LOGISTICS
L ong-standing global trade patterns continue to be rocked by world events that started with pandemic and have continued with geopolitical , environmental and economic turmoil .
Organisations have come to realise that , to deliver the goods consumers want and societies need would require a new approach toward supply chains .
Part of this approach has been the rise of the logistics hub – large-scale structures within which different logistics providers offer value-added services by sharing assets . Sometimes the hub
Such hubs improve the efficiency of transportation systems , because they provide the blend of resilience and speed that is required of modern logistics in such an uncertain world .
Such hubs are becoming a strategic response not only at enterprise level – at companies such as Uber Freight – but also at government level .
Saudi Arabia , for example , is set to build dozens of logistics centres to transform itself into a global logistics hub .
There are three types of logistics hubs : transfer hubs distribution hubs process distribution hubs
The Saudis are seeking to leverage its geographic location to service the continents of Asia , Europe , and Africa by building 59 logistics centres with a total area exceeding 1 billion square feet .
These include 12 each in its capital city , Riyadh and the Makkah region , 17 in the Eastern Province , and 18 dotted about the kingdom . Initial development work is focused on 21 centres , and the aim is to complete them all by 2030 .
Saudi sources say the finished centres will help local industries efficiently export Saudi products and support e-commerce by connecting regions , cities and provinces .
The plan also eases the process of obtaining logistic activity licences . To date the Saudi Arabian authorities have granted 1,500 of these to local , regional and international logistics companies . One of those licence holders is Kuehne + Nagel , the Swiss freight forwarder .
Saudi leaders say their investment has already seen the country rise 17 places ( to 38th ) in the World Bank ' s Logistics Performance Index ( LPI ). Its ultimate goal is to hit the top 10 by 2030 .
Also in the Arabian Peninsula , multinational logistics company DB Schenker is making substantial progress on building a renewable energy-powered mega logistics ’ hub in Dubai , in the UAE . Its warehouse and logistics hub facilities are
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