Latest news with #NationalLogisticsStrategy
Arab News
2 days ago
- Business
- Arab News
Saudi Arabia adds MEDEX service to Jeddah Port, linking 12 global hubs
RIYADH: Saudi Arabia has expanded its maritime connectivity with the addition of the MEDEX shipping service at Jeddah Islamic Port, linking the Kingdom to 12 regional and international ports. Operated by global logistics firm CMA CGM, the new service connects Jeddah to Abu Dhabi and Jebel Ali in the UAE, Karachi in Pakistan, and Colombo in Sri Lanka, according to a release by the Saudi Ports Authority, or Mawani. The move is part of Mawani's broader efforts to improve operational efficiency at Jeddah Islamic Port and raise Saudi Arabia's standing in global port performance rankings. It also supports the Kingdom's National Logistics Strategy, which aims to increase the sector's contribution to gross domestic product from 6 percent to 10 percent by 2030, positioning Saudi Arabia as a strategic logistics hub connecting three continents. In the official announcement, Mawani stated: 'This service enhances the port's competitive advantage, facilitates global trade, opens new business horizons, and supports national exports.' The MEDEX service is the 19th shipping line added to Jeddah Islamic Port since the beginning of 2025, reinforcing Saudi Arabia's commitment to improving regional and international connectivity. With a capacity of up to 10,000 twenty-foot equivalent units, the new service also links Jeddah to Mundra and Nhava Sheva in India, Piraeus in Greece, Malta, Genoa in Italy, Fos in France, and Barcelona and Valencia in Spain. Headquartered in Marseille, CMA CGM Group operates in 177 countries and is the world's third-largest shipping company. It serves more than 420 ports across five continents with a fleet of over 650 vessels. The new service aims to boost domestic import and export activity, supporting Saudi Arabia's broader objective of establishing itself as a global trade hub. Jeddah Islamic Port currently features 62 multi-purpose berths, a bonded and re-export logistics area, several specialized terminals, and advanced cargo-handling equipment. It also houses two general cargo terminals, two ship repair docks, and a dedicated marine services zone. The port's total handling capacity reaches 130 million tons annually. Saudi Arabia climbed to 15th place globally in container throughput rankings in 2024, underlining its growing role as a maritime logistics powerhouse, according to Lloyd's List, a UK-based shipping industry journal. The report highlighted that Jeddah Islamic Port advanced to 32nd place globally, up from 41st in 2023, after handling 5.58 million containers last year — a 12.6 percent increase over the previous year.
Arab News
08-04-2025
- Business
- Arab News
PIF-backed Folk Maritime boosts regional connectivity with 2nd vessel purchase
JEDDAH: Saudi shipping firm Folk Maritime Services Co. has purchased its second vessel in a sign of the growing strength of the Kingdom's logistics sector. The company, which is owned by the Public Investment Fund, described the acquisition of the M/V Folk Jazan as a significant step forward in enhancing regional maritime connectivity. The addition of the second vessel aligns with Saudi Arabia's National Logistics Strategy, which aims to increase the sector's contribution to the gross domestic product from 6 percent to 10 percent by 2030. Registered at Jeddah Islamic Port, the vessel has begun operating on the company's routes across the Red Sea and Arabian Gulf, offering cost-effective and efficient logistics services that will drive trade growth. The company's CEO, Poul Hestbaek, said the acquisition of M/V Folk Jazan expands the firm's operational capabilities and reinforces Folk's commitment to supporting Saudi Arabia's Vision 2030. 'Folk Maritime's strategic acquisition of its second owned Saudi-flagged container vessel, part of an expanding fleet now totaling six ships, significantly enhances the company's operational flexibility and reduces dependency on chartered vessels,' Hestbaek noted. The CEO noted that his company's fleet expansion, which started with the purchase of 'Folk Jeddah' in September, now operating out of Jeddah Islamic Port, significantly strengthens trade operations and underscores Folk Maritime's dedication to increasing its contributions to the regional economy. Built in 2008 by Zhejiang Shipbuilding Co. in China, Folk Jazan has a nominal capacity of 2,015 twenty-foot equivalent units, enhancing operational flexibility and greatly expanding Folk Maritime's service network, the company stated in a press release. Engineered to meet the demands of modern containerized shipping, the vessel achieves a critical balance between capacity and operational efficiency, ensuring reliable service. Established in 2023 and commencing operations in April 2024, Folk Maritime is dedicated to enhancing the Kingdom's maritime connectivity by providing reliable shipping solutions that support regional trade. Through the expansion of its fleet, the company has strengthened the local supply chain and created jobs. National drive for maritime connectivity In March, the Saudi Ports Authority, also known as Mawani, announced Mediterranean Shipping Co. would launch the new 'Clanga' shipping line at Jubail Commercial Port, a move aimed at bolstering the Kingdom's investment and logistics landscape, according to the Saudi Press Agency. The new service will link Jubail with King Abdulaziz Port in Dammam, the Port of Singapore, the Port of Shanghai in China, and the Port of Colombo in Sri Lanka, with a handling capacity of up to 6,000 TEUs. In February, Mawani also revealed the introduction of five new shipping services by Hapag-Lloyd and Maersk, serving Jeddah Islamic Port, King Abdulaziz Port in Dammam, and Jubail Commercial Port. According to the authority, these services will further connect Saudi ports to major regional and international hubs, including Aqaba in Jordan, Port Said in Egypt, and Tangier in Morocco, as well as Algeciras in Spain, Jebel Ali in the UAE, Mundra and Pipavav in India, and Salalah in Oman.
