Logistics

Ma'aden and Bahri sign logistics partnership agreement

The partnership intends to create commercial integration prospects between the two national heavyweights. (Image source: Bahri)

Ma'aden, the Saudi Arabian Mining firm, the biggest multi-commodity mining and metals firm in the Middle East, and Bahri, the National Shipping Company of Saudi Arabia and a global leader in logistics and shipping, have inked a strategic Letter of Intent (LOI).

Inked in front of Ministry of Investment personnel, this partnership intends to create commercial integration prospects between the two national heavyweights with the goal of localising the maritime sectors and building robust supply chains.

On the signing, Eng. Ahmed Ali Al Subaey, CEO of Bahri, said, "We are delighted to work together with Ma'aden, one of the fastest-growing mining companies in the world and the largest multi-commodity mining and metals company in the Middle East. This collaboration emphasises Bahri’s effective and reliable offerings as the national shipping company and further strengthens our position as a global leader within this dynamic industry."

On this occasion, Bob Wilt, CEO of Ma'aden, said, "As a global exporter, access to Bahri’s extensive shipping capabilities ensures that Ma’aden can support localisation of the maritime industry in Saudi Arabia. Having worked with the Bahri team across our fertiliser business in recent years, we are confident that this collaboration will open up new growth opportunities across other areas of our business while continuing to support the national economy."

Envision & DHL: Green logistics partnership

Tobias Meyer, CEO at DHL Group, and Lei Zhang, chairman of Envision Group

Envision Group and DHL Group join hands to advance green logistics, SAF, and a Net Zero Industrial Park, targeting net-zero emissions. (Image source: DHL Group)

Envision Group, a leading global green technology company, and DHL Group have signed a strategic partnership agreement to foster comprehensive cooperation in logistics solutions and accelerate sustainability targets

The partnership covers four main areas: Logistics solutions, Sustainable Aviation Fuel (SAF), green energy, and the joint development of a "Net Zero Industrial & Logistic Park." This collaboration combines DHL Group's extensive logistics expertise with Envision's knowledge of renewable energy solutions, aiming to advance environmental energy initiatives. Both companies are committed to achieving net-zero emissions, with SAF being a key focus. Recognizing SAF's critical role in reducing carbon emissions in air transportation, DHL aims to increase the SAF mix to 30% by 2030. Envision will provide SAF for DHL, supporting the logistics company's carbon reduction goals while securing the global supply. Additionally, Envision will explore renewable feedstock sources and technology routes to advance decarbonisation in the aviation sector.

Lei Zhang, Chairman of Envision Group, stated, "The aviation sector is currently trailing targets largely due to high costs associated with green hydrocarbons and their derivatives. Envision, through systematic innovation, can reduce cost and revolutionise the production of SAF at scale. The development of this 'new oil' will support global efforts towards carbon neutrality."

Sustainable logistics alliance

Furthermore, Envision will provide comprehensive green energy transition solutions, including electricity, to support DHL's renewable energy goals through focused green power procurements.

The agreement positions DHL as a key strategic partner for Envision's development plans, leveraging DHL's extensive network across over 220 countries and territories to support Envision's renewable energy market expansion. As Envision's preferred logistics partner, DHL will deploy fully integrated logistics solutions to enhance efficiency and quality, ensuring seamless global supply chain management and support in navigating regulatory and operational challenges.

Tobias Meyer, CEO at DHL Group, remarked, "The partnership framework with Envision represents a further step towards global sustainability leadership for DHL Group. By leveraging our unparalleled logistics expertise and unique global network, we are committed to supporting Envision in their international expansion and logistical challenges. Together, we will lead the change in integrating green technologies and optimising supply chains, setting new benchmarks for sustainable innovation and global environmental impact through the energy transition."

Envision and DHL will also explore opportunities for the joint development and construction of a "Net Zero Industrial & Logistic Park" across various industry sectors. This new class of industrial parks, fully powered by a comprehensive clean energy solution, integrates the supply chains of several industries, such as electric vehicle and battery manufacturing. The Park aims to advance new electric power systems models and foster green industrial ecosystems, expediting the global green transition for customers. Having launched in Asia and parts of Europe and the Middle East, Envision, with DHL's support, will expand the Park's global footprint, providing innovative solutions for zero-carbon transformation.

SOHAR Port and Freezone revolutionises logistics efficiency

Workshop on the implementation of the MFM system

SOHAR Port and Freezone advances fuel measurement with MFM systems, enhancing accuracy, efficiency, and transparency in logistics operations. (Image source: SOHAR Port and Freezone)

SOHAR Port and Freezone recently held its second workshop on the implementation of the Mass Flow Meter (MFM) system, a cutting-edge technology revolutionising fuel measurement practices

The event gathered industry experts and stakeholders to discuss the numerous benefits of MFM systems over traditional methods, emphasizing their reliability, accuracy, and tamper-proof features. Attendees participated in informative sessions showcasing how MFM technology streamlines operations and minimizes errors.

This workshop underscores SOHAR's steadfast dedication to transparency and precision in logistics. By aligning with global industry leaders like Singapore, SOHAR Port is setting a regional benchmark for excellence. The collaboration with Metcore International Pte Ltd has been crucial in providing the technical expertise necessary for the successful integration and testing of these advanced systems. This partnership solidifies SOHAR Port’s reputation as a premier logistics hub committed to adopting innovative solutions that drive progress.

MFM systems enable direct fuel measurement by mass during custody transfers, offering real-time data capabilities that allow for immediate detection and resolution of discrepancies on site. This not only boosts operational efficiency but also ensures compliance with industry standards.

As SOHAR Port and Freezone continues to embrace technological advancements, it remains dedicated to fostering a culture of excellence and innovation in the logistics sector, paving the way for a more efficient and transparent future.

Aldar, DP World to develop UAE logistics park

Aldar Properties partners with DP World to develop a 1.55 million sq ft Grade A logistics park at National Industries Park, boosting UAE's logistics sector. (Image source: Adobe Stock)

Aldar Properties, a prominent real estate developer, investor, and manager in the UAE, and DP World have entered into an agreement whereby Aldar will finance and develop a 1.55 million sq ft (144,000 sq m) Grade A logistics park at National Industries Park (NIP) in Jebel Ali, Dubai

This significant project marks a new partnership granting Aldar the opportunity to develop and lease assets within NIP, strategically located near Jebel Ali Port and Al Maktoum International Airport, with excellent connectivity to major road networks like the E11 and E311.

Targeting high demand for warehousing facilities, the project will cater to third-party logistics (3PL), eCommerce, and retail tenants seeking expansion or relocation. The Grade A and LEED certified logistics park will occupy a 2.36 million sq ft (220,000 sq m) plot and consist of three modular buildings adaptable for single or multi-tenant occupancy, offering flexible unit sizes.

Aldar will manage the entire development cycle of the logistics park, encompassing concept design, execution, and management. This initiative forms part of Aldar’s recently announced AED 1 billion investment to expand its logistics real estate portfolio in Abu Dhabi and Dubai, with further investment plans as the business grows.

Talal Al Dhiyebi, group CEO, Aldar Properties, commented, “This strategic agreement with DP World further bolsters our presence within the logistics real estate sector and aligns with our broader expansion plans in Dubai. The location of the site within National Industries Park is significant, strategically positioning us in a logistics hotspot with excellent access to the port and the main highway to Dubai and Abu Dhabi. Leveraging our expertise in both development and asset management, this unique project will play an integral role in the continued growth and diversification of our logistics offering.”

Abdulla Bin Damithan, CEO & managing director, DP World GCC, said, “Our collaboration with Aldar will expand the logistics capabilities at NIP, strengthening our position as a critical distribution hub for some of the biggest manufacturers and businesses in the FMCG segment. With more than 330 businesses operating their facilities out of NIP, the development of this logistics park will ensure that the right infrastructure and services are in place to meet the growing demands of our customers. This partnership underscores our dedication to delivering cutting-edge facilities and supply-chain solutions with our partners.”

Rising costs are the main challenge for supply chain, finds report

Vaibhav Vohra. (Image source: Epicor)

The 2024 Agility Index research study by Epicor and Nucleus Research reveals that nearly half of companies in the make, move, and sell industries consider rising costs as the primary challenge for supply chains.

More than half of these companies are using artificial intelligence, automation, or machine learning in at least one supply chain management application to tackle these issues. Notably, 63% of high-growth businesses — those with a revenue increase of 20% or more over the past three years — have already implemented generative AI in their supply chain operations to manage costs and operational challenges.

Nucleus Research surveyed over 1,700 supply chain management leaders globally to explore how they are utilising advanced technologies such as artificial intelligence and machine learning to overcome challenges like supply chain disruptions, rising costs, and skilled labour shortages. The study also highlighted planned future investments in these technologies.

“When workers are empowered to spend more time innovating — what humans do best — that’s where the real value creation happens. That is agility,” said Vaibhav Vohra, chief product and technology officer at Epicor. “Our 2024 Agility Index underscores the growing adoption of AI and other automation technologies as an essential factor in enabling supply chain businesses to better thrive and compete. These cognitive capabilities are coming together to empower workers and their businesses to more readily adapt to shifting market conditions and better serve their customers.”

Survey highlights

Survey respondents indicated they are integrating generative AI into digital supply chain operations across various functions such as product descriptions, customer service chatbots, natural language querying, reporting, and in-application assistance. Specifically, the adoption of generative AI in customer service chatbots, noted by 72% of organisations, is highlighted as the most prevalent use case. This widespread implementation is attributed to the technology's ability to streamline customer interactions across various sectors.

Similarly, 67% of organisations currently employ generative AI for crafting product descriptions, leveraging the technology's capacity to analyse customer sentiment and forecast market demand. This enables a more informed approach to product design and feature development.

Businesses are widely adopting machine learning, particularly in inventory optimisation (45%) and demand forecasting (40%), highlighting the importance of these technologies in managing stock levels and accurately predicting future demand.

Survey respondents indicated that the most anticipated benefits of automation technologies are increased efficiency and productivity (32%), cost savings (26%), and enhanced supply chain automation (23%). This demonstrates a strong confidence in the potential of these technologies to bring substantial improvements in supply chain management.