A pilot initiative conducted by the Port of NEOM in Saudi Arabia and the nation’s Logistics Partnership Council has established a new intermodal trade corridor connecting Saudi Arabia, Egypt and Iraq.
The trial has reportedly more than halved the transit time between these three key regional trading hubs.
The Port of NEOM, which conceptualised and developed the initiative, says that it ‘capitalises on a geographic trade opportunity, optimising both cost and transit efficiency along a strategic intra-regional corridor’.
As part of the pilot, a shipment travelled through a 900km long intermodal corridor, from Cairo via the Port of Safaga, across the Red Sea to the Port of NEOM, and then inland to commercial warehouses in Ebril, Iraq.
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According to the Port of NEOM, the success of the initiative ‘reflects strong collaboration between public and private sector stakeholders, including the Transport General Authority, Zakat, Tax and Customs Authority (ZATCA), shipowners, major importers and exporters, export councils and logistics companies’.
It says that ‘seamless coordination between all parties’ ensured high operational efficiency across all stages of transport and handling.
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By linking critical inland logistics corridors, the Port of NEOM believes that this corridor facilitates ‘seamless trade flows’ between Asia, Africa, Europe and the Middle East, unlocking new opportunities for cross-border commerce and economic growth.
It is hoped that initiatives like this one will support the Saudi Vision 2030 goal of building a diversified economy through the development of a world-class, integrated logistics ecosystem, linking ports, roads and customs centres.
