Saudi Arabia: Maersk and Saudi Post sign MoU to combine global shipping with domestic distribution, leveraging Jeddah’s new Integrated Logistics Park to enhance cross-border eCommerce, supporting Vision 2030 economic diversification and digital trade ambitions across the Gulf Cooperation Council.
Maersk Saudi Arabia and Saudi Post Company have recently formalised a strategic partnership through a Memorandum of Understanding (MoU) designed to enhance logistics and supply chain services specifically for eCommerce companies operating within Saudi Arabia and potentially across the wider Gulf Cooperation Council (GCC) region. This collaboration combines Saudi Post’s extensive domestic distribution network with Maersk’s formidable global shipping and logistics infrastructure, creating an integrated end-to-end logistics solution to better serve the fast-growing eCommerce sector.
Saudi Post brings its robust national network to the partnership, which is well aligned with Saudi Arabia’s Vision 2030 objectives aimed at diversifying the economy and boosting digital transformation and trade facilitation. Maersk, on the other hand, contributes its global reach and newly established Integrated Logistics Park in Jeddah, a state-of-the-art facility that acts as a key operational hub, further enhancing the Kingdom’s role as a regional logistics gateway.
The MoU sets out a comprehensive framework for cooperation focusing on four core areas: technology and systems integration to enable seamless digital connectivity between the two organisations; joint marketing and commercial strategies to better serve international businesses; customer service excellence to ensure smooth operations and enhanced experience; and operational optimisation to increase capacity and efficiency for mutual customers.
Under the terms of the agreement, Saudi Post will oversee all domestic operations inside Saudi Arabia, including express customs clearance and last-mile delivery services. Maersk will manage the logistics chain upstream, from origin activities to international transportation and bonded fulfilment solutions. This division of responsibilities aims to create a seamless logistical flow from global merchant to local consumer, addressing a critical bottleneck for cross-border eCommerce in the region.
Rouni Saad, International Business Sales Director at Saudi Post Group, highlighted the importance of this strategic collaboration, stating it plays a pivotal role in streamlining cross-border eCommerce flows to and from Saudi Arabia and the broader GCC. He emphasised that the partnership enhances connectivity, reliability, and growth opportunities for businesses aiming to tap into this dynamic market.
Maersk’s Integrated Logistics Park at Jeddah Islamic Port—a major milestone in Saudi logistics infrastructure—covers an expansive 225,000 square meters and represents a significant investment of around $250-$346 million. The facility offers a broad range of solutions including warehousing, distribution, cold storage, eCommerce fulfilment, and serves as a hub for transhipments, petrochemical consolidation, air freight, and less-than-container-load (LCL) cargo. It is also part of broader initiatives to decarbonise logistics operations by leveraging renewable energy sources to power the park fully.
This partnership and the investment in logistics infrastructure come at a crucial time as Saudi Arabia and the GCC region experience rapid growth in eCommerce, driven by increasing consumer adoption and ambitious governmental strategies underpinned by Vision 2030. By leveraging deep local expertise with global logistics capabilities, Maersk and Saudi Post aim to create a seamless, efficient, and scalable logistics ecosystem that can handle the complex demands of international eCommerce companies looking to enter or expand within these emerging markets.
Overall, the alliance signifies an important step in establishing Saudi Arabia as a logistics and eCommerce hub not only within the kingdom but also across the Gulf region, aligning with broader economic diversification ambitions and unlocking new opportunities for international trade and digital commerce.
Source: Noah Wire Services
