His Royal Highness the Crown Prince launches the National Transport and Logistics Strategy, one of the Vision 2030 pillars

Economics News
Published 30 Jun 2021
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His Royal Highness the Crown Prince launches the National Transport and Logistics Strategy, one of the Vision 2030 pillars

His Royal Highness, Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince, Deputy Prime Minister, Chairman of the Council of Economic and Development Affairs, and Chairman of the Higher Committee for Transport and Logistics launched, Wednesday 20/11/1442 AH corresponding to 30/6/2021 AD, the National Transport and Logistics Strategy. The comprehensive strategy that aims to solidify the Kingdom’s position as a global logistics hub connecting the three continents, it will uplift and improve all forms of transport services and strengthen the integration of logistical services and future technologies, supporting and enabling the Kingdom’s national development plans.
In line with changing the Ministry’s name from the Ministry of Transport to the Ministry of Transport and Logistics Services. This strategy entails an ambitious package of Mega projects, enabling economic and social goals, and the adoption of effective governance models to institutionalize efforts in the transport sector.
HRH The Crown Prince noted, “This strategy will contribute to advancing technical capabilities and human capital in the Transport and Logistics Sector, it will invest our country’s strategic position at the heart of three continents, further concreting our integral part of global economies; by creating advanced logistical industries, ensuring high quality services and applying competitive business models, we will strengthen productivity and sustainability in the logistics sector. Being a key pillar of Vision 2030 and an enabling sector for industries the transport and logistics sector strategy aims to diversify our economy and achieve sustainable development.”
HRH the Crown Prince added, the strategy will focus on developing infrastructure, launching key platforms and logistics zones across the Kingdom, adopting advanced operating systems and optimizing partnerships between the public and private sector, achieving the four key targets of: solidifying the Kingdom’s position as a global logistics hub, uplifting quality of life in the Kingdom, achieving efficient fiscal management and enhancing public sector performance.
HRH the Crown Prince further highlighted, through this strategy we aim to advance the Kingdom’s position to become the 5th global Air Transit Passenger route, increase international destination reach to 250 destinations, alongside the launch an additional new national carrier, in Air Cargo capacity we aim to double our capacity to more than 4.5 million tonnes, all of which will enable adjacent sectors of Hajj & Umrah and Tourism to achieve their national targets.
On Maritime transport HRH the Crown Prince added, “we set a target to achieve an annual container capacity of over 40 million containers, including the associated value chain investments, in developing ports’ infrastructure, enhancing integration with logistics zones, expanding connectivity with international shipping routes and integrating this all with rail and road networks. By enhancing the entire value chain, we ensure the effectiveness and efficiency of the transport ecosystem and its economics”.
HRH further explained, the Kingdom’s current railway network provides services for passengers and freight across a track of 5,330km, 450km of which are the Haramain high-speed railway –the largest high-speed transport project in the region- between the two holy cities of Mecca and Madinah. Whereas the strategy will increase the total future length of railways to an estimated 8,080km, including the flagship “Land Bridge” project, spanning more than 1,300km, with a capacity of over 3 million passengers and 50 million tonnes per annum and connecting the Kingdom’s ports from the Arabian Gulf to the Red Sea, by doing so we are opening the market and creating new and promising opportunities for investors and operators, this rail network will pass through modern logistic zones, economic hubs, industrial cities, and mining clusters. It will enhance the Kingdom’s logistic performance index to be among the top ten countries globally, significantly contribute to the regional goal of achieving a railway network connectivity between Arabian Gulf Countries, positioning the Kingdom as a key regional and global transportation axis.
HRH the Crown Prince further highlighted, this strategy is built on several key strategic pillars, including the Kingdom’s major road networks –which are currently among the highest globally ranked in terms of connectivity-, as it includes various initiatives aimed at reducing the number road accident victims, ensuring efficient connectivity and public transportation services, alongside achieving sustainable and environmentally conscious targets of reducing fuel consumption by 25% and adopting latest technologies of passenger and cargo transportation following best global practices, the strategy will aim to position the Kingdom at the forefront of road quality and safety.
HRH the Crown Prince further added, one of the key strategic goals of the Strategy is to increase the contribution of the transport and logistics sector in National GDP from 6% to 10%, by enabling industry and expanding investments and increasing the sector’s annual contributions to non-oil revenues to SAR 45 billion by 2030 the transport and logistical sector will significantly support achieving national economic goals.
HRH the Crown Prince concluded, “we are proud of the achievements being made under the leadership of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, and as we look to the future, we aim to achieve more and leap higher in accordance with the Kingdom’s leadership position. Through the drive of an ambitious nation, we are confident in our capabilities to achieve the national targets of Vision 2030”.

Last Modified Date: 01/07/2021 - 12:37 PM Saudi Arabia Time


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