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Saudi Global Ports (“SGP”), the container terminal operator in King Abdul Aziz Port Dammam (“Dammam Seaport”), has been awarded a concession by Saudi Railway Company (“SAR”) to develop and operate the Riyadh Dry Port Ecosystem (“RDP”), comprising three facilities in Riyadh and Dammam, following a public private partnership tender process under the authority of the Kingdom’s Privatization Supervisory Committee. The RDP concession agreement was signed during the inaugural Saudi-Singapore Joint Committee held in Riyadh on 07 December 2021.

SGP plans to develop and operate RDP and Dammam Seaport as an integrated system, to improve logistics network flow efficiencies and reduce logistics costs in the Kingdom. It will also be collaborating with SAR and various stakeholders to provide multimodal and cargo solutions for market needs, and grow RDP’s rail freight activities. In addition, SGP will embark on a modernization program to upgrade civil infrastructure and facilities, procure new equipment and invest in technologies such as automation and a unified digital platform. This in turn enhances the security, safety and sustainability of supply chains, in line with the objectives of the National Strategy for Transport and Logistics Services.

SGP Chairman Mr. Abdulla Al Zamil said, “Saudi Global Ports is honoured to be selected as Saudi Railway Company’s partner to transform the Riyadh Dry Port Ecosystem into a modern logistics facility that supports the Kingdom Vision 2030’s second pillar of a thriving Saudi economy. It also represents a significant milestone for SGP as we can extend our benchmark performance beyond ports to grow as an integrated cargo solutions provider. With the support of Saudi Railway Company, we will work towards a quick and smooth transition and thereafter streamline the supply chain landscape for more efficient cargo movement between Dammam and Riyadh.”

Mr. Wan Chee Foong, PSA’s Regional CEO of Middle East South Asia and Head of Group Business Development, said, “We thank Saudi Railway Company for their trust and confidence in Saudi Global Ports. As a leading global port operator and partner to cargo stakeholders, PSA strives to provide innovative digital and cargo solutions to businesses and governments around the world. We will continue to work closely alongside Saudi Global Ports and Saudi Railway Company with a common vision to transform Riyadh Dry Port into a resilient and sustainable supply chain ecosystem, to benefit the Kingdom of Saudi Arabia and beyond.”

Under this agreement, SGP and SAR will work together to raise the operational efficiency of the Riyadh-Dammam Freight line and more than double RDP’s handling capacity to 1.5 million containers annually by 2030. To deliver the highest performance and harmonise the logistics between RDP and Dammam Seaport, new and innovative business processes will be introduced within the Riyadh Dry Port Ecosystem such as automating customer services on a 24/7 basis, facilitating cost-effective last mile delivery service, and supporting the competitiveness of Saudi exports with various enhanced rail services and incentives.

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