Middle East continues to do well
“Extremely lucrative” opportunities for companies able to take advantage of the region’s emergence as a global logistics hub according to Agility's Al-Saleh.
June 5, 2014
In a keynote speech to the Emerging Markets Logistics Conference in Dubai, Agility CEO Essa Al-Saleh highlighted the outstanding performance of the Middle East in the 2014 Agility Emerging Markets Logistics Index. The region outperformed all others in favorability for business and trade in general. Qatar, UAE, Oman, Jordan, Saudi Arabia and Kuwait ranked highest out of 45 emerging markets countries in the key category of “market compatibility.”
The Middle East offers “extremely lucrative” opportunities for companies able to take advantage of the region’s emergence as a global logistics hub, Al-Saleh said today.
“Against a background of a sluggish global economy, the Middle East continues to shine. The UAE is an attractive location for logistics investments based on ease of doing business, while Saudi Arabia’s strong economic and population growth have also made it a market ripe for investment,” Al-Saleh said. “Saudi Arabia continues to spend on infrastructure. It has been a star performer among emerging markets globally, taking third spot in the 2014 Index.”
New data presented today at the conference by Ti supported the healthy picture painted by Al-Saleh. Ti estimates that the contract logistics sector in the Middle East will expand 33 per cent by 2017 – an average of 7.5 per cent a year – to €3.15 billion from €2.36 billion in 2013. Ti predicts that growth in freight forwarding in the Middle East will be even stronger — 7.8 per cent annually until 2017. As a share of the region’s international freight forwarding market, ocean freight is expected to grow to 57.8 per cent in 2017, up from 55.2 per cent last year.