Maersk inks agreement to expand W&D footprint in UAE

Maersk inks agreement to expand W&D footprint in UAE

Maersk Kanoo UAE has signed an agreement with Dubai South for its new warehousing and distribution (W&D) facility in Dubai.

The agreement was signed by Christopher Cook, Managing Director, Maersk UAE and Mohsen Ahmad, CEO of the Logistics District, Dubai South.

The 15,000 square-metre (approximately 162,000 square feet) ‘Maersk Integrated Logistics Centre DWC’ facility in the Dubai South Logistics District will have a capacity to cater to 15,000 pallet positions and 10,000 bin locations; it will also serve as a fulfilment centre, according to Maersk.

As inbound logistics and distribution have traditionally been shared among multiple stakeholders in the Middle East, Maersk said it has invested in W&D facilities to create a seamless experience and integrated logistics solution for its customers.

Following the inauguration of the first W&D facility in Dubai at JAFZA earlier this year, Maersk will now more than double its total footprint in the UAE with the new centre.

“At Maersk, we are in constant dialogue with our customers to understand their logistics requirements and supply chain pain points,” said Christopher Cook, Managing Director, Maersk UAE.

“Our customers have appreciated the single-window access to all their logistics requirements through our integrated solutions.

“Upon carefully studying different possibilities, we zeroed in on Dubai South for our new fulfilment centre considering its strategic location connected to Al Maktoum International Airport (DWC) and the mainline port and hub of Jabal Ali.

“This will allow us to further build on our air-sea hub operation, which has become increasingly important while also satisfying the right balance between speed and cost with tremendous flexibility.”

READ: New Maersk warehouse opens in India

“We are pleased to sign this agreement with Maersk, which will help expand its footprint across the UAE,” said Mohsen Ahmad, CEO of the Logistics District, Dubai South.

“Our mandate at Dubai South is to attract top international players to the Logistics District with the aim of boosting the logistics sector and diversifying the Emirate’s economy in line with the various government initiatives and strategies.

“In reinforcing Dubai’s status as global trade and air-freight logistics hub, we will spare no effort to offer Maersk optimal solutions to further advance its air cargo operations as well as support them in their growth journey.”

The Maersk Integrated Logistics Centre DWC at Dubai South will become operational later this month.

With the new centre, the Danish giant is aiming to enable reduced handovers of cargo leading to faster turnaround times, higher visibility, better control and more predictability of supply chains.

Last month, Maersk announced the completion of its acquisition of LF Logistics, a Hong Kong-based contract logistics company.

Following the acquisition, the carrier will add 223 warehouses to the existing portfolio, bringing the total number of facilities to 549 globally, spread across a total of 9.5 million square meters.

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