Breaking ground at new Saudi logistics park

The US$250 million facility is set to provide state-of-the-art storage and distribution facilities, as well as boost trade in Saudi Arabia and the wider region.

“This new logistics area will be connected to DP World’s South Container Terminal at Jeddah Islamic Port, facilitating growth and increasing the number of containers handled at the terminal,” explained president of Saudi Ports Authority (Mawani), Omar Bin Talal Hariri.

“The project is part of Mawani’s broader efforts to expand the number of logistics centres in Saudi ports, in partnership with major national and international companies, and in line with the objectives of the National Transport and Logistics Strategy and Vision 2030.”

The 415,000 sqm greenfield facility will have 185,000 sqm of warehousing space, a multi-purpose storage yard and more than 390,000 pallet positions, making it the largest integrated logistics park in the kingdom.

Established in 2022 as part of a 30-year concession, Jeddah Logistics Park will be developed in two phases with a planned opening in Q2 2025. The facility will also have a rooftop solar plant on the warehouse that will generate 20MW of renewable energy.

The terminal is currently in the final phase of a comprehensive modernisation project, scheduled for completion in Q4 2024, which will see the handling capacity being ramped up to 5 million teu.

Altogether, the two DP World projects represent an investment of close to US$1 billion.