RIYADH: A memorandum of understanding (MoU) aimed at boosting logistics infrastructure was signed between Saudi Arabian government entities and the Singaporean shipping giant Pacific International Lines (PIL). The agreement was finalized on the sidelines of the Global Logistics Forum held in Riyadh. According to Saudi Press Agency, the MoU involves multiple stakeholders including the Ministry of Transport and Logistic Services, the Ministry of Investment, and the Saudi Ports Authority from Saudi Arabia, alongside Singapore's PIL. This partnership is set to explore and enhance opportunities in key logistics sectors such as ports, maritime affairs, and logistics zones which also cover free economic zones and dry ports. The MoU includes specific focus areas such as the development of feeder ship services that cater to both local and regional markets, and the provision of training for Saudi professionals in the logistics sector. Furthermore, it aims to foster increased cooperation and knowledge exchange between the involved parties. An additional component of the agreement is the potential establishment of a regional headquarters by PIL in Saudi Arabia, which would serve to strengthen its presence in the Middle East. This collaboration is part of Saudi Arabia's broader Vision 2030 initiative, which seeks to diversify the economy and reduce its dependence on oil by developing other sectors like logistics. By leveraging the expertise of PIL, Saudi Arabia aims to enhance its shipping, storage, and distribution capabilities, thereby positioning itself as a global logistics hub. The MoU is expected to lead to a more efficient, sustainable, and integrated logistics sector within the Kingdom, significantly contributing to its economic development goals.
