RIYADH: Saudi Arabia’s Jazan region is expected to see improved operations management and air freight services following a new agreement between SAL Logistics Services Co. and the Royal Commission for Jubail and Yanbu.
By integrating various transportation modes and linking air and sea ports to Jazan City, the agreement seeks to create a more efficient logistics network to support the region’s industrial growth, according to a statement on X.
This move aligns with Saudi Arabia’s Vision 2030, which focuses on economic diversification and infrastructure development for sustainable industrial growth.
Faisal Al-Bedah, managing director and CEO of SAL, said: “This cooperation agreement represents a promising step in our mission to enhance the logistics infrastructure in the Kingdom.”
He added: “By partnering with the Royal Commission for Jubail and Yanbu, represented by Jazan City Port Basic and Transformative Industries, we are not only enhancing our services but also contributing to the broader economic development of the promising Jazan region.”
The enhancement of Jazan’s logistics framework is expected to attract new investments, thereby contributing to the region’s economic vitality, the statement added.
Key elements of the agreement include tailored logistics services for current and potential investors in Jazan City Port Basic and Transformative Industries.
The partnership aims to facilitate the exchange of commercial information, ensuring SAL and the Royal Commission for Jubail and Yanbu work together to enhance industrial and logistical capabilities and integrate Jazan’s hubs with national and international markets.
Additionally, the agreement emphasizes connecting Jazan’s terminals with major airports and key ports through improved land transportation, which will enhance export and import efficiency.
In June, SAL signed a contract with Air China for comprehensive air cargo handling services, including road feeder services across Saudi Arabia and the Gulf Cooperation Council. This partnership was aimed at streamlining operations and strengthening SAL’s position in global logistics.
SAL was formed from Saudi Airlines Cargo’s ground handling division to support the Kingdom’s economic transformation and global logistics ambitions.
Last month, SAL and Tarshid Energy Solutions signed a memorandum of understanding to enhance energy efficiency across SAL’s Saudi operations, aiming to reduce costs and align with Saudi Vision 2030’s sustainability goals.
The Kingdom’s strategic focus on Jazan as a logistics hub is essential as it positions the country as a central link between Asia, Africa, and Europe.
The nation has launched a comprehensive logistics strategy that focuses on integrating its ports, airports, and land transport networks into a cohesive system.
Saudi Arabia is leveraging its geographic position, with major developments underway in key regions such as Jazan, which is located near the Red Sea, a vital maritime route for global trade.
Jazan Port, inaugurated recently and operated by Hutchison Ports, plays a pivotal role in this undertaking.
The terminal has a designed capacity of handling up to 4 million tonnes of cargo annually and 1 million twenty-foot equivalent units, with its deep berths accommodating some of the largest container ships globally .
In addition to the port, Jazan Airport, as of 2023, has handled approximately 25,000 tonnes of cargo, marking its growing contribution to the region’s economic landscape.
