Saudi Arabia's ports are booming
The Saudi Ports Authority, has reported that container traffic, container volumes, transhipment and passenger traffic recorded positive figures in 2022 compared to the previous year, and upward trends are expected for the period 2023-24. It also reported that container volumes increased by 8.7% in 2022, totalling 1.8 million 20-foot-long containers, while transhipment increased by 6.2%, totalling 1.2 million containers. Passenger traffic increased by 10.3%.
Importance was given to the implementation of new direct liner services and the improvement of traditional liner services, which contributed to greater efficiency in maritime transport. In addition, traffic increased thanks to the Saudi Ports Authority's collaboration with major port operators such as Maersk, MSC and CMA CGM. These companies have offered an increased number of direct services to Saudi ports, which has led to an increase in cargo volumes.
Saudi Arabian ports are experiencing an increase in maritime traffic due to the recent opening of the region to new foreign investment. This has allowed Saudi Arabia to develop modernised infrastructure to attract more commercial traffic to its ports. The main ports in Saudi Arabia are: Jeddah Islamic Port, Dammam Port, King Abdulaziz Port, Yanbu Industrial Port, Jubail Commercial Port, Jazan Economic City Port, Al-Wajh Port, Ras Al-Khair Industrial City Port, Ra's Tanura Port and Ras Al-Khafji Port. These ports have been upgraded to meet the needs of modern shipping operators, and now serve numerous industrial and commercial companies from around the world. This has enabled Saudi Arabia to become a key commercial hub for regional and international trade.
The development of the shipping and logistics sector is a crucial pillar of Saudi Arabia's transport strategy within the country's Vision 2030 development plan. Saudi Arabia's vision is to become a regional logistics hub for countries in the Middle East, Africa and Southeast Asia. This means that the country is investing in infrastructure and services to improve competitiveness in the shipping sector.
Investments are aimed at improving port infrastructure, including the construction of new ports, modernisation of existing ports and upgrading security technology. In addition, massive investments are being made in the logistics sector, including the construction of new warehouses and the development of new technologies to improve supply chain management.
In addition, Saudi Arabia has increased its efforts to improve shipping efficiency, resulting in a significant reduction in transit times and greater transparency in cargo processes. The Saudi kingdom has improved its maritime security service and developed a platform for the electronic exchange of information between ships and ports. These initiatives have resulted in increased productivity and reduced costs for operators.
The Saudi Arabian government has developed an investment programme for port infrastructure development that includes the construction of four modern ports on the Saudi Arabian coast. These ports will have world-class facilities that will contribute to a significant improvement in maritime connectivity.
Another important improvement relates to the modernisation of the maritime supply chain to increase efficiency, reduce transit time and improve cargo tracking. This initiative includes the implementation of an electronic platform to automate the loading and unloading process. This platform will allow maritime transport operators to share information in a secure and transparent manner, which will help reduce costs and transit times.
The Saudi Ports Authority continues to support the port sector by improving the efficiency and quality of services. In addition, they expect the coming years to be a time of growth for the sector, thanks to investment in infrastructure and the implementation of new services.