Infrastructure key to sector's growth
More logistics infrastructure is expected to be created in the GCC that would pave the way for competitive logistics services, said Roland Zibell, Director of ADI Services.
Although Dubai remains the only outstanding hub for trading and logistics in the GCC, more locations in the region have the potential to develop into platforms with good logistics infrastructure and service offerings.
"While this development has been focused on the UAE, there is now a clear trend that more locations and countries will follow," said Zibell. The UAE and Saudi Arabia are among the two leading countries in the GCC with 41.8 per cent and 28.8 per cent of investment, respectively. Bahrain is also investing $2.9 billion (Dh10.65bn) to upgrade its logistics infrastructure, including a new bridge to Qatar, an airport expansion, a state-of-the-art logistics zone and a larger port.
"There is enough volume to come for the logistics sector to not only grow existing hubs, but also to boost further locations. Any competition among the GCC's trading and logistics hubs would help to keep the sector on a path of sustainable development, continuous improvement and growth," said Zibell. He is scheduled to address the Global Logistics Forum to be held in Abu Dhabi on March 15 and 16.
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