The Red Sea Gateway Terminal (RSGT) at the Jeddah Islamic Port (JIP) in Saudi Arabia is embarking on an advanced expansion project which will be a critical part of the country’s long term maritime and economic strategy, including its Vision 2030.
Saudi Arabia has made strides in recent years to improve its maritime sector and utilise its wealth and strategic location on one of the world’s busiest shipping lanes.
Recent steps include joining TradeLens, the blockchain-based initiative that looks to make world trade more efficient. Global trade is rising, and carriers are building larger fleets to meet the demand in trade and containerised goods. Ports also need to expand to keep up, and this means upgrading its container handling and yard infrastructure.
The world’s container shipping lines now carry more than 11 billion tonnes of cargo a year and container movements at ports is estimated to have exceeded 800 million TEU.
“RSGT is now undertaking an expansion programme which will incorporate, under a new 30-year concession agreement,” an RSGT spokesperson told PTI.
The terminal’s plans include the long term investment of $1.7 billion in infrastructure, equipment and technology, with an annual TEU throughput capacity growing to 8.8 million.
This is critical as the World Trade Organisation has estimated that total world merchandise exports surpassed $19 trillion in 2018 and will continue to increase.
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