MENA becomes a major Transportation & Logistics hub

The worldwide Logistics market is relied upon to achieve USD 15.5 trillion in income by 2024 while interests in industrial and retail projects extends prompt to a goad in the household logistics industry.

Reflecting upon the surge in worldwide exchange that was seen in the most recent two decades, advancements in logistics and changes in approaches crosswise over nations around the globe; Al Masah Capital, the region’s leader in ventures and market investigation, recently presented its audit on global Transportation and Logistics sector.

Regarding volume, the worldwide T&L industry is required to achieve 92.1 billion ton by 2024. The report additionally said that the worldwide Third Party Logistics (3PL) market is relied upon to develop at a CAGR of over 5% by 2020. Elements, for example, the fast globalization, expanding trade volume, and the restoration of the worldwide economy are a portion of the major contributing components to the development of the 3PL market. The growth of integrators will expand interest for contract logistics services and will essentially add to the development of the business.

Putting the focus on MENA’s vital location, Al Masah looked into Dubai’s great position for universal T&L. Dubai has well established and modern facilities including unhindered commerce zones and a localized marine terminal operation considered one of the biggest on the planet. Most organizations find that the area offers a scope of advantages for their provincial and universal operations. The rising numbers of exports and imports drove the supply chain and logistics market and the Middle East, drove by the UAE, to wind up distinctly a standout amongst the most essential center points in the changing worldwide trade lanes. In this way, general, as MENA nations seek after political change and monetary broadening, transportation and logistics venture is the foundation to its future development.

MENA nations likewise lead in Sea and Air Trade courses with the UAE and Saudi Arabia positioning among ‘Main 10 Air Freight Lanes’ all around. In spite of the fact that the region has an expanded system of air, ocean and street transport, the greater part of financial action is skewed toward sea transport. The district has aggregate of 134 Sea ports dealing with a sum of 48.3 million TEUs of holder activity. Of these, the GCC has almost 41 ports (35 noteworthy ports) which together handle 68% of MENA holder port activity. Other than ocean transport, the area has 114 worldwide and household air terminals of which 43 air terminals are situated inside GCC.

Uncovering a series of interesting facts about the MENA area, the report referred to some info that MENA has exchange relations with practically every nation and district over the globe. The MENA region sends out hydrocarbons and hydrocarbon-related items that are in great demand, and meets a huge piece of its food necessities through imports. Information from the WTO hints that MENA takes part in greatest merchandise exchange with Asia (55% of all exports and imports), trailed by Europe (31%), and North America (8%). Others like the CIS and South/Central America represent the rest of the 6% share.

Inside the area, the UAE and Saudi Arabia are the most alluring focuses for logistics speculations, investments also are the easiest marketplaces to work in. Other MENA nations, especially those in the GCC, for example, Qatar, Oman, Kuwait and Bahrain, alongside Morocco and Jordan are likewise developing as potential investment areas. 34 free trade zones, non-existent corporation taxes and the offer of full possession, combined with unlimited possibilities for repatriation of profits, makes the UAE an exceedingly engaging business condition for producers, manufacturers and additionally to logistics service operators.