the region for nearly 50 years.

Tetra Pak Arabia Area comprises the GCC and Levant region with 12 countries, 7 locations, one converting factory, and one straw factory.

Niels Hougaard, Managing Director, Tetra Pak Arabia, and Marcelo Piva, Regional Sustainability Director, Greater Middle East and Central Asia, Tetra Pak Arabia, jointly responded exclusively to a recent questionnaire from Global Supply Chain on the sidelines of the recently concluded Gulfood 2024 in Dubai.

TETRA PAK: EXCLUSIVE INTERVIEW 32 MARCH 2024
NIELS HOUGAARD, Managing Director, Tetra Pak Arabia

Global Supply Chain (GSC): How has Tetra Pak fared in the region since its inception—summarize its development?

Niels Hougaard (NH): Tetra Pak has played a crucial role in the Middle East’s food and beverage industry by providing processing and packaging solutions that meet the unique demands of the market.

Tetra Pak’s aseptic end-to-end technologies have been widely adopted by food and beverage producers in the Middle East due to its ability to preserve and transport products in a safe and cost-effective manner. The company has collaborated with various businesses in the region to implement its packaging solutions for a range of products, including dairy, juices, tomato paste and other liquid foods.

Tetra Pak’s commitment to sustainability and environmental responsibility has also been an essential aspect of its operations in the Middle East, as the company has worked to reduce the environmental impact of its packaging materials and processes. Tetra Pak has taken a leading role in the region in the drive towards a low-carbon

circular economy.

Our carton converting factory in Tetra Pak Arabia is located south of Jeddah in the Kingdom of Saudi Arabia. Tetra Pak supplies most of the carton packaging material for Saudi Arabia and exports to customers in 24 other countries in the Middle East, Europe, and Asia. Tetra Pak’s Jeddah factory is one of the best performing Tetra Pak factories in the world.

GSC: How significant is the region for Tetra Pak?

NH: Tetra Pak’s commitment to the Arabia Area as well as recognition of its significance and potential, are reflected through the high efforts that are being put in to build a strong infrastructure that will support achieving Net Zero and enhance recycling capabilities throughout the Arabian region.

Tetra Pak’s contribution, inclusion, and active participation in circular economy efforts allow us to assist regional governments in developing and implementing policies that will lead to a low-carbon circular economy, and

MARCELO PIVA,

Regional Sustainability Director, Greater Middle East and Central Asia, Tetra Pak Arabia

eventually achieve Net Zero goals.

In Saudi Arabia, significant partnerships have been signed with local recycling partners and school programs are being implemented to raise awareness among children about recycling habits. In addition, Tetra Pak has signed several MoUs with the Saudi Government and has entered discussions and engagements with waste management companies and collectors to increase the collection of carton packages across the Kingdom.

In the UAE, the company is increasingly present in the sustainability conversation, contributing as members of several circular economy entities, and actively collaborating with the government to shape circular economy policies and regulations, including Extended Producer Responsibility (EPR).

In addition, Tetra Pak entered an MoU with Dubai-based Union Paper Industries (UPM) alongside engagements with collection companies and waste management companies, intending to help set up the right infrastructure for recycling capabilities in the country.

TETRA PAK: EXCLUSIVE INTERVIEW MARCH 2024 33

GSC: What are the opportunities and challenges for Tetra Pak going forward?

NH: With the world’s population continually growing, there is an increasing demand for food and beverage products. Tetra Pak’s packaging solutions can address the need for efficient and sustainable packaging in the food and beverage industry, helping to increase food security.

The global push towards sustainability and environmental responsibility also presents an opportunity for Tetra Pak. The company has already made strides in developing environmentally friendly packaging materials and promoting recycling initiatives. As sustainability becomes more critical, Tetra Pak can take its position as a leader in eco-friendly packaging solutions.

As consumers become more healthconscious, there is a growing demand for products such as healthy juices, plant-based beverages, and other healthier options, which also presents a positive opportunity. Tetra Pak can capitalize on this trend by providing packaging solutions that preserve the nutritional value of these products while maintaining their safety.

Finally, implementing technologies, our portfolio of industry automation digital solutions and IoT (Internet of Things) for supply chain optimization and customer engagement can add value to Tetra Pak’s products. All of these constitute opportunities.

The challenges comprise staying ahead in terms of innovation, cost-effectiveness,

and environmental sustainability will be crucial for the regional food industry to maintaining a competitive edge.

Changes in consumer preferences, including shifts in packaging preferences or a move away from certain types of packaged foods, can affect Tetra Pak’s business. Staying attuned to these trends and adapting packaging solutions accordingly is essential, and why we work closely with our regional markets.

GSC: Enunciate Tetra Pak’s sustainability initiatives and goals for Financial Year

Marcelo Piva (MP): In the Arabia Area region, 2023 initiatives and goals were focused on developing further our recycling capabilities and the establishment of a recycling value chain for used carton packages. Our two recycling partners in KSA, Obeikan Paper Industries (OPI) and Saudi Top Plastics (STP) entered commercial operations at scale, while we have started engaging with waste management companies to start collaboration in collection and sorting of used carton packages to be sent for recycling.

We have also signed a new recycling partnership agreement with co-investment in the UAE with Union Paper Mills (UPM), the pioneer and largest paper recycler in the country. The project is planned to start in 2024 and will enable used carton packages recycling in the UAE.

We also have performed two pilot projects: in KSA, we partnered with our customer SADAFCO on a school program to create awareness about waste segregation and recycling, having education sessions and recycling bins distributed to 250 schools, and sending the collected carton packages for recycling.

In the UAE, we partnered with the Abu Dhabi Environment Agency in piloting a recycling station in some retail stores where consumers can bring back recyclables and be rewarded exchanging points with

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GSC: What is Tetra Pak’s role in driving sustainability across the industry value chain, as well as the company’s part in addressing industrywide challenges?

MP: Tetra Pak has been directly involved and leading Sustainability developments in many regions around the world, and this creates a strong knowledge and expertise in Sustainability-related areas that can support the industry and local authorities in progressing towards their ambitions on Net Zero, waste diversion from landfill and other related topics.

Tetra Pak proactively partners with industry in the form of industry coalitions and associations, where we share and learn from the industry and create a combined strategy and a communication channel with the local governments and policy makers.

We also work strongly with our suppliers and customers towards our ambitions of achieving Net Zero in our own operations by 2030 and in the entire value chain by 2050. With government and policy

makers, for example, we collaborate in the development of regulatory frameworks and best global practices (for example with EPR schemes) to support the implementation and enforcement of policies towards Circular Economy and waste management that eventually improves and develops further the complete recycling ecosystem in the country.

GSC: What are the recent findings and consumer trends highlighted in Tetra Pak’s 2023 Index?

MP: The Tetra Pak Index, based on a survey conducted in ten countries around the world by the global market research firm IPSOS, unveils a significant shift in consumer preferences. Notably, convenience is no longer the paramount factor.

In a marked departure from the trend, 70% of participants expressed that they would sacrifice convenience for healthier products. Moreover, the pursuit of better health remains unwavering despite the current cost-of-living crisis, as only 17%

indicate a willingness to sacrifice food and beverages with health benefits in the current economic climate.

GSC: What are your expansion plans for Tetra Pak in the region going forward? (NH) NH: We are poised for a series of substantial investments in the region during 2024, all while strengthening and developing our existing partnerships. Take our recent collaboration with IFFCO Group, to ensure long-term sustainable production and packaging of culinary creams in Saudi Arabia.

IFFCO has implemented a robust range of sustainability targeting measures that are based on a holistic approach to reducing the group’s environmental footprint. We are working together to introduce advanced equipment and processes that reduce waste, enhance recyclability, and lower carbon dioxide emissions.

Our innovation prioritizes water efficiency, recycling and reusing processed water, with state-of-the-art and energy-efficient

TETRA PAK: EXCLUSIVE INTERVIEW

equipment. We are thrilled to partner with IFFCO in this impactful project, which is an industry-leading step in Saudi Arabia and the GCC.

We have also recently signed a groundbreaking MoU with Bagdad-based food company Alssad for Food Industries, which will become the first factory in Iraq to produce high quality tomato paste and legume products in Tetra Recart packaging, introducing a new level of value, convenience, and food safety to the market. The project is expected to begin production in 2024, and we are delighted that this agreement will provide Iraqi consumers with an easy to use, sustainable packaging solution.

For consumers it is a practical, modern, safe, and natural alternative to tin cans. For Alssad it offers size-flexible lines, allowing a smaller factory footprint, reduced warehousing requirements and lower operational costs. For the planet, it offers a solution made from at least 69% responsibly sourced, renewable materials, which are 100% recyclable. Our joint efforts with Alssad are aimed at differentiating their offering and providing Iraqi consumers with new food segments from juices to milk, ice cream, culinary products.

Earlier this month, we signed an

agreement with the Sharjah Agricultural and Livestock Production EST (Ektifa), to equip the Mleiha Dairy Factory with state-of-the-art machinery for milk production. The Mleiha dairy facility is only one of several highquality initiatives that are helping Sharjah achieve food security on a scale never seen before. Organic, non-toxic, and additive-free products will emerge from the factory.

We are committed to playing a pivotal role in accelerating sustainability efforts across the region, including the Gulf and Arab world, and will continue to invest our expertise, our innovation and financially in developing relationships that support that goal.

GSC: Please shed light on Tetra Pak’s manufacturing facility (in Jeddah KSA) and are there plans to increase its manufacturing capabilities?

NH: Tetra Pak’s Jeddah factory is one of the best Tetra Pak factories in the world.

In 2013, the factory was awarded the Factory of the Year Award, an achievement that was made possible through our endless pursuit of the World Class Manufacturing (WCM) mindset. Jeddah factory is certified with ISO 14001 and undertakes various environmental activities such as waste recycling and efficient energy management. In January 2015, the Japanese Institute of

Plant Maintenance (JIPM) officially certified Tetra Pak’s Jeddah factory as a recipient of the JIPM special award.

GSC: Looking into your crystal ball, what is your vision of Tetra Pak in the region going forward?

NH: We aim to grow and expand in a market that is growing and expanding regionally, but we will do that in a way that supports our sustainability objectives and the objectives of the leadership of each country.

The UAE, today, is considered one of the most important hubs of global food logistics, and its position on the Global Food Security Index rose from 35th to 23rd –topping the MENA region – but it is a desert nation, which heavily relies on imported food, so there are still challenges. The UAE’s Economy Minister Abdulla Bin Touq Al Marri recently announced a food and agriculture strategy to bolster the sector’s value to US$10bn and create 20,000 jobs by 2025. We will work to support that growth.

We also aim to support the growth of the Saudi Arabian food sector, which is making strides towards greater self-sufficiency and agricultural development in line with its food-security strategy. In these leading markets and across the region, there is still huge potential in the Middle East.

TETRA PAK: EXCLUSIVE INTERVIEW MARCH 2024 37

AD Ports Group acquires majority stake in Tbilisi Dry Port

Purchase Agreement strengthens the Group’s role in the Middle Trade Corridor

AD Ports Group recently announced the signing of a purchase agreement with Inveco to acquire 60% ownership in the Tbilisi Dry Port, a new custom-bonded and rail-connected intermodal logistics hub in Georgia.

The Tbilisi Dry Port Project, currently owned by Inveco and Wilhelmsen, is expected to be operational by Q42024. It is a key logistics hub situated along the strategically important Middle Corridor, an emerging trade lane linking manufacturing hubs in Western Asia to consumer markets in Eastern Europe by leveraging a combination of sea and dry ports located in Kazakhstan, Azerbaijan, Armenia, Georgia, and Türkiye.

As a key logistics facility in Georgia connecting the Caspian Sea and the Black Sea, which are at the heart of the Middle Corridor, the project consists of different integrated facilities such as a container freight station, warehouses and a car storage park. It will act as the point of entry and exit as well as a regional transit point for manufacturers, shippers and consignees moving containers, vehicles and other goods for distribution and storage.

Railway links

The project offers direct westward railway links to Türkiye and to Georgian Ports of Poti and Batumi, which further connect to European Black Sea ports in Bulgaria and Romania, while its eastern connectivity links with different ports located along the Caspian Sea via a railway corridor to Azerbaijan.

The development offers significant intermodal logistics capabilities given its location within the Tbilisi airport’s industrial zone which will be backed by state-of-theart warehousing facilities as well as a cargo and vehicle logistics hub.

Noatum Logistics, part of the AD Ports Group, will operate and manage the facilities while leveraging capabilities offered

by the Group’s cross-Cluster portfolio and drawing on expertise and capacities of Inveco and Wilhelmsen.

Investment ties

“AD Ports Group’s investment in the Tbilisi Dry Port delivers on this objective, which is set to deepen trade and investment ties, develop global trade lanes, and generate market access opportunities for UAE and Georgian businesses alike,” commented HE Ahmed Bin Ali Al Sayegh, Minister of State, Ministry of Foreign Affairs, Government of the UAE.

“As a country situated at the centre of the Caucasus and located along the Black Sea, Georgia is a key destination linking us with our growing maritime and logistics assets in Central Asia and Türkiye, thereby enabling us to serve our customers with

cost-effective, streamlined cargo flows and capture significant future trade volumes,” remarked Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group.

Logistics facilities

“AD Ports Group’s vast expertise in ports operations and logistics facilities will bring a new level of management in the Georgia’s logistics sector,” commented Jemal Inaishvili, Founder, Inveco, Georgia.

“Georgia has been an important market to us for a long time already. The development of the Tiblisi Dry Port has been a cornerstone project to support the development of the trade corridor between the Caspian Sea and the Black Sea,” noted Neal de Roche, President, Wilhelmsen Port Services.

AD PORTS GROUP—TBILISI 38 APRIL 2024

Etihad and BEEAH Group sign agreement for Waste Management Services

UAE Rail operator complies with Federal Law on Integrated Waste Management

Etihad Rail recently announced an agreement for waste management services with BEEAH Tandeef, a subsidiary of BEEAH Group, a leading provider of sustainability solutions in the Middle East.

The Etihad Rail-BEEAH Group agreement will ensure that various forms of waste at Etihad Rail’s sites are managed effectively, safely and in an environmentally responsible manner. BEEAH Tandeef will also provide a clear framework for waste treatment in accordance with contractual obligations, in addition to addressing potential challenges that may arise during the provision of these services, according to a press communique.

Under the terms of the agreement, BEEAH Tandeef will provide waste management services for the entire Etihad Rail network, including regular waste collection, transportation, disposal, and recycling.

Environmental protection

“Waste management services represent an essential pillar in our commitment to preserving the environment, protecting public health, and conserving resources. This agreement supports our goal of transitioning towards a low-carbon future, helping us support local waste management strategies and related global efforts, and contributing to the protection of the local environment for current and future generations,” asserted Ahmed Al Yafei, CEO, Etihad Rail Infrastructure.

“By professionally managing waste and harnessing the latest technologies, BEEAH Tandeef, our subsidiary, is proud to support Etihad Rail in its pursuit of preserving the environment, protecting public health, and promoting sustainable practices. Together, we are creating a better tomorrow for all, in harmony with the vision of the nation’s wise leadership,” stated Khaled Al Huraimel, CEO, BEEAH Group.

Additionally, the agreement supports the company’s efforts to reduce waste and the release of harmful chemicals and toxins into the air, soil, and water, mitigating the adverse effects on local ecosystems, flora, and fauna.

Conservation

As Etihad Rail actively works to conserve natural resources, the agreement will reinforce this commitment by prioritizing material recovery and recycling, including metals, paper, plastic, and other organic materials. Beyond preserving natural resources, the agreement will also facilitate a reduction in energy consumption.

Other benefits stemming from the agreement include the reduction of

greenhouse gas emissions from landfills, which is essential in combating climate change. BEEAH Tandeef will also apply circularity principles when recycling certain waste, converting it into fertilizer for local agricultural use.

This contract is the first of its kind between Etihad Rail and BEEAH Group, which will provide waste management services to selected sites through its subsidiary, BEEAH Tandeef. The sites include Al Mirfa Depot, Muzaira’a, Al Mirfa Viewpoint, Riviera Mirfa Residence, the main operation and maintenance center in Al Faya, and freight stations in Ruwais, Al Ghuwaifat, Industrial City in Abu Dhabi (ICAD), and Dubai Industrial City.

ETIHAD RAIL APRIL 2024 39

Insights: E-commerce during Ramadan

During Ramadan, as expected, e-commerce fulfilment operations see shifts in consumer behaviour

It is no secret that the onset of Ramadan provides a boost for Middle Eastern retailers, with two in five (40%) consumers believing that the Holy month has the best offers and is the best period for them to make all their purchases, a new YouGov research has revealed.

Ramadanomics takes on a new dimension and definition with the advent of the Holy month. Global Supply Chain took a deep dive and examined the season from an e-Commerce perspective in an exclusive interview with Dhruv Agrawal, COO & CoFounder, Shipsy.

Agrawal provided insights and fresh perspectives on this subject in this extensive, expansive interview.

Global Supply Chain (GSC): Broadly, how do e-commerce fulfilment operations differ in scale and nature during Ramadan from other months?

Dhruv Agrawal (DA): During Ramadan, e-commerce fulfilment operations see shifts in consumer behaviour, with an increase in orders during the evenings and late nights. Peak demand occurs during Iftar and Suhoor, necessitating adjustments in staff and logistics to manage order hikes sufficiently.

Extended delivery times may result in increased delivery volumes and changing working hours. Moreover, special promotions around the occasion drive sales, pushing vendors to account for ample inventory and streamlined logistics. Adaptability and clear communication are crucial to ensuring smooth operations during Ramadan.

GSC: Is Ramadan one of the busiest shopping periods of the year? Why?

DA: Yes, Ramadan is definitely one of the busiest shopping periods of the year, especially in the MENA region. Statista reports up to a 55% increase in the usage of food delivery apps during Ramadan in this area.

This surge reflects heightened consumer activity as individuals gather for Iftar and

RAMADANOMICS 40 APRIL 2024

Suhoor meals, driving up demand for food and other products. E-commerce businesses experience increased orders during evening and late-night hours, putting pressure on fulfilment operations.

Consequently, Ramadan is a significant shopping period characterised by heightened consumer spending and logistical complexities for e-commerce companies.

GSC: What surges, e-commerce trends, buying patterns, consumer activities, and logistics provisions have you detected this month?

DA: Consumers are becoming increasingly aware of the impact of climate change. There is a shift happening when it comes to getting orders fast. Consumers are now willing to wait a few extra minutes and get their orders delivered via greener delivery modes, such as EVs and bicycles.

A BCG (Boston Consulting Group) survey highlighted that 80% of people in GCC are willing to adopt a more

sustainable lifestyle. During this time, online delivery providers will also look for strategies to ensure exceptional customer experience by proactively managing delivery failures.

AI-driven address intelligence, continuous KPI monitoring and seeking accurate recommendations to resolve potential last-mile delivery issues can immensely help here. We can also expect same- and nextday delivery to surge.

GSC: How significant are food products, (food) consumables, and retail and grocery categories during Ramadan?

DA: Stocking up on inventory is crucial to ensure seamless food and grocery delivery. As the holy month involves fasting during daylight hours followed by communal meals during Iftar and Suhoor, there is a heightened demand for food and groceries.

Retailers often experience a surge in sales for essential food items, dates, beverages, and traditional Ramadan specialities. Moreover, there is an increased demand for

household goods and gift items to share with family and friends during festivities.

Consequently, food and grocery categories experience a notable uptick in sales and consumer activity throughout Ramadan.

GSC: How do companies prepare for Ramadan through a mix of multiple fulfilment services?

DA: During Ramadan, it’s vital that businesses provide services like same-day, next-day, and even delivery within an hour or less. Using AI, eCommerce providers, retailers, quick commerce, and food delivery brands can auto-select delivery partners based on their strengths, such as their speed of delivery, expertise at a pin code level, ability to handle white-glove fulfilments, and more.

To quickly conduct last-mile operations, they can rapidly onboard freelance riders based on costs and previous performance and meet peak-hour demand for food and groceries.

APRIL 2024 41

GSC: What are your thoughts on the future of the e-commerce industry in the GCC and the wider Middle East?

DA: From a logistics technology perspective, the e-commerce sector in the GCC and Middle East is on the brink of rapid expansion. This growth is fueled by advancements in AI, predictive and perspective analytics, and automation to optimise supply chains and enhance customer experiences.

As demand for online deliveries continues to surge in these regions, eCommerce providers, retailers and even logistics service providers will need to rapidly embrace technologies that will help imbibe sustainability practices and focus on using AI and automation to optimise costs while improving customer experience.

GSC: What are the opportunities and challenges confronting e-commerce regionally and globally?

DA: Businesses will need to focus more on ensuring sustainable logistics operations at a regional and global level. In other words, they should leverage technologies to help reduce miles driven

Optimising costs to improve bottom lines will also remain a concern. However, by using AI, automation, ML, and data analytics, retailers and e-commerce providers can easily shrink operational costs by improving resource utilisation, driving greater productivity, reducing delivery failures, and more.

GSC: How big is the LMD (Last Mile Delivery) conundrum for e-commerce companies? How do you make the case for seamless deliveries? How can technology help?

DA: Statista forecasts that the UAE e-commerce market will reach US$ 17billion by 2025. But with such rapid growth comes last-mile delivery challenges related to inventory availability and management, scalability, cost-efficiency, customer experience, logistics planning and execution, and competition.

Using intelligent warehouse management systems, retailers and eCommerce providers can create picking, packing, and grouping strategies to drive highly productive warehouse operations and ensure the right product is sent to the right customer.

An advanced last-mile delivery platform that leverages AI and automation empowers businesses to track orders across multiple logistics providers in real time. It helps automate order allocation to 3PLs based on business objectives like ‘Most Economical’, ‘Fast Delivery’, ‘Best Customer Rated’, ‘Best SLA Adherence’ (Service Level Agreement), and so on.

Such a platform auto-sends customers live notifications on delivery progress and ETA (Expected Time of Arrival). Using AIpowered address intelligence drives high levels of location accuracy to boost on-time and first-attempt delivery success rates.

It also ensures that customers can change

delivery location and time on the fly and that exceptions like ‘leave at the door,’ ‘leave with a neighbour,’ are communicated to the rider. Using real-time and historical analytics of rider KPIs, a modern last-mile delivery platform empowers delivery managers to drive fair incentive programmes.

Also, AI Co-Pilots will become an integral part of seamless delivery processes. These co-pilots are already helping businesses continuously analyse critical last-mile KPIs and proactively manage risks and incidents to mitigate the impact on customer experience and costs.

GSC: How is the Houthi belligerence across the Red Sea, the Gaza situation and shipping turmoil as a result impacting the (e-commerce) and Supply Chain business?

DA: Research by the British Chambers of Commerce highlighted that due to Houthi disruptions at the Red Sea, container shipping prices are up by 300%, and goods have been delayed by a month, causing serious cash flow challenges.

Shipping costs from China to Europe have surged, more than doubling on average, as most vessels now choose to navigate around Africa, avoiding the Suez Canal to avoid potential attacks.

According to the UN Conference on Trade and Development, in 2023, almost 22% of all commercial shipping containers passed through this canal. The total number has since dropped by 82% as 586 ships are rerouting around Africa.

GSC: How significant is AI and technology in the e-Commerce-AI interface, and how important is this factor? How is AI steering the e-commerce industry?

DA: As e-commerce demand grows across various channels, managing orders manually becomes challenging. AI and automation streamline processes, ensuring inventory availability and efficient order fulfilment. Integrated systems use advanced grouping and picking strategies to expedite shipments from warehouses.

They automatically select suitable 3PL providers based on order type and urgency. Continuous monitoring of logistics KPIs alerts stakeholders to potential issues, enabling proactive handling and safeguarding the customer experience.

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Starlinks and IoT Squared sign MoU to revolutionize smart supply chains in Saudi Arabia

The MoU underscores their commitment to innovation and efficiency in three key areas Starlinks, a premier provider of logistics and supply chain solutions in Saudi Arabia, has announced the signing of a Memorandum of Understanding (MoU) with IoT Squared, a distinguished leader in IoT technology solutions.

The strategic partnership event between the two stakeholders— Starlinks and IoT Squared was attended by key executives, including Othman D. Aldahash, CEO, IoT Squared; Saleh A. Almekbel, Chief Strategy Officer, IoT Squared; Gary Blythe, Managing Director, Starlinks, and Quentin Naylor, Executive Director - Performance Excellence, Starlinks.

The collaboration between Starlinks and IoT Squared unites the unparalleled network and data architecture of IoT Squared with Starlinks’ extensive experience in KSA logistics. Both companies, being Saudiowned, proudly present a homegrown solution for the nation, aiming to establish a robust go-to-market for smart supply chains in KSA, aligning with the nation’s Vision 2030 for logistics, according to a press communique.

Commitment to innovation

The memorandum of understanding (MoU) between Star links and IoT Squared underscores their commitment to innovation and efficiency in three key areas. First, they will focus on exploring and implementing advanced technologies in warehouse automation to boost operational efficiency.

Second, joint efforts will be directed towards designing and implementing ‘Smart Warehouse’ solutions, integrating IoT technology for a seamless and intelligent warehouse environment. Lastly, the collaboration will prioritize data optimization throughout the supply chain, utilizing data analytics to drive informed decisions and gain a competitive advantage in the market.

“Starlinks is enthusiastic about contributing to the growth and development of the logistics sector in alignment with Vision 2030,’ asserted Blythe.

New logistics zones planned

“With 59 logistics zones planned in KSA, there is a significant growth in demand for logistics solutions. Star links and IoT Squared are well-positioned due to their combined expertise to meet this demand and play a crucial role in advancing Saudi Arabia’s logistics capabilities,” stressed Alda hash.

Recognizing the importance of automation in supporting the industry’s growth, Star links launched the first robotics fulfillment center in Riyadh last year, situated in Agility Logistics Park.

Adding to Starlinks’ 18 fulfillment centers across the KSA, the facility encompasses a storage area of 400,000sqft and is equipped with 254 autonomous robots for picking and sorting, providing storage capacity for over 12mn units. Star links aims to process an average of 3.6mn unit orders per month, offering market-leading flexibility, accuracy, and agility.

With a total investment exceeding SAR 100mn, Starlinks championed this opportunity to address the ever-growing market demand and remain true to its brand promise of providing the fastest e-commerce fulfillment cycle through an omnichannel fulfillment facility, the press statement concluded.

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World Logistics Passport Unveils the Inaugural ‘WLP Logistics Challenge’

n The World Logistics Passport (WLP) Logistics Challenge, held during World Trade Organisation’s (WTO) 13th Ministerial Conference (MC13) in Abu Dhabi, gathered leading minds from the supply chain industry to tackle some of the most pressing challenges facing the global supply chain today.

With a focus on themes discussed at MC13, the WLP Logistics Challenge sought to address topics such as trade barriers and post-pandemic trade.

This intensive one-day workshop was aimed at strengthening publicprivate collaboration to resolve the world’s biggest trade challenges. The five teams, each comprising of 10 members, featured representatives from the freight forwarding industry, government representatives, supply chain experts, students, and technology professionals.

The team was honoured by HE Dr Thani Bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade of UAE, Chair of World Trade Organisation’s 13th

Winners at the WLP Challenge

Ministerial Conference and received valuable cash prize along with a certification for their achievement.

“Many congratulations to the winning team and I look forward to seeing their solution succeed and scale in a real-world setting,” remarked the Minister.

Genesis inaugurates new showroom in Al Khobar

n Genesis has successfully captivated car enthusiasts in Saudi Arabia’s Eastern Province with the recent grand opening of its state-of-the-art showroom experience in Al Khobar, Saudi Arabia.

This landmark event at Al Majdouie, marked a significant milestone in the brand’s commitment to bringing unparalleled luxury, sophisticated design, and cutting-edge innovation to the region’s discerning clientele and is the third location in the Kingdom.

“This showroom represents our dedication to not only meet but exceed the expectations of luxury car enthusiasts in the Eastern Province. We invite everyone to witness the Genesis difference, a harmonious blend of Korean heritage and innovative luxury that redefines the automotive landscape,” remarked Omar Al Zubaidi, CEO, Genesis Middle East & Africa.

“As we continue to grow in the Kingdom, we are excited about the role Genesis will play in shaping the future of luxury automotive experiences here, creating hubs of luxury, innovation that resonate with the values and aspirations of our country,”

commented Sherif El Gohary, Managing Director of Al Majdouie Motors.

Guests attending the exclusive launch were treated to a sensory journey as they passed through the ‘Genesis Tunnel’, a showstopping experiential pathway that sets the stage for the grand unveiling of the new Al Khobar showroom.

“Collaboration is at the heart of WLP, and I am delighted to witness bright minds from varied sectors come together and work on solutions to cut through trade barriers and promote resilient supply chains,” commented Mahmood Al Bastaki, WLP General Manager.

This architectural marvel is more than a space; it’s a destination designed to showcase Genesis’s dynamism, aesthetic elegance, and technological prowess, offering an extraordinary Korean Hospitality experience that transcends conventional automotive showrooms, a press statement concluded.

NEWS 46 APRIL 2024
Korea’s Genesis automotive brand opens new showroom in Al Khobar, Saudi Arabia

United Pharmacy partners with SAP and DBS MENA

n United Pharmaceutical Company (UPC), a leading player in the Saudi retail pharmacy sector, has announced its strategic partnership with SAP, a global leader in enterprise software, and DBS MENA, a distinguished SAP Gold Partner, to embark on a transformative journey towards enhanced efficiency and innovation.

As part of this collaboration, DBS MENA will implement Rise with SAP (S/4 HANA) solution for UPC, encompassing core functionalities such as financial modules, HR, warehouse management, and material management.

Additionally, UPC will benefit from DBS MENA’s Retail Management Suite (RMS), which includes point-ofsale systems, retail store portals, and mobility solutions tailored specifically for warehouses.

“We welcome SAP’s partnership in our transformative journey. UPC is one of the fastest growing companies in the Saudi healthcare sector, and SAP will more than support our expansion strategy with its world class expertise in technological resource planning,” noted Khalid Yassin, CEO, United

Pharmaceutical Company.

“This strategic partnership will see United Pharma Company (UPC) embark on a transformative journey leveraging SAP’s latest innovative technologies to capitalize on growth opportunities for the company and to respond to the industry’s fast-changing needs with agility.

With RISE with SAP, UPC is poised to significantly enhance its operations and set new standards for the pharmaceutical

retail industry,” asserted Mohammed Alromaizan, Vice President, SAP Saudi Arabia.

“This collaboration represents a significant milestone in our commitment to delivering tailored solutions that empower businesses in the PharmaRetail sector,” observed Eng. Mahmoud Moussa, CEO, DBS MENA.

Emirates Steel Arkan enhances efficiency and sustainability with SAP S/4HANA

n Emirates Steel Arkan (ESA), one of the largest publicly traded steel and building materials manufacturers in the region, recently signed an agreement with global technology company SAP SE to consolidate its operations under a single, unified cloud-based enterprise resource planning (ERP) solution, while simultaneously increasing the resilience and sustainability of its supply chain.

ESA is adopting RISE with SAP to securely transition its mission-critical processes from its existing SAP ERP system to SAP S/4HANA, with data hosted in-country. As a result, ESA will benefit from a streamlined and integrated system, improving visibility and control over all of its operations and gaining real-time data and insights.

The company will also leverage S/4HANA Supply Chain Management to enhance planning and monitoring activities and optimize performance and

agility in all areas of its supply chain, a press communique stated.

“We have worked closely with SAP to ensure we have a comprehensive transformation that fulfills all our objectives. These range from supporting our environmental sustainability commitments and creating a resilient supply chain, to embracing new technologies and leveraging these to innovate and set new standards for our industry,” commented Saeed Khalfan Alghafri, CEO, Emirates Steel, an Emirates Steel Arkan company.

“We worked hand-in-hand with the Emirates Steel Arkan team to create a secure, agile and comprehensive digital transformation that delivers real-time data insights and enables the company to benefit from automated processes, greater control, transparency and resiliency in all areas of its operations,” remarked Marwan Zeineddine, Managing Director, SAP UAE.

NEWS APRIL 2024 47
SAP and UPC Partnership MoU signing ceremony (Seated) Saeed Khalfan Alghafri and Marwan Zeineddine with other officials at the Emirates Steel-SAP MoU signing ceremony.

Etihad Cargo and Astral Aviation celebrate inaugural flight

n Etihad Cargo in partnership with Astral Aviation, a leading cargo airline with extensive African network coverage, successfully completed the recent inaugural flight from Nairobi, Kenya, to Abu Dhabi, United Arab Emirates.

This flight marked the commencement of a promising collaboration following the Memorandum of Understanding (MoU) signed between the two carriers, aimed at expanding Etihad Cargo’s reach into the African market.

The inaugural flight was strategically timed to accommodate the increased demand for flowers, demonstrating the synergy between Etihad Cargo’s global reach and Astral Aviation’s strong African network. The successful operation underscored the partnership’s potential to enhance cargo capacity and offer efficient logistics solutions, particularly for time-sensitive shipments such as perishable goods.

“Together, Etihad Cargo and Astral Aviation will offer air cargo solutions that cater to the dynamic needs of partners and customers, especially in the fast-growing

African market,”commented Stanislas Brun, Vice President Cargo, Etihad Cargo.

“This inaugural flight, and the commencement of weekly flights to Nairobi, is further evidence of the important commercial and business ties Abu Dhabi Airports, and our partners Etihad Airways and Astral Aviation, are helping to facilitate,”remarked Wilson Chan, Senior Vice President– Freezone Cargo & Logistics of Abu Dhabi Airports.

“The partnership between Etihad Cargo and Astral Aviation marks a significant

Pharmatrade launches its Logistics Centre in KEZAD

n Khalifa Economic Zones Abu Dhabi – KEZAD Group and the UAE-based Pharmatrade recently announced the opening of Pharmatrade’s Abu Dhabi Logistics Centre. Through this new logistics centre, the company plans to ramp up the storage and distribution of its Pharmaceutical and Medical Device range of products to serve the UAE’s healthcare sector.

The expansion of its business over the last 13 years, since the opening of its Logistics Centre in Dubai Investment Park 1, prompted Pharmatrade, one of the largest companies in the healthcare sector, to invest in a new logistics centre in KEZAD.

KEZAD Logistics Park Phase 5 which houses Pharmatrade’s Logistics Centre is a cluster of temperature-controlled, Grade A industrial warehouse facilities with modern specifications that offer several different configurations to meet client needs and boost logistics efficiency.

“Pharmatrade’s expansion into KEZAD’s warehousing portfolio gives them the ability

milestone in trade between Africa and Abu Dhabi, as the new flight will enable the efficient transportation of perishables including flowers, fresh fruits, vegetables and meat from Astral’s hubs in Nairobi and Johannesburg into Etihad’s Abu Dhabi hub and onto their network. On the return, the freighter will carry cargo from Etihad Cargo’s network in Asia, the USA, and Europe into Astral’s Intra African network, which will result in new opportunities for our respective clients,”stated Sanjeev Gadhia, CEO, Astral Aviation.

to reach their consumers using our state-ofthe-art infrastructure,” remarked Mohamed Al Khadar Al Ahmed, Khalifa Economic Zones Abu Dhabi-KEZAD Group.

“The integrated infrastructure and services at competitive prices, as well as the flexibility of warehouse design enhances our aspirations for further expansion, with the opportunities to reach new customers thanks to KEZAD’s strategic location and integrated

transportation and logistics network,” commented Konstantinos Petridis, Managing Partner, Pharmatrade.

Pharmatrade is a partnership between Hussain Al Nowais and Konstantinos Petridis, established in 1977, is a leading distribution company in the UAE supplying a comprehensive range of Medical and Pharmaceutical products from over 30 Multinational companies in the Healthcare field.

NEWS 48 APRIL 2024
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Accelya and flydubai renew and enhance decade-long cargo partnership

n Accelya, a leading global software provider to the travel industry, recently announced it has signed a multi-year FLX Cargo renewal with flydubai, the Dubai-based airline, creating an end-toend cargo platform offering.

The new services will enhance flydubai’s digital distribution capabilities through a highly functional, customer self-service tool, as well as enabling connectivity to a wide range of third parties through Accelya’s catalogue of APIs, according to a press communique.

Accelya’s end-to-end platform offers insights and data to maximize revenue opportunities and increase margins, as well as create, develop and distribute new products across multiple channels. The airline will also continue optimizing and distributing offers, managing the order lifecycle, and delivering networkwide operations and unit load (ULD) management.

“The renewal and expansion of our partnership with Accelya reaffirms our commitment to adopting best-in-class practices in the industry and we look

forward to enhancing our offering as we continue to grow our cargo operational reach,” stressed Mohamed Hassan, Senior Vice President, Airport Services & Cargo, flydubai. From its home in Dubai, flydubai Cargo has a global operation that spans more than 150 destinations in 54 countries across Africa, Central Asia, the Caucasus, Central and South-East Europe, the GCC and the Middle East, the Indian

Subcontinent and South-East Asia.

“Now with our added Offer and Order solutions, flydubai can experience our full end-to-end platform offering, providing scalability and empowering their further growth. We look forward to continuing our momentum in the Middle East and are proud to call flydubai partners,” asserted Andrew Wilcock, Chief Revenue Officer, Accelya.

Bahrain’s Alba and EGA sign Technology Service Agreement

n Bahrain’s Alba, one of the world’s largest aluminium smelters, and Emirates Global Aluminium (EGA), the largest industrial company in the UAE outside of oil and gas, have recently inked a Technology Services Agreement for Alba’s Reduction Line 6.

The Agreement encompasses both onsite and remote assistance wherein EGA will provide Alba’s Reduction Line 6 with technical support services, monitoring services as well as operational consultation. The agreement also covers operational and process audits, technical training workshops, as well as hands-on operation support among others.

“Alba’s Reduction Line 6 is a success story built upon the foundation of our exceptional local talent and bolstered by EGA’s DX+ Ultra technology playing a role in it,” commented Ali Al Bagali, CEO, Alba.

We are excited to build on our partnership with EGA through this technical services agreement as it will enable our human talent to continuously benefit from

EGA’s DX+ Ultra advancements and achieve our sustainability objectives.”

“We are pleased to extend our technology and know-how provision to Aluminium Bahrain and further build on the success of Reduction Line 6 built with EGA technology,” stressed Abdulnasser Bin

Kalban, CEO, Emirates Global Aluminium.

Commissioned on 13 December 2018 and gradually ramped up over the course of 2019, Alba’s Reduction Line 6 has brought the Company’s nameplate production capacity to more than 1.6 million metric tonnes per annum, a press statement concluded.

NEWS 50 APRIL 2024

Dubai Chamber of Commerce and Amazon to boost e-commerce sector

n Dubai Chamber of Commerce, one of the three chambers operating under the umbrella of Dubai Chambers, recently teamed up with Amazon to host an online workshop aimed at developing the e-commerce capabilities of the local business community, according to a recent press release.

A key focus of the session was on enabling companies to increase their sales through digital channels including guidance on how to successfully sell products through Amazon.

The UAE is ranked as the 45th largest market globally for e-commerce, with a projected revenue of more than US$ 6.7bnin 2024. According to the specialist data provider eCommerceDB, the UAE’s e-commerce market revenue is expected to achieve a compound annual growth rate (CAGR) of 8.7% between 2024 and 2028, resulting in a projected market value of over US$ 9.3bn by 2028.

Active internet users currently constitute 99% of the total population in the UAE, which is among the highest percentages globally. The growth of the e-commerce sector is expected to continue, supported by increasing

demand for online shopping experiences, improvements in digital payment systems, and continuing investments in digital infrastructure and the logistics ecosystem.

In light of the rapid technological developments transforming the business

AW Rostamani Group and EV-only brand ‘ZEEKR’

n AW Rostamani Group (AWR) has announced its partnership with ZEEKR, a global pure electric premium vehicle subsidiary of Geely Holding Group.

This collaboration between AWR and ZEEKR marks a strategic advancement in the local automotive landscape, introducing vehicles that merge cutting-edge technology with bold, distinctive design.

“The collaboration with ZEEKR showcases our dedication to contribute to the green mobility landscape in the country while delivering globally inspired products that anticipate the needs of our diverse customer base,” remarked Michel Ayat, CEO, Automotive, AW Rostamani Group.

“Our partnership with AW Rostamani Group in the UAE strongly supports ZEEKR’s positioning as we introduce vehicles that showcase bold and innovative design to the market,” stated Wang (Cannon) Hao, ZEEKR MENA Regional Director.

landscape, we are keen to enhance the digital and operational readiness of Dubai-based companies to keep pace with the evolving requirements of the ecommerce sector,” stated Mohammad Ali Rashed Lootah, President and CEO, Dubai Chambers.

sign MoU

of luxurious interior space, innovative safety features, and world-class EV performance, a press statement concluded.

NEWS APRIL 2024 51
AW Rostamani Group debuted ZEEKR 001 and ZEEKR X in the UAE in March 2024, bringing smarter driving experiences for customers in the areas

Aramex strengthens its leadership team with two strategic appointments

n Aramex has announced the appointment of two distinguished executives to its leadership team.

Tim Martin joins as the Chief Commercial Officer (CCO), while Françoise Russo assumes the role of Chief Technology Officer (CTO).

Tim Martin brings over 33 years of invaluable experience in the supply chain and logistics industry, having held key roles at both country and regional levels across the EMEA region.

Recruited by the Global Management Board as part of the Global Management Team, Tim’s focus will be on driving Aramex’s dominance in the ecommerce sector and advancing multi-modal solutions in line with the company’s ambitious 5-year strategy.

Françoise Russo, the newly appointed Chief Technology Officer, brings a wealth of multi-sector corporate experience, spanning FMCG, logistics, transport, and entertainment.

Francoise will be focusing on the technology strategy and roadmap for the next 3-to-5-year period focusing on innovation and customer experience.

“We are delighted to welcome Tim and Françoise to our leadership team. Their wealth of experience and strategic insights align seamlessly with Aramex’s dedication to digitization and growth,” remarked Othman Aljeda, CEO, Aramex, on the appointments.

Brands For Less continues expansion in Saudi Arabia

n Brands For Less, a renowned off-price retailer, has announced the opening of its 30th store in Saudi Arabia, located at The View Mall in Riyadh. This marks a significant milestone for the brand as it rapidly expanded its presence in the region within less than 2 years. This solidifies its commitment to serving its growing customer base across the GCC region with value and convenience.

“The View Mall in Riyadh provides an ideal setting for our newest store, bringing in new customers, and we are excited to bring shoppers our unique shopping concept with exceptional value,” commented Toufic Kreidieh, Executive Chairman of the Board and Group CEO, Brands For Less.

Strategically positioned on the first floor, the new Brands For Less store promises shoppers various products, including

fashion, accessories, toys, home essentials, and more, at unbeatable prices. With its prime location and diverse offerings,

the store aims to redefine the shopping experience for residents and visitors of Riyadh alike.

NEWS 52 APRIL 2024
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Versatile International and Diriyah Company renew contract

n Versatile International, the Middle East’s first fully integrated stone project management consultancy, has renewed its contract with Diriyah Company for a further three years.

Under the terms of the agreement recently signed in Riyadh, Versatile International will provide end-to-end natural stone consulting services to the iconic heritage development.

“Versatile International was established to meet the unique needs of destination scale development projects. This announcement is a compelling endorsement of our ability to deliver certainty of outcome and convert the developer’s vision to reality,” affirmed Marco Fahd, Chairman and CEO, Versatile International.

Over the past three years, Versatile International has supported DGDA with the procurement of over 600,000sqm of Riyadh limestone for public areas, 250 km of kerb and gutter and more than 60,000cbm of limestone for building plinths, according to a press communique.

The company has also consulted on

interiors and facades for more than 50 signature assets at Diriyah including the Diriyah Visitor Centre, the Wadi Safar Sales Centre, and the Samhan Heritage Hotel, among others.

In addition to asset-specific consulting, Versatile International is also collaborating with Diriyah Company to identify and certify local quarries producing Riyadh limestone, ensuring that the appropriate quality, health and safety and environmental protection protocols are in place to provide high quality material to Diriyah and other developments in the country, the press statement continued.

“Diriyah is an iconic celebration of Saudi Arabia’s unique heritage. Ensuring that every asset in the development reflects our authentic local culture and commitment to the highest standards of quality is integral to the visitor experience we offer,” asserted Mohamed Saad,

Procter & Gamble’s Dammam Plant showcases innovative manufacturing

n Procter & Gamble’s Dammam plant recently welcomed HE Bandar Alkhurayef, Minister of Industry & Mineral Resources, for an in-depth plant tour. The visit aimed to showcase the plant’s cutting-edge manufacturing capabilities and high-quality products, which include leading brands like Tide, Ariel, Fairy, Head & Shoulders, and Pantene, according to a press communique.

During the visit, the Minister explored the advancements made by P&G Saudi in automation and the local talent calibre employed at the Dammam plant. Recognizing P&G as an anchor hub for other industries localizing the value chain, the Minister commended the company’s support in driving the country’s transformation journey.

“This visit reiterated the strong partnership between P&G Saudi Arabia and the Saudi government, and we are grateful for their support in our journey of transformation and continuous evolution,” commented Omar Channawi, CEO, Procter & Gamble Middle East, Pakistan and Global Entrepreneurial Markets.

“We remain committed to serving the needs of consumers in the region and

working closely with local suppliers to offer superior value. P&G Saudi Arabia is proud to contribute to the Kingdom’s economic growth and development by nurturing local talent and driving the localization of our operations,” he continued.

With roots dating back to the 1960s, P&G’s longstanding journey with Saudi Arabia has led to the establishment of two state-of-the-art manufacturing plants, creating over 1500 direct and indirect

employment opportunities.

As part of its commitment to meet the needs of consumers in the region, P&G continues to expand its footprint in Saudi Arabia. The P&G plants in the Kingdom serve as regional supply hubs, exporting to more than 15 countries across the region.

Additionally, many of P&G’s suppliers in Saudi Arabia export raw materials to other P&G plants in the region, further augmenting the company’s commitment to localization.

NEWS 54 APRIL 2024

Metro Brazil expands footprints in KSA

n Metro Brazil, the leading retail and e-Commerce company for Brazilian shapewear in the Middle East has expanded its operations into the Kingdom of Saudi Arabia (KSA) with its commitment to enhance the growing retail sector.

Projections indicate a substantial expansion of the KSA retail market, anticipated to reach US$ 54.46bn by 2028. Metro Brazil is poised to leverage this growth with its state-of-the-art eCommerce platform, and best in class products, addressing the evolving demands of the fashion retail market, according to a press communique.

Notably, the Saudi Arabian eCommerce market is expected to grow at a compound annual growth rate (CAGR) of 15.01 per cent to reach US$ 27.37bn by 2029. This upward trajectory in eCommerce revenue is poised to make a significant and positive impact on the

overall economy of KSA.

By expanding into the region, Metro Brazil aims to tap into the thriving market, leverage opportunities for growth, and contribute significantly to the flourishing economy, all while adhering to their global expansion goals.

“We look forward to establishing the company as the ultimate destination for premium Brazilian brands through various strategic partnerships and investments, thereby enriching individuals’ confidence,” affirmed Alaa Kara Ali, CEO, Metro Brazil.

Furthermore, to capture a considerable size of the KSA shapewear and stocking market which is projected to reach a market size of more than US$ 7mn by 2028, the company will officially open physical showrooms in Riyadh and Jeddah, as part of their new expansion strategy, bridging the gap between traditional retail experiences and the digital marketplace.

Al Yamuna Densons invests AED 35mn on in its facility expansion in RAK

n A leading Indian manufacturer of power cable joining kits, Al Yamuna Densons is expanding its facility in Ras Al Khaimah with an investment of AED 35mn to boost its regional operations. The construction in the Al Hamra Industrial Zone is set to be completed by May, taking the total area to 15,000sqm and annual production capacity to half a million kits.

Founded over 50 years ago, Al Yamuna Densons established its assembling unit in Ras Al Khaimah Economic Zone (RAKEZ) in 2013. Since then, the company has provided innovative solutions for the power distribution industry, catering to markets in the UAE, Oman, KSA, Kuwait, Bahrain, Algeria, Egypt and Malaysia.

This major expansion marks a significant milestone in the company’s operational capabilities as the Ras Al Khaimah unit was earlier assembling the imported goods from its facilities in Indian. It is now manufacturing all cable parts and assembling kits on-site.

“We chose Ras Al Khaimah for our expansion due to its business-friendly environment and superior infrastructure. RAKEZ has provided us with unmatched

support and offered us the perfect platform to scale our operations effectively,” commented Ravi Sardana, CEP, Al Yamuna Densons.

With nearly AED 20mn invested in construction and an additional AED 15mn in machinery, the company is set to target new markets in the MENA region while

maintaining the highest standards of quality and innovation.

“Al Yamuna Densons’ expansion is a testament to the conducive business ecosystem we strive to provide for our clients in all the industrial zones,” stated Ramy Jallad, CEO, RAKEZ.

NEWS APRIL 2024 55

Saudi American Glass unveils ambitious expansion in Saudi Arabia

n Saudi American Glass, one of the oldest and the largest suppliers of processed architectural glass in the Middle East and a wholly owned subsidiary of Dubai Investments, has announced a comprehensive expansion strategy coupled with strategic partnerships, aimed at driving growth and innovation in the Saudi Arabian market.

As a cornerstone of the Saudi glass industry for over 45 years, Saudi American Glass’s commitment to excellence and innovation has continually propelled the sector forward. The Company is investing in cutting-edge technologies with recent additions such as the 18-cathode coater, state-of-the-art tempering lines, and digital printing facilities.

“Amidst Saudi Arabia’s substantial investments in infrastructure development, the demand for glass products is on a steady ascent. The Company’s strategic endeavors align seamlessly with the nation’s ambitious Vision 2030 agenda, reflecting Saudi American Glass’s dedication to contributing to the Kingdom’s longterm economic diversification and development goals,” commented Khalid

Bin Kalban, Chairman, Saudi American Glass and Vice Chairman and CEO, Dubai Investments.

“Saudi American Glass is reinforcing its commercial team to ensure enhanced customer service and capitalize on emerging opportunities within the

market. Coupled with a remarkable growth rate exceeding 20% from the previous year, Saudi American Glass remains dedicated to driving progress and excellence in the Saudi glass industry,” remarked Riass Dayekh, General Manager, Saudi American Glass.

Sprinklr announces local data hosting solution

n Sprinklr, the unified customer experience management (Unified-CXM) platform for modern enterprises, recently announced its continued expansion in the Middle Eastern market with the launch of a local data hosting solution for the Sprinklr platform in the Kingdom of Saudi Arabia (KSA) hosted on the Google Cloud.

Customers now have the option to host data in Saudi Arabia through Sprinklr’s hosting services provider. Sprinklr also provides hosting solutions in the US on Google Cloud. By hosting data in Saudi Arabia, Sprinklr will enable customer compliance with security, privacy, and governance regulations in the region, according to a press communique.

“The ability to host data in Saudi Arabia will help Sprinklr continue to rapidly expand our business, deliver a high level of service, and meet the data hosting requirements of our customers

in the region,” commented Haitham Elkhatib, Senior Vice President of Growth Markets, Sprinklr.

“Sprinklr is the first customer experience platform with local hosting in Saudi Arabia on Google Cloud, which we believe provides a clear competitive advantage and makes Sprinklr the customer experience platform of choice for regional leaders working to digitally transform their organizations and unify the front office,” he added.

“Google Cloud is delighted to partner with Sprinklr in its expansion into the Kingdom of Saudi Arabia. By hosting Sprinklr’s unified customer experience platform on Google Cloud, businesses gain access to advanced AI technologies while meeting their data residency requirements,” remarked Abdul Rahman Al Thehaiban, Google Cloud’s Managing Director for Middle East, Turkey and Africa.

NEWS 56 APRIL 2024

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Yango showcases Autonomous Delivery Solutions at LEAP 2024

n Yango, a global tech company, is set to revolutionise the regional landscape of delivery services by bringing autonomous last mile delivery to the region.

Powered by state-of-the-art artificial intelligence and advanced robotics, Yango’s last mile delivery solutions were showcased at the LEAP 2024 international tech fair in Saudi Arabia, it was revealed in a press communique.

With ambitious plans to expand its reach in the region, Yango is seeking partnerships and collaborations to localize the autonomous delivery technology and serve the region.

Yango is committed to implementing its vision of being an integrator of global technologies into local communities. The concept of autonomous delivery reflects its dedication to efficiency, reliability, and sustainability, ensuring seamless delivery experiences for businesses and consumers alike, the press statement continued.

The key features of the autonomous last mile delivery concept include ‘Efficient Navigation’, an advanced navigation systems that help optimize delivery routes and minimize transit times and ‘Reliable Performance’, built to withstand weather conditions and terrain, the technology ensures that the packages are delivered safely and securely, maintaining the integrity of deliveries from start to finish.

Also highlighted was ‘Sustainable Operations’ powered by clean energy sources, the delivery mode contributes to reducing carbon emissions and promoting eco-friendly practices, aligning with the GCC’s commitment to environmental sustainability.

Yango’s portfolio of tech-enabled futuristic solutions is on display at LEAP 2024, where the company presents its solutions for autonomous deliveries along with the entertainment super app Yango Play and the human-like AI assistant Yasmina.

Riyadh Airports and Cognizant collaborate to enhance the Travel experience

n Riyadh Airports Company, which manages and operates King Khalid International Airport in Riyadh, has launched the ‘Riyadh Airports Innovation Council’ in collaboration with Cognizant.

This digital initiative aims to foster collaborative innovation and improve the passenger experience. The announcement was made during LEAP Expo 2024.

The travel sector witnessed a recovery in 2023 compared to previous years, driven by changes in traveler behaviors and their digital expectations. This necessitated the adoption of modern and innovative technologies that contribute to achieving the goals of Saudi Vision 2030 and enhancing the customer experience.

“The goal is to employ them in realizing travelers’ aspirations for a digital travel experience and enhancing the customer experience at King Khalid International Airport. Riyadh Airports will have ownership rights to the solutions developed by the council, enabling us to optimize the benefits of this collaboration,” commented Osama Alfawaz, Chief ICT Officer, Riyadh Airports.

“Our goal is to redefine the travel experience by focusing on customers,

employees, and partners to create a positive impact that contributes to technological development in the Kingdom,” stated Tariq Zarq Al Ayyoun, General Manager, Cognizant, Saudi Arabia.

The council is scheduled to meet regularly to collaborate on identifying use cases, innovation priorities, and finding

creative initial solutions and programs. Cognizant will work on developing these solutions, and the council will invite specialized companies to provide external perspectives on the proposed solutions that can be implemented, leveraging all available technologies in these fields, a press communique concluded.

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Green Metal Industries to set up a US$100mn Steel Recycling facility in KEZAD

n Khalifa Economic Zones Abu Dhabi–KEZAD Group and UAE-based Green Metal Industries today announced the signing of an agreement for the establishment of a new special steel recycling and production facility in KEZAD.

To be developed with an investment of AED 367mn, the plant will utilise cuttingedge recycling technologies like meltshop, refining facilities (AOD/VOD/VD), multi-product continuous casting, and a rolling mill, for converting metal scrap into high-quality products for diverse industrial applications, including construction and infrastructure developments, according to a press communique.

Spanning over 116,000sqm in KEZAD Industrial Area (KEZAD Al Ma’mourah), the facility will primarily source raw materials locally and process them in Abu Dhabi and hence it will also serve as a catalyst for sustainable development and innovation in the construction industry across the GCC and the wider region.

“The company’s innovative approach to

recycling metal is in line with our aims of creating a sustainable industrial ecosystem within KEZAD in line with the Abu Dhabi Industrial Strategy,” remarked Mohamed Al Khader Al Ahmed, CEO, Khalifa Economic Zones Abu Dhabi–KEZAD Group.

“Green Metal Industries is committed to working closely with local stakeholders, government agencies, and the community

to ensure the successful implementation of the project,” commented Mohammed M Noor, CEO, Green Metal Industries.

The plant, whose construction has already started, is expected to start commercial production in Q1-2025, and is expected to generate employment opportunities, stimulate economic growth, and foster innovation in the region.

NEWS APRIL 2024 59

Novade Solutions and WakeCap announce strategic collaboration

n Novade Solutions, a global leader in cloud-based field management software, and WakeCap, a leader in smart solutions for construction site management, have announced a groundbreaking collaboration.

The partnership will see Novade Solutions and WakeCap work together to integrate advanced software applications and IoT technologies, a strategic collaboration focused on enhancing safety, quality and productivity on large construction projects across Saudi Arabia, according to a press communique.

Novade is a leading provider of field management software, trusted by the world’s largest companies in the building and infrastructure industry and deployed on over 10,000 sites globally.

With Novade, site processes such as permits to work (PTWs), safety inspections, quality inspections or site diaries are digitized and automated using mobile devices. The data captured provides insights to streamline operations and improve performance.

“WakeCap’s easy-to-integrate tools are transformational for our construction clients. WakeCap automates data collection, enabling site owners to verify and quantify performance and get realtime insights on project milestones and deliverables. We are thrilled to partner with Novade, whose ability to digitize and manage processes aligns closely with our vision,” affirmed Hassan Albalawi, CEO and Co-founder, WakeCap.

“WakeCap’s unique ability to capture

data from the field is invaluable, especially for large-scale projects. By combining our strengths, we are set to deliver solutions that will redefine construction management in the region,” commented Denis Branthonne, CEO, Novade.

Both companies already work with Aramco, the world’s largest integrated energy company, aiming to increase value for Aramco as well as extend the solution set to other projects and clients in the region.

Bell inks Customer Service Facility Agreement with Abu Dhabi Aviation

n Bell has recently signed an Agreement with Abu Dhabi Aviation to establish its role as an authorized Bell Customer Service Facility (CSF) and provide service for Bell 212, Bell 412 and the SUBARU Bell 412EPX commercial aircraft.

This new agreement further demonstrates both organizations’ dedication to providing exceptional customer support and showcasing Bell’s aircraft to customers in the Middle East region. “Bell’s Global Customer Solutions network accommodates all operator needs and increases accessibility to world-class maintenance and training,” stated Chris Schaefer, Vice President, Global Customer Solutions. “Bell’s quality customer and maintenance services have enabled us to achieve and sustain excellent operational readiness on our Bell fleet. We are thrilled to continue our long-standing relationship,” said an ADA representative.

The SUBARU Bell 412EPX is the latest upgrade in the world-renowned 412 aircraft and holds an increased maximum internal

weight of 12,200lbs, external weight of 13,000lbs and up to 5,000lbs of goods with a cargo hook. The aircraft can internally carry up to 5,385lbs in up to 220 cubic feet of food supplies, tools, field equipment, helicopter emergency medical services or palletized gear.

Abu Dhabi Aviation is the largest commercial helicopter operator in the

Middle East, with 61 helicopters and four fixed wing aircraft and has accumulated more than 1mn flight hours on its Bell fleet. Bell shares more than 45 years of history providing world-class aircraft to the operator for medical evacuations (MEDEVAC), charter flights and offshore support, a press statement concluded.

NEWS 60 APRIL 2024

The Zero-Emission Solution for Airfield Applications. Mercedes-Benz eEconic.

Silent and clean, the Mercedes-Benz eEconic is an ideal environmentally-friendly choice that can help airports reduce their carbon footprint with its fully-electric drive. The DirectVision cab with easy entry can be maneuvered under most aircraft wings. The eEconic convinces through its high level of efficiency and lower energy costs. In addition, customers benefit from the agility and ease of body mounting. Whether it is for refueling or delivering catering supplies, the eEconic is built for the airport of tomorrow.

Find out more at: special.mercedes-benz-trucks.com/the-e-econic or contact: ognjen.Jovanovic@daimlertruck.com

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