Saudi Arabia has signed Build-Operate-Transfer (BOT) deals totalling SAR 2.2 billion ($586 million) as part of its drive to upgrade and develop its logistics infrastructure. The agreements were signed by the Saudi Ports Authority (Mawani) in collaboration with the National Centre for Privatisation at a high-level ceremony attended by Saleh Al Jasser, Minister of Transport and Logistic Services and Chairman of Mawani.
The 20-year contracts were given to Saudi Global Ports (SGP) and Red Sea Gateway Terminal (RSGT). These two logistics operators will now handle multi-purpose cargo terminals at eight strategic ports on the Kingdom’s two coasts.
The eastern coast has several ports, including King Abdulaziz Port in Dammam, Jubail Commercial Port, King Fahd Industrial Port in Jubail, and Ras Al-Khair Port. The western coast includes Jeddah Islamic Port, Yanbu Commercial Port, King Fahd Industrial Port in Yanbu, and Jazan Port.
The agreements aim to foster private sector participation in line with Saudi Arabia’s Vision 2030. Key goals include using innovative cargo handling technologies, lowering vessel and truck turnaround times, and increasing terminal capacity.
Minister Al Jasser emphasised that these agreements will help the Kingdom diversify its economy and establish itself as a worldwide logistics hub.
