Developing new logistics technologies is vital for the world’s economy, according to the World Economic Forum’s Head of Supply Chain and Transport Industries and SPSCT18 speaker Wolfgang Lehmacher.
Speaking at the 15th Trans Middle East Conference in Aqaba, Jordan, organised by the Aqaba Ports Company, Lehmacher explained how connectivity has helped developing nations in all regions flourish.
On the value of logistics, Lehmacher said: “Without logistics, today’s global procurement, manufacturing and distribution networks would not exist.
“Logistics and transport with all its related services are impacting the cost of goods and the access to supply and demand, to products and markets”.
Speaking specifically about the Middle East, Lehmacher noted the potential of countries such as Jordan, and urged the region as a whole to collaborate and find common ground on logistics projects.
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Lehmacher observed: “Countries have the choice to compete or to collaborate.
“The different efforts in the region can be parts of one major area development project. Why not considering a collective Middle Eastern Logistics Hub & Platform Initiative?
Credit: Wolfgang Lehmacher/LinkedIn
“Such an initiative would well fit with and support “Jordan 2025 – a national vision and strategy”.
“Broad alignment, not only across the nation but also across the region holds huge potential.
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Furthermore, Lehmacher cited contemporary global projects, such as China’s Belt and Road Initiative (BRI), which are improving cross-border connectivity.
“Countries benefit from reforms and coordinated national planning, from infrastructure investment and improved governmental processes.
“Connecting with the world enlarges the source of growth. This is one of the reasons why China is driving the Belt and Road Initiative.
Credit: Wolfgang Lehmacher/LinkedIn
“The initiative will improve connectivity between the more than 60 countries and regions involved and stimulate economic growth along the routes.
“This regional initiative can directly benefit 70 percent of the global population.”
The BRI, the biggest infrastructure project in world history, is also a hub of digital research as China looks to build a network that improves data sharing and technological collaboration – a significant part of the country’s 13th Five Year Plan.
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Lehmacher commented: “The China Belt & Road Initiative (BRI) has its digital layer.
“The initiative foresees the improvement of international communication connectivity, through satellite information passageways, the construction of cross-border optical cables and other communications trunk line networks to create the “Information Silk Road.
“China is setting itself and other countries up for the digital era.”
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