Tharawat Alqata, Masarat set to launch operations in KAEC
RIYADH, October 15, 2024
Economic Cities and Special Zones Authority (ECZA) today (October 14) revealed three significant announcements to coincide with the inaugural Global Logistics Forum (GLF).
Announcing the milestone transport and logistics deals, ECZA said it has awarded new eligibility criteria certificates to Tharawat Alqata Industries as well as Automotive Solution Company for Logistic Services (Masarat Mobility Park) to launch operations within King Abdullah Economic City (KAEC) Special Economic Zone.
Also it has signed a major agreement with Saudi Post (SPL) in bid to enhance logistics services for investors in SEZs across Saudi Arabia.
These SEZs, which were launched in 2023, are strategically located - with KAEC SEZ and Jazan SEZ along the Red Sea and the Ras Al Khair SEZ on the Arabian Gulf, acting as a unique gateway between three continents.
This allows companies to set up operational bases across different SEZs in the kingdom, facilitating resilient supply chains and access to new markets.
ECZA said it continues to work to bring foreign investment into the SEZs, thus contributing to the creation of A Thriving Economy, a key pillar of Saudi Vision 2030.
The certificates, and the investment they will enable, demonstrate the continued growth of kingdom's automotive and logistics clusters, it stated.
Investors in the cluster, a priority growth sector for ECZA and Saudi Arabia, include leading automotive brands such as Lucid, Ceer, Hyundai and Pirelli, it added.
It is expected that these keystone automotive businesses will contribute at least $8 billion annually to Saudi Arabia's GDP by 2034, creating thousands of jobs in the process.
On the deal with SPL, the Authority said it is the first of multiple strategic partnerships ECZA has sealed with other public sector entities in Saudi Arabia.
The SPL partnership will lead to the development of a new addressing system that will ease the conduct of business for investors within SEZs. Additionally, the partnership will lead to the creation of bespoke incentives for businesses in SEZs.
On these major announcements, Secretary General, Nabil Khojah, said: "Since the launch of the four new Special Economic Zones in 2023, ECZA has been working tirelessly to secure new investment into the zones and to more closely integrate with our government partners."
"The announcements made here at the Global Logistics Forum are demonstrations of the business and cluster transformation ECZA is accelerating. These two new certificates will bring investment into King Abdullah Economic City SEZ’s automotive cluster, a priority sector for ECZA and the Kingdom," stated Khojah.
"The partnership between Saudi Post and ECZA will enhance logistics operations within SEZs, streamlining services and enhancing the already attractive proposition for investors looking to do business in Saudi Arabia’s SEZs," he added.-TradeArabia News Service
