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German-Saudi Business Magazine June 2013

Logistics in Saudi Arabia

German - Saudi Business Magazine

Andreas HergenrötherDelegate of GermanIndustry & Commercefor Saudi Arabia and Yemen

Editorial

Andreas Hergenröther

Dear readers,

For the German economy, Saudi Arabia and the UAE are the largest export markets in the MENA region. In 2012 Germany exported goods worth 10.5 billion US-Dollars to Saudi-Arabia. During the same period goods worth over 2.2 billion US-Dollars were exported from Saudi Arabia to Germany. Saudi Arabia expands its position as Germany's most important trading partner in the MENA region.

The growth of the Saudi economy is supported by massive investments, which can be seen when looking at the current project volume. The project volume in Saudi Arabia currently stands at over 900 billion U.S. dollars. Over a quarter of all projects in the Gulf are being planned in Saudi Arabia or have already beenimplemented. The Kingdom is therefore one of the most important markets worldwide.

The declared goal of Saudi Arabia is to develop a diversified transportation infrastructure with an efficient supply chain and logistics network. The Saudi Arabian logistics market will continue to advance as a leading transport and logistics hub within the region. In the next ten years Saudi Arabia has planned to invest more than 100 billion US-Dollars in the logistics sector. This development offers opportunities for contractors, builders and operators of transport facilities. The extension of the railway network, construction of new airports and seaports will further increase Saudi Arabia’s competitive advantages in the region.

To create a better awareness of the high potential to develop German-Saudi Arabian business relations we would like to present in this current edition the portfolios of some of the major players of the logistic sector in Saudi Arabia.

1AHK Saudi Arabia - www.saudiarabien.ahk.de

Editorial

German-Saudi Business Relations

AHK Saudi Arabia

Transport Logistic 2013

Logistics in Saudi Arabia

DHL

Schenker Saudi Arabia LLC

TALKE

KUEHNE + NAGEL

Four Winds Saudi Arabia Ltd.

Maritime

Saudi Ports Authority

International Ports Services

HUTA GROUP

Gulf Stevedoring

DP World Middle East Ltd.

TUSDEER

Aviation

Saudi Airlines Cargo

Lufthansa German Airlines

Fraport AG

Roads

E. A. Juffali & Brothers

Railway

Dornier Consulting

RAIL.ONE

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Contents

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In accordance with GESALOwww.fawazadvertising.com

Disclaimer:German–Saudi Business Magazine(GSBM), Issue June 2013

Editor-in-Chief Andreas Hergenröther

Head of Public RelationsChristian Engels

Responsible for PrintingAHK Saudi Arabia © Copyright GSBM 2013. All rights reserved.

No part of this magazine may be reproduced without GSBM’s written permission.The opinions expressed in GSBM do not necessarily reflect the views of the German Delegation of Industry and Commerce forSaudi Arabia and Yemen (AHK Saudi Arabia).GSBM is not responsible for the validity of contents in articles written by external authors.

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The Delegation of German Industry & Commerce for Saudi Arabia and Yemen (AHK Saudi Arabia) has been founded in 1978 by Royal decree under the name of German-Saudi Arabian Liaison Office for Economic Affairs (GESALO). AHK Saudi Arabia is part of the GermanChamber Network and the official German Foreign business promotion. With 120 offices worldwide AHKs offer their experience, connections and services to German and companies of their partner countries. With a staff of 20 employees, AHK Saudi Arabia supports Saudi and German companies with its services. AHKs are closely connected to theChambers of Industry and Commerce (IHKs) in Germany. Together, they represent in total 3.6 million companiesin Germany.

AHK Saudi Arabia is the official representative of German economy in Saudi Arabia. Besides this AHKs are service providers to companies under the brand “DEinternational” AHKs provide services to companies both from Germany and their host countries in order to support their foreign business activities.

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The official representation of the German economy in Saudi Arabia

German - Saudi Business Magazine German - Saudi Business Magazine

AHK Saudi Arabia

German-Saudi Business RelationsGerman-Saudi economic relations have a long tradition. German global players like Siemens or Mercedes-Benz have been active in the Kingdom for more than75 years. The transfer of know-how and technology has also been supported as an expression of political and economic partnership by representatives ofgovernment and economy of both countries. For instance the first President of the Federal Republic of Germany, H.E. Theodor Heuss, met with Saudi Arabia’s H.R.H. King Saud bin Abdulaziz during his term in office. German chancellorslike H.E. Helmut Schmidt or today’s chancellor H.E. Angela Merkel followed

These services include conducting market studies and providing sector information, matchmaking, business consulting, organi-zation and representation of trade shows, issuing business publications, legal information, medical treatment support and vocational training, etc.

AHK Saudi ArabiaMore than 30 years ofexperience

German-Saudi Arabian business relations follow a long tradition In 1978 the Joint German-Saudi Economic Committee composed by representatives of the German Ministry for Economics and the Saudi Ministry of Finance decided to establish a German foreign tradecommission in Saudi Arabia. On August 22nd 1978 was the inauguration of the first office for German–Saudi economic relations, which has been established by Royal Decree. The first years AHK Saudi Arabia shared the office with the German consulate in Riyadh since in 1985 the German embassy moved from Jeddah to Riyadh. First Delegate of German Industry and Commerce in Saudi Arabia

was Dr. Gerhard Fischer (1978-82), who had at that time just one employee his secretary. His successor Marc Landau (1982-86) shaped the name German Saudi Arabian Liaison Office for Economic Affairs and his short form GESALO. From the beginning the office was not just responsible for Saudi Arabia but also for the economic relations to Bahrain, Kuwait, Qatar and Yemen.

Delegate Dieter Mankowski (1986-1991) intensified the work of AHK Saudi Arabia in the Kingdom. As trade fairs are crucial instruments in foreign trade promotion and Germany is the world’s number one venue for organizing international trade fairs it was a logical step to found an own trade fair department.

EstablishingAHK-Services

His successor Dr. Rainer Herret (1991- 1998) put the focus on a second issue, which is of high importance for the bilateral economic relations: With the implementation of a legal department AHK Saudi Arabia was able to assist

German companies regarding legal questions like customs regulations, taxes and the legal framework of launching branches, founding a Joint Venture with a Saudi company or establishing a liaison office. Since then Saudi businessmen are able to get assistance in the visa process for Germany via the AHK office when they are to visit or exhibit on trade fairs or need to travel for business trips. AHK Saudi Arabia acts also as a mediator in cases of commercial disputes between German and Saudi business partners with the aim to solve disputes without harming the long term business relations. Under the lead of Michael Tockuss (1998-2001) AHK Saudi Arabia ameliorated its services for German companies in the region. Since then today’s longest tenured employee, Mohammed Faleel, is in charge for the promotion of business to business development. Due to his knowledge about the market and his connection to Saudi decision makers AHK Saudi Arabia was able to create an infrastructure to provide German companies services like marketinformation, address research, business partner research and the organization of business trips. In the time of Mr. Tockuss

a second branch in Jeddah has been opened to serve the companies based in the former capital. For delegate Manfred Rothgänger (2001-2005) the times were difficult as the Kingdom faced terrorist attacks against governmental institutions as well as foreigners in the country. The Jeddah office had to get closed againdue to the uncertain circumstances.Nevertheless Saudi Arabia recovered and paved its way to participate in the World Trade Organization (WTO), which can be seen as a great success. In the term in office of Delegate Gerd Doepner (2005- 2010) the boom in the United Arab Emirates and the foundation of the German Emirati Joint Council for Industry & Commerce (AHK UAE)led to restructuring the market. Since2009 German business relations with Bahrain, Kuwait and Qatar is organized by AHK UAE.

New Challenges:Andreas Hergenröther

Since October 2010 AndreasHergenröther is the current Delegate of German Industry and Commerce for

Saudi Arabia and Yemen. Under his lead the German-Saudi business relations tightened within one year even more and many projects are on the way deepening these relations. In December 2010 the first German-Saudi Arabia Desk has been established at the Bielefeld Chamber of Industry and Commerce. It functions as an information platform about Saudi Arabia for all German companies. Under the lead of Mr. Hergenröther more than 100 events in Germany and Saudi Arabia have been organized by AHK Saudi Arabia in order to promote German-Saudi business relations. With its services for German and Saudi companies AHK Saudi Arabia is in a key position for the bilateral economic relations. Every businessman, who is interested in doing business in Saudi Arabia or in Germany will find an individual concept of entering the market, promoting its business through trade fairs and find the perfect business partner from the other country.

suit and tried to express Germany’s close relation to Saudi Arabia. AHK Saudi Arabia has been established as a bridge between Germany and Saudi Arabia by Royal Decree in 1978 and in part of the foreign trade promotion system. The foreign trade promotion of Germany has a very unique structure. Beside the economic sections of the embassies and Germany Trade and Invest the AHK network, consisting of theChambers and Delegations of Industry and Commerce abroad, is officially assigned to promote German economic relations outside of Germany. Withthe additional support of the German

AHK Saudi Arabia - www.saudiarabien.ahk.de

Federal Ministry of Economics and Technology this makes AHKs the official representation of German economy abroad.

The German Saudi Arabia Liaison Office for Economic Affairs (AHK Saudi Arabia) has planned a Business Delegation to Transport Logistic 2013, with 24 high ranking officials from top Saudicompanies.

Several meetings with selected German and Saudi Arabian exhibitors are planned at the trade fair (Saudi Ports Authority, Four Winds Logistics, Saudi Airlines Cargo Company L.L.C., DHL, DBSchenker, Fraport Cargo Services, etc.)

Saudi Ports Authority, Saudi Airlines Cargo Company and Four Winds Saudi Arabia Ltd. are exhibiting at the world’s

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largest exhibition for transport and logistics.


The Saudi Ports Authority was established in 1976. Its main goal was to develop and improve ports and their management, based on the effective international techniques and systems.

The Ports Authority is responsible for supervising the management and operation of eight main ports on the Kingdom's coasts. The total number of docks in these ports is 183 docks, 137 of them are in six commercial ports while 46

docks are in two industrial ports. All of these docks account for the largest network of ports in the Middle East.

Saudi Airlines Cargo

Saudi Airlines Cargo has grown immensely since its humble beginnings many decades ago, today being recognized as a leading air cargo carrier in the Middle East. With an extensive global network spanning four continents we operate a dedicated freighter fleet and offer ample capacity on our passenger flights across Asia, Africa, Europe and the USA, reaching over 225 international destinations and 26 domestic destinations on our global network.


Four Winds Saudi Arabia is specializingin design and management of localand international moving freightforwarding and customs clearance services. Since its inception in 1979, FOUR WINDS S.A. LTD. has become one of the leading freight forwarding companies in Saudi Arabia. It has realized a tremendous growth during the last twenty years, with nine branches established in the Kingdom. These nine branches are strategically located in the country’s business centers.

In 2013 the show is expanding again and not only in terms of exhibition space, with the inclusion of an additional exhibition hall. It also has more exhibitors: the current total stands at over 1,950companies from more than 60 countries. Many international market leaders will be among those exhibiting at this premium platform, doing business and networking with an expected audience numbering in excess of 50,000 trade visitors.

It will be more international than ever. Strong presence on the part ofinternational exhibitors is particularly noticeable: 41% come from abroad! This European trade fair is well on its way to becoming a world’s fair.

Also in 2013, all relevant exhibitors will participate in transport logistic in order to

present their latest developments to the highly qualified trade visitors, make contact with decision-makers in all sectors of the logistics industry and secure themselves a valuable know how advantage.

Transport logistic is the world´s biggest trade fair for the multi-facetted industry of moving goods by road, rail, water and air. The fair´s portfolio covers logistics and freight transport, telematics and in-company transport and material flow. Integrated into transport logistic 2013 is Air Cargo Europe, an exhibition and conference for the global air cargo business taking place for the fifth time. The extensive conference programme and the 6th Air Cargo Europe provide an expert overview of new markets, trends and innovations in the international transport and logistics industry.


Transport Logistic 2013The world’s largest exhibition for transport andlogistics will take place in Munich, Germanyfrom June 4–7, 2013.

One of the main economic targets is to develop a diversified transportation infrastructure with a more efficient supply chain and logistics network. With the support of foreign know how, Saudi Arabia intends to meet the rapidly growing demand of logistics services in order to follow the needs of Saudi Arabia based industries and distribution networks. Saudi Arabia is already by far the largest economy in the MENA- region: The foreign trade volume has in¬creased significantly in recent years. The expected value of Saudi-German trade deals in 2013 is around 10 billion Euros. Billions are spent on the expansion of port and airport capacities, railways and roads. The

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turnover of the logistics industry is expected to exceed 15 billion Euros by 2015, in comparison to 2011’s turnover of only 11 billion Euros.

Between 2004 and 2008 the volume of cargo loading and unloading in the ports of the Kingdom of Saudi Arabia has increased by almost 30% to 155 million tons (excluding crude oil). The past year witnessed an increase to over 160 million tons, hitting a new record high. According to the current development plan, it is expected that by 2014 the total port business will reach 200 million tons. Also, the domestic cargo is expected to show growth rates of 4-5% per annum through

2020. Over all, investments of more than 70 billion Euros will be made within the next ten years. This development offers opportunities for contractors, builders, and operators of transport facilities. Especially the extension of the railway network, construction of roads, building of airports and new seaports on the east and west coast, will further increase Saudi Arabia’s competitive advantages in the region.

In addition to the increasing demandof warehouse logistics and freightforwarding, full supply chain management for the industry is becoming more and more a topic and is constantly growing,

especially with the national strategy of establishing more manufacturingcompanies in the kingdom.

Logistic and service companies such as DHL, DB Schenker, Kuehne & Nagel, Lufthansa, Fraport and others have already a very strong presence and are now broadening their focus to oil and related industries, like ALFRED TALKE GmbH & Co. KG which is specialized in supply chain management and logistic solutions for the petrochemical sector up tohigh volume commodity polymers

transportation and storage as well as the highly specialized liquid chemicals handling.

Freight transport logistics and industrial logistic services are very welcome in the Kingdom because they are key sectors for promoting sustainable economic growth, technical innovation and the creation of jobs.

With the Support of the Federal Ministry of Transport, Building and UrbanDevelopment, as expressed by the visit of

H.E., Federal Minister, Dr. Peter Ramsauer in 2012 the Delegation of German Industry and Commerce stands ready to assist German and Saudi companies to build business relations, to act as a platform for the exchange of ideas and to facilitate access to each respective market and to increase mutual investment and trade.


Logisticsin Saudi ArabiaThe Kingdom of Saudi Arabia is a growingeconomy which is diversifying more and more.

Further boosted by moves to diversify the economy away from dependence on oil and gas, economic reform, marketliberalization and a growing private sector, the logistics industry in the Kingdomhas subsequently played an increasingly

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important role in connecting Saudi Arabia to future growth opportunities.

As the global logistics leader, DHL has more than 30 years of experience in connecting the Middle East to the rest of

the world and supporting growth ofemerging markets through logistics excellence.

According to Geoff Walsh, Country Manager of Saudi Arabia for DHL, “a

connected world is a better world. The free trade of products and services contributes significantly to global prosperity.”

“We view the Middle East as a key area for growth for DHL and will continue to invest to keep pace with the increased demand from our customers,” continued Walsh.

In the last two years, DHL has invested heavily in upgrading our dedicated intercontinental air network. A direct benefit is improved connectivity between the Middle East and other key global markets. By adding new routes between our regional hub at Bahrain and the UK, Belgium, Germany, Hong Kong and the US, DHL has succeeded in supporting the growth of trade and commerce between the Middle East and key markets in Europe, Asia and the US.

“In upgrading our global infrastructure we are delivering on our promise to be the world’s leading cross-border express brand. We are thereby helping our custom-ers get their goods significantly faster to

their markets and making it easier for companies to access key industrial produc-tion centers.”

Walsh attributes the company’s robust growth in the region, and KSA specifically, to its unique combination of local expertise and global track record for delivering logistics excellence.

“Currently, DHL Express is the only logistics company across the Middle East to operate its own intra-regional air network. DHL’s dedicated intra-regional network includes our own flights serving both Riyadh and Jeddah. Serving the needs of individuals, as well as supporting businesses large and small, DHL has time and time again proven why it is renowned world wide as the market leader for its logistics solutions and enhanced customer service.”

As part of DHL’s investment in the region, it has invested in a training program for all employees designed to improve customer service levels through the Certified International Specialist (CIS)

training program. Designed by DHL, the accreditation program is aimed atincreasing employees’ knowledge ofchanging international business and enhancing customer satisfaction. All DHL Express employees in the Middle East have completed the training program as part of a global training initiative.

“We understand that our employeesare what makes us the number one express company in the world and we arecommitted to investing in them toensure that DHL has a competitiveedge to succeed in the global marketplace,” added Geoff Walsh.

With a strong brand and dominant presence across the Middle East, success has followed suit with DHL Express Saudi Arabia Employing more than 1,562 employees in Saudi Arabia, DHL has 48 service point facilities in KSA andcontinues to illustrate its commitment to innovation, service excellence andproviding customers in Saudi Arabia with superior logistics solutions.


Saudi Arabia’s fast-growing economy hassucceeded in creating opportunities forboth exporters and investors.

In 1975 DB Schenker established its first office in Jeddah after being selected as project logistics provider by Hochtief for the construction of King Abdul Aziz International Airport Jeddah. What started with a project office developed into a major success story within the DBSchenker network.

Being in the Saudi market for more than 30 years DB Schenker has grown its service coverage to include the full range of freight and supply chain management services in conjunction and integrated with

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its global network. Schenker Saudi Arabia LLC serves its customers through three regional offices the Kingdom namely Riyadh, where also the Corporate Office is located, Jeddah, and Dammam. Although the company has focused traditionally on the freight forwarding segment of the industry, one product has seen an explosive growth in the Kingdom Contract Logistics/Supply Chain Manage-ment (SCM) services/solutions. This product includes warehousing/storage, transportation/distribution management,

and SCM solution consulting. DBSchenker operates more than 30,000 sqm warehousing space throughout the Kingdom serving customers ranging from industrial chemicals to high-tech/electronics.

Schenker Saudi Arabia LLC offers the following products/services:

• Air Freight• Ocean Freight• Contract Logistics• Supply Chain Management

• Logistics Consulting & Solution Development These products/services are offered throughout the Kingdom through dedicated professional staff deployingthe highest standards, methods and technologies; identical standards and technologies customers have come to expect from DB Schenker around the world.

The company also follows a market segmentation strategy where specific vertical markets are targeted based on our local and global knowledge/experience base. The major vertical markets targeted by Schenker Saudi Arabia include:

• Aero parts/Aerospace• Automotive• Consumer Products• Healthcare/Pharmaceutical• High Tech/Electronics• Oil & Gas• Project Logistics

With a steady growth, DB Schenker is committed to strengthen its product and regional coverage through direct investment into facilities, infrastructure and resources in order to become the leading logistics service provider in the Kingdom. One essential strategic goal is the develop-ment and education of Saudi manpower.

DB Schenker believes that the investment in the development of local manpower resources is essential to the long term growth strategy. In order to achieve this the company has joined with government agencies such as the Saudi Human Resources Development Fund to train and employ young Saudis in the logistics industry through a structured program that includes theoretical as well as on job training programs. DB Schenker is also constantly looking for fresh college graduates from the local colleges and universities to employee aspiring young Saudis and put them through an exciting career in logistics. With nearly 59,000 employees and sales totaling 14.3 billion Euros, the Logistics Business Unit of DB Schenker is one of the world’s leading service providers in this important industry. The three internal business units of DB Schenker Logistics offer European land transport, global air and ocean freight, comprehensive logistics solutions and global supply chainmanagement from a single source. DB Schenker Logistics holds top positions in the automotive, high-tech and consumer products sectors and in trade fairforwarding, special transports and services for major sporting events.


Schenker Saudi Arabia LLCIn 1975 DB Schenker establishedits first office in Jeddah.

Logistics hub Saudi ArabiaThe Kingdom of Saudi Arabia boasts the largest economy of the Arab states and is the top global producer of crude oil this presents excitingopportunities for German logistics specialists.

Today, the Saudi Arabian economy largely revolves around oil and not least in theraw materials industry. Indeed, the petrochemical industry dominates this sector both up and downstream. In 2012, 88 per cent of Saudi Arabia’s exported goods were oil and other petrochemical products, and the total value of the country’s exports came to 280 billion US dollars. In the same year, imports mostly products for use in mechanical engineering and foodstuffs ran to 106 billion US dollars. Germany is Saudi Arabia’s third most important supplier country after the

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USA and China. The Arab nation’s other major import partners include Japan, South Korea, France and Italy.

Key industrial ports: Jubail and YanbuSaudi Arabia is facing many new challenges as a result of its strong economic growth and increasinglydiversified economy. A key issue is of course logistics. Consequently, the country has invested millions in the construction of a railway and enhanced port facilities to complement its already well-established road network.

Jeddah Islamic Port in Jeddah and the King Abdul Aziz Port in Dammam are perhaps the two most significant seaports in Saudi Arabia. These two ports receive

around 65 per cent of all imports into the Arab nation, and handled around 51 million tonnes of imported goods in 2010. In 2011, this figure rose to nearly 95 million. The most important cargo for these ports is pourable solid and liquid bulk goods like oil.

Most industrial raw materials arrive in and depart from Saudi Arabia via the industrial port of Jubail, the largest port of export in the country. This single port serves as a gateway between the 8,000-hectare industrial complex of Madinat Al-Jubail Al-Sinaiyah (Jubail Industrial City) and the global markets. Today, Jubail is home to nearly 20 large industrial installations such as petrochemical plants and more than 130 additional plants for the production of steel, plastics and fertilisers.

Economic pressures also prompted the establishment of the industrial port of Yanbu’ al-Bahr. It’s ideal location in the Medina province of western Saudi Arabia meant that it was already an important trading centre in ancient times, being situated along the trade route from Yemen to Egypt and the Mediterranean region. Today, Yanbu’ al-Bahr mostly receives shipments of oil and petrochemical products, and oil refineries, plastics plants and petrochemical processing facilities have now been constructed in the neighbouring city.

TALKE proffers logisticsknowledge and expertiseSaudi Arabia is already the fourth-largest emerging logistics market in the world today (after China, India and Brazil), and this presents exciting opportunities for German businesses. TALKE, one the world’s leading logistics service providers for the chemical and petrochemical industries in Europe, the Gulf States and

Asia, has already been operating in Saudi Arabia since 2003 as part of the S.A. TALKE joint venture, owned by the TALKE, SISCO and Aljabr Groups. Among other things, S.A. TALKE is responsible for the planning, construction and operation of on-site silo storage and packaging facilities petrochemical plants producing plastic granulates. Some of these products are sold to the Asian market where plastic granulate are used to manufacture a wide range of consumer goods. Consequently, TALKE also acts on behalf of Saudi clients in Asia.

Thanks in part to many years ofexperience in the global chemical and petrochemical industries, TALKE has been able to win new contracts in Saudi Arabia in 2013. One such contract isfor the on-site management of apolypropylene plant with an annual output volume of 1.15 million tonnes. The contracting party, Ibn-Zahr, is a joint venture mainly owned by the Riyadh-based

Sabic, as well as Ecofuel Italy and the Arab Petroleum Investment Corporation. The Jubail plant has already been in operation for several years now, and so TALKE will be using this opportunity to optimise its technology and processes. To this end, and for the day-to-day running of the plant, the specialist logistics company has employed 140 qualified professionals. With this addition of the Ibn-Zahr plant, TALKE will now be processing around 6 million tonnes of plastics in the Middle East each year, with 4.85 million tonnes being handled in Saudi Arabia alone.

Expanding operations to include liquid specialtychemicals manufacture Another market segment which is gaining importance in the region is the expansion of downstream operations; Middle Eastern chemical companies have now begun to produce specialty chemicals themselves. In this context, TALKE was recently charged with the logistics for an


TA L K E

Security is Key: Specialized logistics service providers as TALKE guarantee safe and secure services.

TALKE silos for polymer granulates in the Middle East: Producers from the region expand their portfoliostowards liquid chemicals with an increasing demand for respective specialized logistics.

acrylic acid manufacturing plant which is owned by a joint venture betweenTasnee and Dow Chemical, and is due to come on stream around the middle of this year. At the facility, TALKE will beresponsible for the loading and unloading of ISO tanks and trucks with around 140,000 tonnes of the liquid specialty chemical each year. Since it will be dealing with a temperature-sensitive hazardous material, TALKE is preparing for thisrole with the utmost care and attention. Among other things, the expertLogistics Solutions team has therefore been heavily involved in safetyinspections of the site’s handlingfacilities and processes to ensure a smooth logistics operation.

Alongside these careful preparations, work is going full speed ahead to get the new plant on stream. To ensure that the site runs as smoothly as possible, TALKE is also in the process of training the people who will be working there in just a few

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months’ time. The Saudi team is being supported locally by TALKE Europe, since the company already has many years of experience in handling these products. Petrochemical company Saudi Kayan is also extending its in-house manufacturing processes, and awarded TALKE with the drumming, transportation and storage of an annual 140,000 tonnes of ethoxylates in December 2011.

“As a company which specialises in liquid chemical logistics and almost all types of hazardous materials, TALKE is theideal partner for this growth strategy.This will enable us to support ourcustomers with best practice logistics solutions as they manufacture products which are new for the region,” emphasises Richard Heath, Director Middle East & Asia at the TALKE Group, adding that “the TALKE Group also has an established organisation in the Middle East and has been a respected logistics partner for many years”.

Investing in the next generation of logistics expertsAs the demand for logistics serviceproviders grows, so too does the demand for skilled logistics professionals. Together with the German Chamber of Commerce (AHK) and other home-grown German companies, TALKE is therefore striving to make the industry more attractive to young Saudi Arabian workers. To this end, Jubail Technical University is planning to offer a three-year chemical logistics training programme free of charge for the next generation of specialists. The exact start date for the first round of courses has not yet been decided. “The AHK is working closely with those companies which would like to offer financial support for the programme,” states Oliver Klingbeil, General Manager at the S.A. TALKE joint venture in Saudi Arabia. “In the context of the growing demand for logistic services, we are naturally hoping that this offer will appeal to the next generation of workers.”

Extended manufacture: TALKE group offers comprehensive transport and logistics servicesalong the complete chemical supply chain.

Advertisement

KUEHNE + NAGEL KUEHNE + NAGEL

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In Saudi Arabia, Kuehne + Nagel International AG has its own offices in Jeddah, Riyadh and Dammam.Having entered the market with a joint venture back in 1977, the company now offers its customers a wide range offorwarding and logistics services.

Kuehne + Nagel started operations in Saudi Arabia in 1977 as a joint venture with the leading trading company E.A. Juffalli & Bros. Trading successfully under the name of Orient Transport Company, the jointly owned firm developed steadily.

In 2007, Kuehne + Nagel had theopportunity to acquire 100% of theshares and thus became the firstglobal logistics provider to operate a wholly-subsidiary in this country. Since then the national company has been registered in Saudi Arabia asKuehne + Nagel Ltd. With the newownership, the company is fullyconnected to both the global transport network and IT-systems of the Kuehne + Nagel Group, generates significant advantages for the customers in Saudi Arabia.

Well established since 1977

Kuehne + Nagel Saudi Arabia offers its customers a wide range of local and global services, from seafreight over airfreight to warehousing & value added services, overland & regional distribution, customs brokerage and international project forwarding. Furthermore, the company provides a portfolio of sophisticated contract logistics services and selects and manages carriers, depending on the customers’ individual requirements. To name just a few, the company offers

contract negotiations and contractmanagement, tracking & tracing, domestic and regional distribution, express and shuttle services as well as contractdomestic transportation.

Special know-how and industry expertise

Jeddah, Riyadh and Dammam are fully operational seafreight and airfreight set-ups, cooperating with well established best-in-class carriers. Next to import and export services, Kuehne + Nagel in Saudi Arabia offers tailor-made products for customers from industries such as aerospace, automotive, pharmaceutical, healthcare and oil and gas. The company also provides first class hotel logistics services and is a leader in the handling of perishable goods. A dedicated team of

experts is responsible for the management and execution of industrial project shipments. This includes the flexibilityto adjust immediately to changingrequirements during all stages of the project process, in-depth expertise of all local rules and regulations and the know-how to safely transport heavy lift cargo and out-of-gauge shipments.

With some 100 employees and a full range of logistics and contract logistics services, Kuehne + Nagel is well-established in the Saudi Arabian market.

With over 63,000 employees at more than 1000 locations in over 100 countries, the Kuehne + Nagel Group is one of the world’s leading logistics companies. Its strong market position lies in the seafreight, airfreight, contract logistics and overland businesses, with a clear focus on providing IT-based integrated logistics solutions.

For further information please visit www.kuehne-nagel.com


Over 30 years ofexperience in Saudi Arabia

KUEHNE + NAGEL

Four Winds Saudi Arabia Ltd. Four Winds Saudi Arabia Ltd.

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In the middle of the fuel revolution and among the glimpses of the Arabian desert, somewhere around 1979 a passion for excellence on the Saudi soil was born.The need for transportation, moving, warehousing and freight forwarding skyrocketed like never before; hereFour winds was born to meet all thosewho were looking for someoneto care about their shipments, theirbelongings and their history.

Since the beginning Four winds S.A was founded upon the shoulders ofhardworking men and women who are always on the go and passionate about our

ever growing challenge of linking our clients to the world, in any possible way. In the years to come, we are looking forward to continue to grow, and continue the innovation and creativity in the logistics world. In an industry that is based on communications and interactions before anything else we will continue to reflect on our long experience and resonate with the new opportunities for our clients. There is something quite overwhelming statistically about a country of 27 million of when 8 million are expats, being one of the world largest producer of oil and the sixth largest extractor of natural gas. Although still a relatively young country, Saudi Arabia is fast taking its place as international power

house, thanks to a programmers of continuous reinvestment into every aspect of daily life from welfare to education. As the number of the building projects in the continues to grow so Four Winds expands to meet the incessant demand forprofessional logistics services whichincluding the following:

• Air Freight Solution

As a global logistics company supported by worldwide network partner, Four Winds S.A can provide services required to meet your needs, and those of yoursuppliers, from door to door, consolidated shipments, DGR shipments and direct airlines fright. Through our kingdom wide and worldwide network, Four winds S.A can provide premier services for all types of airfreight movement.

• Sea Freight Solution

Four Winds S.A has gained and developed an enviable reputation as major provider of quality export, import and ocean freight services. our dedicated teams of sea freight specialists have developed dedicated ocean freight services for both export and import in response to customer requirements. no item of freight is too small or too large to be shipped by Four Winds logistics to any part of the world.

• Customs Brokerage

Four winds S.A is widely recognized as the leading customs broker in the kingdom of Saudi Arabia. We are proud to say that Four Winds S.A is the only logistics provider in the kingdom which owns a customs license. this hard earned and privileged status gives us a distinct advantage when it comes to work out

difficult consignment. Four Winds’ customs brokers are comprehensively trained in specific areas and unique customs procedures. our customs team will take full and complete responsibility for insuring that the correct documenta-tion has been prepared will in advance to avoid expensive and time consuming delays.

• Warehousing and Distribution solutions

To further strengthen the company’s operation, Four Winds S.A maintainedand managed warehouses across the kingdom of Saudi Arabia. These facilities are suitable for any type of cargo, petrochemicals, general cargo and industrial commodities. Our warehouses are well maintained, with fire fighting and alarm system, fully secured and protected, temperature controlled for temperature sensitive and DGR shipments.

• Transportation Solutions

to complement our airfreight and sea freight services and to offer our customer the best logistics solution. FW- express was formed to provide export and import services between the cities of the kingdom of Saudi Arabia and between Saudi Arabia and GCC countries. Four Winds express presents a total inland solution.

It has been in operation for almost 20 years and has gone from strength with the introduction of new enhanced transit times and expansion into the Kingdom. Four Winds express can also provides what we can call it Saudi saver service which is designed for the single package shipment at extremely competitive rate with full tracking and tracing capability. • Supply Chain Solution.

Saudi Arabia is a positive factor in gulf region and holds a unique commercial position in the post financial crisis economic environment. Saudi Arabia is one of the few nations in the Gulf region that has managed to sustain positive growth rates through a robust economy and intelligent utilization of natural resources.

Parallel to those economic dynamism is a growing demand for sophisticated supply-chain solution which must be customized according to the changing needs of customers in divers industries such as oil and gas, petrochemical, power and energy,


Four Winds Saudi Arabia Ltd.Four Winds keeps growing like flowers in the field...

Quality and Luxury

Miele does not only stand for quality and durability but for pure luxury as well. We focus on the highest degree of customer convenience, offering innovative products with an ageless design and a broad range of functionalities, leading to perfect results.

Miele is renowned for its constant improvement in designing and manufacturing award winning appliances. A synonym for the very best in quality, craftsmanship and sustainability – Miele is often found in the luxurious homes of royal families, diplomats, celebrities, and the most discerning customers around the world. To name a few: the Burj Khalifa in the UAE, the Trump Towers in the USA, Pallazo Versace in Australia.

Jeddah - PO Box 11529 Jeddah 21463 - Tel. 2560888 - Fax. 2560555Branches: Jeddah - Madina Road - Tel. 6970060 - Fax. 6970012 Jeddah - Sitten Street - Tel. 6611675 - Fax. 6606852 Riyadh - Alaia General - Tel. 012013501 - Fax. 2013502 Taif - Tel. 027327001 - Fax. 027369596

Miele

www.awadnahas.com

/awadbadinahas

/awadbadinahas

/awadbadinahas

The Heritage

Miele is a German manufacturer of premium domestic appliances. It was founded in 1899 and has always been a family-owned, family-run company. Since the founding days, Miele’s guiding motto of “Immer Besser” or “Forever Better” is applied to everything Miele delivers.

113 years of Miele

Quality, innovation and emotional appeal are the main characteristics that make Miele so unique.

Miele’s extensive range of kitchen and home appliances includes multi-functional ovens, steam ovens, hobs and cooker hoods, cooling appliances, coffee makers, dishwashers, as

Experience Miele appliances in KSA

A portfolio of Miele appliances

in the factories in Germany to adhere to the power and other technical requirements of the Kingdom of Saudi Arabia. Miele appliances do not just deliver convenience and innovation; they portray a contemporary lifestyle and artistic living space.

Miele appliances are available at all Awad Badi Nahas shops throughout the Kingdom.

Please visit any of the branches to learn more about Miele and experience the appliances.

German Quality and Brand Fascination at all times

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infrastructures, manufacturing, retail group, project and exhibition andhealthcare.

As logistics specialist, we offer wide-range of tailored supply chain solution to major industries sectors drawn from a kingdom wide scale and strong international network. As a service-oriented company, we see to it that we deliver value across our clienteles' supply chain needs from the initial consultancy and design phase, up to the implementation and innovation stage. • Project cargo solution Some consignment just do not fit into standard containers. That's whereexperience and knowledge really counts. If you need to ship cargoes that are exceptional in some way heavy, out of gauge, hazardous or in any way unusual, then let the expertise of Four Winds make it simple.

Over the years, we have shipped all kind of consignments to destinations all over the world involving small commodities and

unusual cargoes that are large, super heavy and fragile such as dismantled factories, drilling platform, and oil and gas refineries. Every job requires a unique solutions and approach, reason why our team of experts never stop to innovate for a job well done. We work with worldwide trusted specialist partners who are available 24/7 all the year around the year whenever and wherever we need them. Together, we’ll ensure that the cargo reaches its destination, no matter where in the world that might beregardless of the size, weight or shape of the consignment on time, in tip-top condition. Our excellent track record, you

can be confident that your cargo, is in the safest and most reliable hands from origin to destination. Heavy left and OOG movement execution: • Appointing/ Classifying Agent• Appointing Marin Warranty Surveyor• Selection of Carrier/ Air or Sea• Selection of heavy Lift haulage Carrier of both Origin and Destination • Cost Analysis

Four Winds S.A believes that every steps of the way, alongside with our clients, is an opportunity to further develop the potential of certain industry. This principle encourage us to capitalize on market demand by optimizing our businessperformance productivity and delivery to clients and end users through the efficiency of our supply chain and logistics management.


Maritime Maritime

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Jeddah Islamic Port alone is currently investing $ 266.6 million to upgrade its facilities to handle an increasing amount of cargo. Last year, the annual handling capacity of the port stood at 62 million tons, up by 20 percent from the year before.

According to SAGIA, the port can increase its capacity by 30% - 50% once the enhancements are operational.

Already, the port handles more than 65 % of the traffic entering the Kingdom from the sea.

All Ports are constantly on the lookout for operators and other service providers in order to improve maritime infrastructure: The ports of King Abdullah Economic City and Jizan Economic City, as well as the Logistics Park adjacent to Yanbu Commercial Port and King Fahd

Industrial Port at Yanbu, which is the biggest port on the Red Sea for loading oil. It has 22 quays and receives tankers with a capacity up to 500,000 tons. The biggest port on the East coast, Jubail Commercial Port has a whole 2nd Terminal at present.Although the ports are owned by state, Royal approval was granted to passresponsibility for all operations andmaintenance of berths, and equipment owned by the Ports Authority to the

private sector. Since the Saudi ports are subdivided into a number of independent terminals (container terminals, general cargo terminals, reefer cargo terminals, bulk cargo terminals, etc.) with every terminal having its own area, equipment, warehouses, workshops and open yards, the responsibilities of managing and operating the ports were passed to the private sector in a terminal by terminal basis.

On the Eastern Coast, King Fahd Industrial Port is constantly extended in order to service the Industrial City of Jubail. Run by the Royal Commission for Jubail & Yanbo (RCJY), the Industrial City accounts for more than 7 percent of the Kingdom’s gross domestic product. Jubail has evolved into a major player in the global petrochemicals market. The second

phase of extension of the industrial complex that started to be implemented in 1975 will add a second industrial area to house up to 22 new primary industries. In addition to King Fahd Industrial Port, railway links to the natural resources, mainly the bauxite mines in the northwest, are currently being build. With more industrialization and an increasing demand to ship goods locally and worldwide, an increased demand not only for freight forwarding, but also for industrial logistics management will arise.

German Companies are already well established. TÜV, with its subsidiaries TUV Rheinland Arabia TUV NORD and TUV SUED, is active in all major industrial sectors, providing services for aviation, ports and industrial logistics in addition to certification services. TUV Nord is provid-

ing services for ports handling, TUV Rheinland is providing Testing labs for import goods in the commercial port in Jeddah, while TUV Sued is focusing on services for Airports and the Eastern coast. DB Schenker, Kühne & Nagel, Henkel and Talke are providing the full range of logistic services, ranging from freight forwarding to sophisticated supply chain management and operations services.

Top Possibilities

• Port operation optimization• Loading and unloading facilities • Warehousing and inventory management• Communication systems• Supply-chain management


MaritimeThe expansions of seaports offer opportunitiesfor construction companies and port operatorsas well as development and administrationservice providers.


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The Kingdom of Saudi Arabia (KSA) is located strategically between three continents namely Asia, Africa and Europe.The transport and logistics sector in Saudi Arabia is supporting a population of 28,5 million (2011) and plays a crucial role as enabler and prerequisite for growth in the country as well as for the “economic cities” (EC’s). As a result of the economic growth and the development of the EC’s, annual cargo volumes will triple from 300 million tons in 2005 to around 900 million tons in 2020. Domestic volumes will remain to be predominantly transported by road and rail, while international volumes will be transported mainly by sea.The two most important ports for imports are and will remain Jeddah Islamic Port and King Abdul Aziz Port Dammam. Jubail Industrial Port is the biggest port for export, Yanbu Industrial Port follows as the second biggest port for exports.An often cited statement is “that ports are just a link in the chain between producer and consumer”. This implies that hinter-land connections are as important as maritime transport and ports. The existing infrastructure, however, has not yet kept pace with the industrial development of Saudi Arabia and is still inadequate with limited inland road, rail and sea connectiv-ity. For this reason numerous projects for the development of ports, roads and railway transportation have been planned. With the right incentives and also by leveraging the country’s strategic location to attract more traffic to its seaports, airports, logistics network; Saudi Arabian Government aims to strategically privatize operation and management of compo-nents of the transport and logistics sector.The KSA, by scoring 3.22 (out of a maximum of 5) in the Logistics Perfor-mance Index scale of the World Bank, takes up the 40th ranking position. Consid-ering in detail assessment grades in the six assessment criteria, it is clear that the weakest points are the efficiency in the clearance process and uncompetitive

shipment prices, denoting structuraland competition problems of thetrucking sector.

The development of the carriers in detail Rail:

The existing railway network of Saudi Arabia connects the port of Dammam to the capital Riyadh. This infrastructure of the current railway network comprises two mainlines and one branch line with a combined length of 1018 km. Beyond that Saudi Arabia will develop a 2300 km north-south railway system that will link the northern mineral mines with the processing facilities on the Arabian Gulf. Most important in the framework of a reorientation of the logistics structure will be the planned “Landbridge”. This project will involve construction and operation of 945 km of new standard-gauge-track from Riyadh to Jeddah as well as a new 115 km spur from Dammam port to the industrial city of Jubail. This expan-sion will transform the existing network into an important strategic freight link connecting the port cities of Jeddah, Dammam and Jubail via Riyadh’s inland dry port. It will transform the way the containers are transported around the

country finally. For the transport of containers by rail to be more efficient and cost effective than by road, a much more agile and flexible system must be created and it will also require the development of more dry ports. These dry ports, as is Riyadh dry port, would need to be specified as maritime destinations so that containers could be consigned to them under Multimodal (or Through) Bills of Lading. Delivery time for containers tracked between Dammam and Jeddah will be less than 18-48 hours compared to up to eight days journey by sea around Ras Al-Mandab from the Red Sea to Arabian Gulf.

Sea Transport and Ports:

Saudi Arabia has the largest port network in the Middle East. Saudi Ports Authority (SEAPA) supervises development, manage-ment and operation of the major seaports located on the two coasts of Saudi Arabia (Jeddah Islamic Port, King Abdul Aziz Port Dammam, King Fahd Industrial Port Jubail, Jubail Commercial Port, King Fahd Industrial Port Yanbu, Yanbu Commercial Port, Jizan Port, Dhiba Port). Theseports have together 183 berths in the commercial and industrial ports.


Saudi Ports AuthorityLogistics Opportunities in Saudi Arabia

P: +971/4/8048 100 · E: [email protected] · www.ssi-schaefer.ae

Working according to the convenient principle of “goods to man”, this automated storage and order picking solution can efficiently reduces the proportion of travel time by more than 70% and increases the commissioning speed by 6 to 10 times. LogiMat® provides efficient space utilisation that helps reduce energy and storage costs, thanks to its extremely compact design. Contact us today for more information.

LogiMat® - your ideal storage and picking solution for small parts

Logistics and Logistics

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Currently three ports are under develop-ment in Saudi Arabia, Ras Al-Khair Port on the Gulf and two other ports inside the Economic Cities; King Abdullah and Jizan Economic City. Saudi ports have become major contributors to Saudi economy (95 % of cargo trade are through ports) and form a link between the national and international economy and hence a link between producers and consumers.

Air Transport:

Currently 27 airports are being operated by the General Authority of Civil Aviation (GACA), 23 domestic airports and 4 international airports (King Khaled International Airport Riyadh, King Abdulaziz International Airport Jeddah, King Fahd International Airport Dammam and Prince MohammedInternational Airport in Medina).

Shippers spent SAR 3.6 billion on the transportation of air cargo in 2010. There were 157 routes connecting Saudi Arabia to urban agglomerations around the world. A total of 37 of these routes wereconecting Saudi Arabia to cities of more

than 10 million inhabitants. The densified connectivity will help in reducing time spent in transit, increasing the frequency of service, and improving the quality of service, such as reliability and punctuality. Improvements in connectivity have been accompanied by a steady fall in the cost of air services.

Road Transport:

The Kingdom of Saudi Arabia is served by a road network with a total lengths of 97,000 km. The network consists of two components. The first comprises the inter-city roads whose lengths is more than 55,000 km of paved roads under authority of the Minister of Transport, withexpressways and main roads connecting most populated nodes in the network. The other component covers the urban roads which are 42,000 km long and are under the authority of the Ministry of Municipal and Rural Affairs.

Conclusion:

With massive investments in infrastructure as shown the Kingdom of Saudi Arabia is

being prepared for the growth of its logistics industry. Warehousing is a potential growth sector and opportunities for Logistics Service Providers in Saudi Arabia exist in providing integrated supply chains, multimodal transport services and specialized warehousing services to fulfill the needs of manufacturing industries in the country and to organize the logistics chain for imports and exports. Further-more, multimodal connectivity needs to seriously advance mainly with the efficient connection of seaports and airports through rail. Finally, legal provisionswould be required in order to establish freight forwarding and the freightforwarders profession according to properinternational standards.


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Multi-purpose deep-water facility situated at the King Abdulaziz Port of Dammam, Eastern Province Kingdom of Saudi Arabia. It operates and manages the container terminal and offer stevedoring of RO-RO and Reefer vessels. IPS is a subsidiary of Hutchison Port Holdings (HPH), a Hutchison Whampoa company, formed as a joint venture partnership with one of the largest maritime companies in the Kingdom- MACNA.

Hutchison Port Holdings (HPH),a subsidiary of the multinationalconglomerate Hutchison Whampoa Limited (HWL), is the world’s leading port investor, developer and operator. The HPH network of port oprations

comprises of 318 berths in 52 ports, spanning 26 countries throughout Asia, the Middle East, Africa, Europe, the Americas and Australasia.

The Maritime company for Navigation (MACNA) is a limited liability company established in (1994) for the purpose of developing shipping activities including sea, air, and land transportation all over the world. It owns a Marine Fleet of several ships working in the field for marine transportation for cargo and passengers.

Our MissionTo serve our clients to the highest possible standards and strive to satisfy their needs at all times.

A cornerstone of our commitment toour Customer’s needs is our quality management system which ensures that services we provide meet or exceed our contractual obligations.

This can only be achieved by: • Continual monitoring and analysis of our performance.• Understanding our Customer’s business. • Listening and responding to our Customer’s needs, and ensuring we deliver on any commitment made.• Constantly communicating with all stakeholders in our business on the issues that affect them.

• Agreeing with all stakeholders their key objectives and service levels they will provide.• Establishing an environment where continual improvement ensures IPS performs at the very highest international standard. Operational Services:Containers Operations

IPS provide all container handling operations including loading on vessel, discharging from vessel, shifting to exam area, stripping/stuffing, X-Ray scanning, cross-stuffing etc.

These operations are supported using specialized equipments planned and monitored by Terminal Operating System (NAVIS, SPARCS and EXPRESS).

RORO/Break-Bulk Operations:IPS has three multi-purpose berths for RORO/break-bulk Operations. Loading and discharging of RORO units using Teklogix Mobile devices equipped with barcode scanner. The barcode on the unit and driver id is scanned. The Mobile Application on the device verifies the vehicle identification number against the manifest. This use of advance technology ensures accuracy, avoid delays and expedite RORO operations.

Reefer Cargo Operations :IPS also render Reefer Vessel stevedoring. Reefer Cargo is discharged, stored in a cold store and delivered to Consignee’s truck.CFS Operations:IPS has a dedicated area for CFS operations. LCL containers are shifted to

this area where they are stripped, examined by Customs, and delivered to Consignee trucks. Rail Operations:IPS Terminal has three rail tracks and rail stacking area Parallel to the tracks for Rail Operations. All Riyadh bound containers are directly shifted to Rail Stack, where they are finally loaded on the train. Reefer Points: IPS has a dedicated temperature-controlled reefer facility with 2012 reefer points.New Delivery Area: IPS also offers a container delivery services to its clients/ consignees from its container yard through X-Ray machines to the new delivery area ( NDA ). This will help consignee trucks to avoid CY traffic and make more trips/ turnarounds.


FacilitiesTotal Area (hectares)Container BerthsRo-Ro BerthsTotal Berth Length (m)Depth Alongside (m)

Straddle CarriersReach StackerForkliftEmpty Container HandlerTerminal Tractors

352

12113107

Container Quay CranesMobile Cranes

147

Rubber Tyred Gantry Cranes 48

Reefer points 2,012

Container Freight Station (hectares) 28

9773

2,22014

InternationalPorts Services, Dammam, Saudi Arabia (IPS)


HUTA GROUP HUTA GROUP

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HUTA GROUP provides its services for the implementation of the Kingdom’s large infrastructure projects such as sea ports, power plants, traffic infrastructure, utility infrastructure.

With more than 6,000 employees, a turnover in excess of SR 2.0 bn and an order backlog of more than SR 7.0 bn Huta Group is one of the leadingcontractors in the Kingdom.

A wide range of civil engineeringconstruction services are provided to public and private clients by Huta Group’s subsidiaries HUTA-HEGERFELD engaged in civil engineering infrastructure projects, HUTA FOUNDATION specialized in deep foundationengineering, HUTA ENVIRONMENT

providing environmental engineering and contracting services, SAUDI CRANE SERVICES offering heavy lift facilities and project rental of mobile and crawler cranes of upto 500 ton capacity.

HUTA MARINE, the core business unit of Huta Group, is engaged in marine civil engineering works. The Company owns and operates an integrated fleet of construction vessels including 10 cutter suction dredgers with a capacity of upto 22,000 HP installed power, 12 floating cranes upto 1200 ton lifting capacity, 27 ocean and coastal tugs upto 5000 HP and 50 other specialized construction vessels and barges.

The scope of Huta Marine’s business activities includes engineering and

construction of sea ports, commercial cargo terminals, liquid terminals, deep sea outfalls, seawater intake systems, coastal development, dredging and reclamation, underwater engineering services.

King Abdullah Port located within King Abdullah Economic City, Rabigh is one of the major infrastructure projects currently being executed by HUTA MARINE.

With a total investment exceeding SR 30.0 bn the Port is one of the largest private infrastructure projects in the Kingdom.80,000,000 m3 of dredging are to be completed to form the two Port basins. For the construction of 12,000 lm of quay walls and 6,000,000 m2 of yard area some 7,000,000 m3 of concrete have to be installed.

Construction works have commenced in 2011. Phase 1 of the Port Development will be operational in 2013.

KING ABDULLAH PORT

King Abdullah Port is the firstInternational Commercial Port in the Middle East which is privately owned, developed, financed and operated.

The Port is strategically located on the Red Sea and only 88 km north of Jeddah and bordered by Rabigh Industrial Corridor in the north and King Abdullah University for Science and Technology in the south, with developing industrial zones of Yanbu and Petro Rabigh, and the holy cities of Makkah and Madinah at close travelling distance.

This world-class Port will also be ideally situated with direct access to the rail connection of the Saudi Land Bridge to the Eastern Province, connecting King

Abdullah Port by rail to all major cities within the Kingdom and positioning the Port as a major transshipment hub, as well as for passenger traffic (high speed railway) to Jeddah, Makkah and Madinah.

The Port is aimed at meeting Saudi Arabia’s current demand and future requirements for port capacity.

Container traffic in the Red Sea and Saudi Arabia increased almost three times over the past seven years with throughput expected to continue increasing strongly driven by the rapidly growing Saudi Arabian economy

Current port capacity in the region is insufficient and constrained bysurrounding urban infrastructure resulting in approximately 60% of Saudi Arabia’s import requirements currently being transited in ports outside the Kingdom King Abdullah Port is designed to have adequate capacity to handle 20 million TEUs (twenty foot equivalent units). It’s

18.0 m deep basins can accommodate the largest commercial vessels.

The Port is designed to be equipped with the most advanced facilities including advanced container and cargo handling equipments, Integrated terminal operating system, X-ray scanning for customsinspection, vessel bunkering facilitiesalong the quay wall to expedite vessel turn around, IT community system fortransparent logistics in and out of the Port.

The regulatory environment governing the Port guarantees that all government services, including customs, will be delivered within 60 minutes 24 hr/day during 7 days/week ensuring that the Port remains best in class and attains ranking among the top ten Ports in the world in terms of volume and processes.


HUTA GROUPEngaged in large port infrastructure projects

Gulf Stevedoring Gulf Stevedoring

3534


GSCCO employs a multi-national, multi-disciplined Workforce of around 5000, distributed among its “3” currentprojects led by a management team with unparalleled experience in all aspects of port management.

Innovation and the application of new ideas and technology is one of the company’s watchwords and this is applied

in all aspects of the operation of its projects; the aim being to utilize resources as efficiently as possible to the benefit of the customer and the company. In many cases the innovation comes from within , the result of a culture that encourages employees at all levels to look at old methods and new problems from a new angle and often leads to imaginative and cost effective solutions that optimizes the

use of resources, increase productivity and expand the range of services that are offered to the customer.

Another area where the company excels is the knowledge, experience and quality of its staff. To maintain this competitive edge a continuous program of basic and advanced training and development has been put in place. GSCCO is now one of

the leading operators in the port services sector currently handling 03 port projects in Kingdom Northern ContainerTerminal- Jeddah Islamic Port, Jubail Container, Bulk & General Cargo Handling project in Jubail Commercial Port and Operations & Maintenance Project in King Fahd Industrial Port Project.

JIP-NCT: The Northern ContainerTerminal in Jeddah Islamic port is widely considered to be the most modern container terminal in Saudi Arabia. The terminal presently has 7 berths with a total length of 1650 m, in addition to yards (1,075,320 SQ.M) designed to handle estimated capacity up to 3 Million Tues. It is equipped with Super Post Panamax container handling cranes of capacities reaching (65) tons with twin liftingcapability, RTGs with twin liftingcapability, in addition to modern equipment units for yard service. Parts of the yards are equipped with gantries and electrical points for storage of reefer containers with a capacity of 2,300containers and they are increased annually in proportion with the growth rates in reefer container numbers.

The North Container Terminal isautomatically controlled by using NAVIS Terminal operating system. As well,recording of incoming and outgoing containers in the Terminal is done automatically by using advanced cameras (the electronic gate). With theseoutstanding facilities and modernmanagement have increased demand for the terminal’s services by the shipping lines as evidenced by the growing throughput handled each year, as 1.8 million TEUs being handled last year 2012 and expected to increase over 2 million this year.

JCP-Jubail Commercial Port has a distinguished location on the Arabian Gulf, near to the giant industrial areas in Saudi Arabia, rendering it the ideal port for

exports and imports of Saudi products and equipment for the Industrial Projects. Its use will save time, effort and cost for the industrial companies in the region. Gulf Stevedoring Contracting Co. is carrying out the management and operation of the Container, Ro-Ro and General Cargo Terminal at JubailCommercial Port for a period of 15 years.

And the development of this Terminal started in the year 2009, designed to handle estimated capacity of 1.5 million TEUs. The terminal consists 05 berths having 1250 meters of berth length with 14.5 meters draft to handle container vessels and General/Bulk cargo vessels, equipped with 7 cranes and 02 of them are mobile cranes having 120 Tons capacity, supported by RTGs, terminal tractors and trailers and a wide range of other container/general cargo handling equipments, also supported by stacking area with 500,000 square meter. The implementation of the latest terminal operating system Navis N4 has now been augmented in Jubail terminal with Teklogix broad spectrum communications and Autogate facilitating receipt, stacking and delivery of containers.

KFIP-GSCCO has been awarded a large operation, maintenance and refurbishment contract in the King Fahd Industrial Port, Jubail which is one of the largest industrial ports in the world. This project covers 25 commercial berths with total berth length of 1700 meter having draft up to 28 meters, including the open sea tanker terminal.


Gulf StevedoringContracting CompanySince its foundation in 1985 Gulf Stevedoring Contracting Companyhas been awarded many large and prestigious port projects in the Kingdom

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Dp World Jeddah

DP World Jeddah Located in Jeddah Islamic Port strategically located linking all the international shipping routes and being in a place adjacent to many sea ports in the Red Sea Region. The DP World Jeddah Operate the South Container Terminal occupies 8 berths stretching along1,908 of quay with 16m Draft The DP WorldTerminal is a common-user, multi-purpose facility of 1.56 million m2 providing 67 hectares of container storage and six CFS warehouses. There area total of 14 gantries (3 X PP, 11 X SSPP) 65-Ton backed by a modern well-maintained fleet of yard handling equipment, including 40-ton capacity RTGs, reach stackers, ITV (low flat-bed trailers) and trailers, forklifts and mobile cranes which contribute to handling capacity of 2.4million Tues, A new Development to upgrade our Sparcs system to the latest Version in Line with DPW standard, in contiguous storage yard occupies 156 ha with examination areas that can accommodate more than 200,000 TEU’s at any given time. Four warehouses

and three consolidated sheds occupy an area of 56,136m2 in a 6.3 ha secure warehousing area.

DP World Jeddah has investedconsiderable resources, both financial and in terms of expertise, to ensure the terminal operates to international standards in the handling of the new generation of mega-containerships

About DP World

DP World operates over 60 terminals across six continents(1), with container handling generating around 80% of its revenue. In addition, the company currently has 11 new developments and major expansions underway in 9 countries. DP World aims to enhance customers’ supply chain efficiency by effectively managing container, bulk and other terminal cargo. Its dedicated, experienced and professional team of more than 30,000 people serves customers in some of the most dynamic economies in the world.

The company constantly invests in terminal infrastructure, facilities and people, working closely with customers and business partners to provide quality services today and tomorrow, when and where customers need them.

In taking this customer-centric approach, DP World is building on the established relationships and superior level of service demonstrated at its flagship Jebel Ali facility in Dubai, which has been voted “Best Seaport in the Middle East” for 18 consecutive years.

In 2012, DP World handled more than 56 million TEU (twenty-foot equivalent container units) across its portfolio from the Americas to Asia. With a pipeline of expansion and development projects in key markets, including India, Africa, Europe and the Middle East, capacity is expected to rise to around 103 million TEU by 2020, in line with market demand.


DP World Middle East Ltd.South Container Terminal Jeddah Islamic Port

DP WORLDJeddah

Saudi Trade & Export Development Company “ TUSDEER” a subsidiary of the Saudi Industrial Services Company, SISICO the developer and operator of the Kingdom’s first Bonded and Re-Export Zone at Jeddah Islamic Port, announced through a statement by the COO,Dr. Hatem Abdulmoti Merdad that the company signed a contract to build the Fourth Warehouse Village (IV) at TUSDEER Re-Export Zone in Jeddah Islamic Port in response to surge in demand.

TUSDEER signed several preliminary leasing agreements prior to the beginning of construction of Village-IV.

TUSDEER assigned JamjoomConsultancy as its consulting office and Sahara Building Contractors for the execution of this project. Both are among the leading firms in similar projects.

The Warehouse Village-IV consists of 20 units with a total leasable area of 21,000 sq.m (twenty one thousand square meters). Total cost of this project is approximately SAR 46 Million (forty six million Saudi Riyals). With the conclusion of this endeavor, TUSDEER Re-export Zone will increase its warehousing capacity to approximately 72,000 sq.m (seventy two thousand square meters). TUSDEER’s warehouses are built to meet the interna-tional standards.

Prior to the inception of Warehouse Village-IV, TUSDEER has successfully completed the construction of Warehouse Village-III, with fifteen units, with a total leasable area of 16,600 sq.m, in a timely manner back in May 2012; all warehouses have been operational since then. The construction was made to the highest quality standards to meet customers’ requirements. All the warehousing units of Village-III were built with complete Fire Alarm and Firefighting Systems, Ventila-tion Systems, 50 mm thick Aluminum Sandwich Panels for Roofing and Wall Cladding (enhancing thermal insulation), 12-meter Total Building Height, 7-meter Clear Storage Height and 1.30-meter High Loading/Unloading Bays.

Dr. Hatem Merdad added further, “TUSDEER” Bonded & Re-Export Zone is the first Customs-Tariff. Free Zone at Jeddah Islamic Port and in Saudi Arabia, and representing a main Gateway to the Middle East & Africa. TUSDEER’s Customs-Tariff Free Zone and Re-Export facilities represent a strategic concept and provide the first real opportunity in Saudi Arabia for Saudi Arabian traders, industrial-ists, service providers; and International companies to promote their products locally and internationally”.

In TUSDEER Re-Export Zone, our customers are gaining several benefits:• Commercial savings since Re-Export goods are custom Duty Free.• Logistics savings on demurrage and container rentals, if imported goods’ documents are delayed, or goods are not meeting SASO or customs requirements.• Efficient utilization of Cash by delaying payment of customs duty, by partial release of cargo as needed.• Transport savings versus moving cargo from neighboring Free Zones in the region – realizing that Saudi Arabia

represents, approximately, 60% to 70% of GCC Countries’ import.• An optimal Logistics Center for Third Party Logistics companies (3PL), Shipping Agents and Principals, and Freight Forwarders.• Assembling, Packaging, Re-Packaging, Filling, and/or Labeling.• As direct solution for shortage of storage facilities.Our customers can enjoy the above mentioned benefits by leasing one of the following facilities at TUSDEER Zone:• Pre- built Warehouse including office units.• Empty Lots to tailored customers’ needs to store cars, heavy machinery, building materials, and project cargo.• Container Facility with option to split Bill of Landing, break-bulk for Import & Re-Export purposes.• Reefer Plugs facilities upon customers’ request.• Short-term storage services.

TUSDEER Re-export Zone integrates with another SISCO’s subsidiary, Red Sea Gateway Terminal (RSGT), a container terminal at Jeddah Islamic Port to provide total logistic solutions for TUSDEER’s customers.

For more information, please visit www.TUSDEER.com

TUSDEER

Saudi Trade & Export Development Co,P.O.Box 18046, Jeddah-21415.Jeddah Islamic Seaport (JIP)Kingdom of Saudi Arabia.Mobile: +966 50362 3496T: +966 2 648 8144 Ext.777-252F: +966 2 647 1381E: [email protected]: www.TUSDEER.com

TUSDEER is Constructing the Fourth WarehouseVillage in the Bonded & Re-Export Zone

Aviation Aviation

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Saudi Arabia has 4 international airports, 19 regional domestic airports and more than 200 airfields that are either local airports or in some cases merely landing strips.

Yet, significant upgrades are currently underway in the Saudi aviation sector. The Medina Airport will undergo a serious facelift; a new Cargo Village is being planned for Dammam airport. Jeddah will see a massive expansion with three new terminal buildings, a high-speed rail link and a capacity for up to 80 millionpassengers a year, compared to 13 million it currently services. King KhalidInternational Airport Riyadh will have a new Terminal, also connecting to the yet to be build national railway. Besides that several new airports are being built.

With the new airport projects, passenger numbers will increase rapidly: A Saudi Arabian Airlines report showed that the growth of passengers numbers increased by 17% in 2012 compared to 2011, when fewer projects were under way. With increasing airline activity and private companies operating in domestic air traffic, this development will pick up momentum and create new challenges for airlines and airport operators alike: security standards will have to improve - baggage handling systems and cargo handling as well as moving people safely and efficiently, will create opportunities on all levels, from planning and engineering of airports to operation and maintenance. Also, the links between othertransportation systems, especiallythe railway system, offer plenty of

possibilities. Automated storage and retrieval systems will further add to an efficient way of handling cargo. A special focus is drawn to cold and cooling warehouses – vital for a country like the Kingdom of Saudi Arabia with a harsh climate that can reach 50 degrees and above in the summer months. As there are logistics centers & warehouse service facilities in the whole kingdom, the demand for logistics and supply chain management providers increases.

German Companies are already well established in the aviation logistic sector:

Since 2008, Fraport management teams in Jeddah and Riyadh are involved inthe development of the airports and responsible for leading the transformation

of the airports as well as the provisionof know how. Together with the local management, the Fraport team is focusing on developing the airports to international standards by enhancing service quality and managing the expansion strategies.

For both airports, GACA has set specific targets such as hub development,

expansion programs, cargo and passenger growth, and financial and economicalindependency.

German logistic giant DHL, which is operating cargo flights, serving Riyadh, Jeddah and Dammam, is employing more than 4000 people in Saudi Arabia. With 48 service point facilities in the Kingdom the

company shows continuous commitment to innovation, service excellence and providing logistics solution, whilst also improving local know how through the Certified International Specialist (CIS) training program which is mandatory for all DHL employees in the Kingdom. In 2013, DHL is planning to invest more than $30 million in the construction ofnew gateways at the Kingdom’s main international airports Dammam, Riyadh and Jeddah.

Top Possibilities:

• Feasibility studies• Construction• Safety management and risk management• Operations planning, modeling and simulation• Intelligent transport system development• Fuelling and maintenance facilities• Supply-chain management


AviationWith new airport projects underway,passenger numbers will increase rapidly

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Perfectly placed

Saudi Airlines Cargo Company is a leading air cargo carrier based in the Middle East. Strategically located in the Kingdom of Saudi Arabia, Saudi Airlines Cargo Company is uniquely positioned to provide a bridge between East and West via its hubs in Riyadh, Jeddah and Dammam, thus enabling it to use its capacity efficiently and move your cargo with minimal ground handling time.

From humble origins to a modern day carrier

Saudi Arabian Airlines was founded in 1945 with a single twin-engine DC-3 given to King Abdul Aziz as a gift by the US President Franklin D. Roosevelt. It was the first airline in the Middle East to introduce jets to civilian operation, thus laying the groundwork for today’s extensive cargo network, adapting, developing andpioneering many of today’s industry

standards. In 2008, the cargo division of Saudi Arabian Airlines was privatized and the new entity was named Saudi Airlines Cargo Company. The company remains the biggest freighter operator in the Middle East and aims to continue its plans for future growth, while completing its transformation from a legacy carrier to a modern day carrier.

Tailor-made products and services

The airline offers a wide range of products and services specifically tailored to meet the varying requirements of its customers, covering general cargo, prime cargo, special cargo, Belly flex and charter solutions. Its commitment to customer satisfaction means that it is able to provide a consistently high level of service whilst continuing to deliver cost-effective options.

Expanding fleet

Saudi Airlines Cargo Company operates a fleet of 15 freighters consisting of B747F (-8F, 400F and 200F series) and MD-11F aircraft, offering both nose and side loading capabilities to accommodate all types and sizes of cargo. In summer 2013 the airline took delivery of two B747-8F

aircraft offering increased capabilitiesin terms of volume and on timeperformance.

Superior ground handling and warehousing services

Saudi Airlines Cargo Company provides ground handling and warehousing services to international airlines operating through the Kingdom's main airports (Jeddah, Riyadh, Dammam and Al Madina)as well as internationally. It is fully equipped to handle a wide variety of aircraft and nature of cargo, usinghighly qualified experts in physicalground handling as well as in thedocumentation process. Its team of dedicated staff is able to handle all types of shipments, from general cargo to products requiring a more specialized service such as prime cargo (courier,

airmail, fly your horse and fly your car)and special cargo (valuables, perishables, dangerous goods and live animals). All cargo is handled with the same careand attention to detail in all of the company’s cargo handling facilities throughout the world. Extensive global network

Saudi Airlines Cargo Company has an extensive international network, currently operating to over 25 freighter destinations across 5 continents. In addition to its freighter services, Saudi Airlines Cargo Company also sells the belly-capacity on 145 passenger aircraft for Saudia Arabia’s flag carrier Saudia spanning a rapidly expanding global network of 225 destina-tions and provides charter flight solutions from a growing fleet of dedicated aircraft.


Saudi AirlinesCargo

Lufthansa German Airlines Lufthansa German Airlines

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With 21 weekly departures from Saudi Arabia, Lufthansa provides first choice travel flexibility to customers in the Kingdom. Step by step Lufthansa increased its presence in Saudi Arabia over the past years. In 2009, the German airline upgraded its services from Riyadh and Jeddah to a daily flight on each route. In April 2010 it introduced three weekly flights between the Saudi capital and its Munich gateway in southern Germany and in October 2011, Lufthansa launched a three-weekly Jeddah-Munich service. Insummer 2013, Lufthansa will increase to five weekly flights its services between Jeddah-Riyadh to Munich.

Lufthansa provides lean connections to over 100 destinations across Europe and over 200 cities worldwide via their gateways in Frankfurt and Munich. Customers can fly to 21 destinations in North America nonstop from Frankfurt or Munich. Many more points are served in cooperation with code share partner United Airlines.

In total, Lufthansa serves 14 destinations in 11 countries in the Middle East. In additionto the Saudi flight plan, Lufthansa flies double daily to Dubai. Daily services are operated to Abu Dhabi, Kuwait, Muscat, Doha and Bahrain.

On arriving at Frankfurt, Lufthansa Business Class passengers and status customers can relax at the exclusive Welcome Lounge. The facility, which opened in January 2009, is geared to the needs of travelers arriving on long-haul flights. A comprehensive breakfast and snack buffet, is served in comfort areas and quiet zones. The modern shower area on the lower level is one of the Welcome Lounge’s most exclusive features. Its 28 high-end showers allow passengers to get refreshed for the day ahead. A concierge is on hand to allocate shower facilities and coordinate customer wishes, including an ironing service for HON Circle members,

First Class guests and Senators. Passengers with onward flights can choose from a number of First Class, Senator and Business Class lounges.

Top-flight travel in the new Boeing 747-8 and new Business Class

On May 2012, Lufthansa took delivery of the first Boeing 747-8, 76.3 meters long, 5.6 meters longer than its predecessor, the Boeing 747-400. The aircraft boasts newlydeveloped wingtips and significantly improved aerodynamics. It also provides tangible improvements in terms of eco-efficiency and achieves a substantial 15 percent reduction in fuel consumption and CO2 emissions per passenger. Noise emissions were reduced by 30 per cent.

The new Lufthansa Jumbo can seat 362 passengers: eight in First Class, 92 in Business Class and 262 in Economy Class.

The new Boeing 747-8 entered service on 1 June 2012 and with it, Lufthansa passen-gers experienced the new Business Class. The new seat offers exceptional comfort for passengers in a sitting or lying position, intuitive adjustment features, additional storage space and an individual entertain-ment system with 15-inch screens. At the press of a button, the seat converts into a 1.98-metre comfortable bed. The aircraft also features an entirely new seating arrangement in the form of a “V” whichgives more shoulder room and privacy.

Lufthansa currently has three Boeing 747-8i in operation as part of the total 20

order for delivery through 2015. Likewise, the carrier has a total of 15 Airbus A380 units scheduled for delivery until 2015. In total, the Lufthansa Group has over 150 aircraft on order through to the year 2016.

New A-Plus Pier of Terminal 1, Frankfurt International Airport now operational

In October 2012, the new state-of-the-art, four-level Pier A-Plus at Terminal 1 in Frankfurt airport opened allowingpassengers to relax in a more comfortable surrounding prior to boarding their flights. As well as 23 new gates with seamless connection to the corresponding levels of the existing Terminal 1 building, passen-gers also find more retail outlets to shop and relax in any of the five new Lufthansa lounges in the A-Plus Area including Senator, Business and First Class lounges.

Choosing to fly with Lufthansa means being able to enjoy the many benefits of Miles & More. Founded by Lufthansa’s in 1993, Miles & More today counts more than 17 million members worldwide, making it Europe’s largest and most successful airline loyalty program. It was since joined by a number of Lufthansa’s European partner airlines, with affiliates SWISS, Austrian Airlines and Brussels Airlines being the most prominent ones.

Deutsche Lufthansa AG is an Aviation Group comprising around 400 subsidiariesand affiliates. The Lufthansa Group is dedicated to quality and innovation, safetyand reliability. Headquartered in Germany, the Group operates in five business

segments – passenger transportation (Passenger Airline Group), logistics, MRO,catering and IT services. Passenger transportation is the Group’s core business:The airlines engaged in the passenger transportation business are Lufthansa Passenger Airlines (including Lufthansa Regional) Austrian Airlines, SWISS and German wings as well as stake holdings in Brussels Airlines, JetBlue und SunExpress. In the 2011 business year, the airlines in the Lufthansa Group welcomed more than 100.6 million passengers on board their flights, making it Europe’s leading airline grouping. Operating through the Frankfurt, Munich, Dusseldorf, Vienna, Brussels and Zurich hubs, Lufthansa, Austrian Airlines, Brussels Airlines and SWISS jointly serve 283 destinations in 105 countries on four continents. The Group fleet currently consists of 696 aircraft – on order are another 168, valued at a total of more than 17 billion Euros at list price and scheduled for delivery between 2012 and 2018. With its ongoing expenditure in fleet renewal, the Group is consistently making the fleet more cost-efficient and its operations more environment-friendly. Lufthansa Group employees more than 120,000 people and its revenues are totaling 28.7 billion Euros.

More details are available at

Lufthansa German Airlinesin Riyadh reaches silver jubileeThe Saudi capital is the youngest city Lufthansa operates in, having been inthe Kingdom for 52 years when it first flew to Dammam followed by Jeddah in 1967

www.lufthansa.com.or call 800 124 5550.

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Founded in 1924 under the nameSüdwestdeutsche Luftverkehrs AG, Fraport today operates Frankfurt Airport (FRA), one of the world's most significant air transportation hubs.

FRA features the full gamut of processes required at a major international airport. A success story for many decades, Frankfurt Airport reflects Fraport AG's convincing performance as a full service airport manager and internationally renowned hub operator.

Being one of the world's largest airport companies, Fraport not only offers the classical services such as airport planning, design, operation, retailing and airport management, but also has expertise in the areas of real estate management, informa-tion technology, environmental and safety management.

Gained over many decades, this knowl-edge and expertise is sought after and recognized around the globe. Through investments and subsidiaries, Fraport AG

is currently active at more than 50 locations in Germany and worldwide including the management of 13 airports on four continents worldwide and provides its expertise through numerous subsidiaries – including in Antalya, Lima, New Delhi, St. Petersburg and Xi'an. In terms of provision of management services through management contracts (no investment), Fraport is active at four Airports including Cairo, Egypt, Dakkar, Senegal as well as in Riyadh and Jeddah in the Kingdom of Saudi Arabia.

Under the six year management contract with the General Authority of Civil Aviation which started on June 14th 2008, Fraport deployed 13 senior staff to the airports of Jeddah and Riyadh.

The Fraport management teams at Jeddah and Riyadh are involved in the develop-ment of the Airports, are responsible for leading the Transformation of the airports as well as the provision of know how. Together with the local management, the

Fraport team is focusing on developing the airports to international standards by enhancing service quality and managing the expansion strategies. An important element during the entire contract period is an extensive training program for all levels of management at both airports.

For both airports, GACA has set specific targets such as hub development,expansion programs, cargo and passenger growth, and financial and economical independency.

This all-embracing project concept allows GACA to take advantage of Fraport’s worldwide expertise so that managers from Riyadh and Jeddah can benefit from Fraport’s proven and established worldwide airport management and training programs.

Today Fraport’s majority-owned foreign airports continue to contribute to the airport company’s success. Combined, the

Fraport AGContact in Saudi ArabiaFraport Saudi Arabia Ltd.King Khaled International AirportAdministration BuildingSecond Floor, Office No. 814P.O. Box 12115Riyadh 11473

group’s five majority owned airports welcomed a total of 99.4 millionpassengers in 2012, which represent a 9.1 percent gain year-on-year. Together with its affiliated Airports and Airports managed through contracts, Fraport in 2012 handled over 233 million Passengers making it one of the largest airport operators in the world….

Fraport AG boasts a long traditionas an airport operator

Roads

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Although road traffic will be eased by the improvement of the railway system, street transport will still play a major role in the huge country. For Example, the Saudi-Oman road link, the first road connection with the Sultanate, will be finished in late 2013. So far all road traffic had to pass through the United Arab Emirates. All in all, the construction of roads totals up to 4200 km to be added to 28100 km of roads currently under construction.

Especially with the increasing ratio of private companies, more and more firms seek the help of external service providers to execute logistics activities that have traditionally been performed within the companies themselves. Also, the fact that more and more freight is transported not by road but by train and this will increase with the building of the new railway lines (see section: railways). The demand for

reloading places will increase, including warehouses, container storage yards, tractor/trailer yards, and maintenance facilities.

Road transport in Saudi Arabia is well supported by German companiesproviding cars and trucks, like MAN Commercial Vehicles. Being active in Saudi Arabia for more than 25 years, MAN opened the first assembly plant for the local and regional market in 2009,producing TGA-WW trucks and semi-trailer tractors. MAN Commercial Vehicles Group, based in Jeddah, has a market share for trucks over 16 t of a round 25%.

Mercedes-Benz has been operating in the Kingdom of Saudi Arabia for over half a century. With more than 90 branches in the Kingdom and an assembly and training

factory in Jeddah, Mercedes-Benz is amongst the pioneers in Saudi Arabia, and a role model for long-term relationship with the sole Agent Juffali.

But also smaller companies, Germany’s “hidden champions” are very active in providing products and services, like Hofmann Marking who are equipping airports with runway marking systems or Stramark Schreck, who found the right partner with the Al Mobty Group to successfully enter the market.

Top Possibilities:

• Bridges and drainage structures• Tunnels and roadwork construction• Signaling and communication systems• Fuelling, and maintenance facilities• Loading and unloading facilities • Supply-chain management

RoadsStreet transport will still play a major role in Saudi Arabia

E. A. Juffali & Brothers

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The corporation was established in 1946 by the three sons of Abdullah Juffali: Ebrahim, Ali and Ahmed. E.A. Juffali & Brothers began its business by venturing into the fields of electric power,communications and cement.

Juffali stepped forward to the field of commerce by obtaining the sole agency in the kingdom of Saudi Arabia for some of the largest international firms that are pioneers in their fields. It then moved on to manufacturing some of the products that it had imported.

Juffali became involved in various commer-cial fields, i.e. printing with Heidelberg, computer with IBM, cars & trucks with Mercedes-Benz, auto parts & accessories with Bosch, tyres with Michelin, heavy equipment used in road works, loading &

off loading with Liebherr and Demag, tractors and agricultural equipment with Massey Ferguson, as well as many others. Activities extended to transportation and freight inside and outside the Kingdom through associations with Kühne & Nagel, land line and mobile phones with Ericsson, while in cooling, air-conditioning and maintenance, it formed links with Carrier, Kelvinator and Electrolux. In the field of chemicals, Juffali formed partnerships with Dow Chemical, DuPont and others.

Juffali continued to involve itself in various pursuits such as petroleum well drilling collaborating with Pool, prefab steel building with Butler, projects establishment with Fluor, insurance with Munich Reinsurance, cables welding with Raychem, medical equipment with Siemens, technical equipment used in

workshops with Bosch and others, as well as cleaning equipment imported from Karcher.

In the field of industry, Juffali established a number of plants through licenses that were acquired from the manufacturing companies for the production andassembly of trucks, tractors, airconditioners, refrigerators, steel buildings, heat insulating materials, industrial adhesives, sinks & hard surfaces and cable welding material.

Juffali also established a training center qualifying Saudi youths for certified degrees that enable them to seek job opportunities in the private sector or join the company’s plants and various utilities within the saudization program.

E. A. Juffali& Brothers

P.O. Box 235308 Riyadh 11332Tel.: +966 11 447 3440Fax: +966 11 244 2942Mobile: +966 503151387E-mail: [email protected]@yahoo.com

متخصصون في علب التوزيع الكهربائية ا�رضية

Fadhel Al-Ahmed Est.مؤسسة فاضل ا�حمد للتجارة

www.rukhgroup.comا�لمانيةوكالء شركة

C A B L E M A N A G E M E N T

Railway Railway

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The enhancement of railwayinfrastructure in Saudi is probably the most impressive of the wholetransportation sector: Planned projects include the 950 km rail link between Jeddah and Damman known as the Land Bridge Project, a 2,400 km Mineral Line Project running north to south;connecting Riyadh, Raz Azour, Hazm Al-Jalamid and Qurayyat. At the same time, Light Rail Transit Systems within Cities such as Riyadh, Jeddah and Medina are being planned and developed and in the mountainous areas, even cable cars are being discussed.

Connecting the country with anunprecedented transport system, industries will profit from new waysof freight forwarding. But also thelogistics of transport facilities itself will be part of the booming development. Especially shifting freight requires a comprehensive approach of warehouse logistics, but also supply chainmanagement and it solutions in order to guarantee an uninterrupted and efficient supply chain for industries, retailers and consumers alike.

The Al Mashaaer Al Muqaddassah Metro, also known as the Makkah Metro tram system, which was developed in Makkah city. This is a 18.1 kilometers (11.2 miles) track developed to shuttle a

forecasted 8 million pilgrims between Makkah, Mount Arafat, Muzdalifa and Mina in the annual Hajj pilgrimage.

The Haramain High Speed Rail project also known as the “Western Railway” or “Makkah-Medina high speed railway”, is a 449.2 kilometers (279.1 mi) high speed inter-city rail transport system under construction in Saudi Arabia. It will link the Muslim holy cities of Medina and Makkah via King Abdullah Economic City, Rabigh, Jeddah, and King Abdulaziz International Airport, which will connect with the national rail network at Jeddah.

North South Railway is a 2,400kilometers (1,491 mi) long railway project in Saudi Arabia. Trial operation on 1,392 kilometers (865 mi) long freight part of the project connecting Al-Haditha and Jalamid with new port city Ras Al-Khair was started in May 2011.

An 85 km link is planned which would connect the North-South railway with the port at Jubail.All this is part of the Saudi Railway Master Plan. In 2010, the SRO signed a contract for six months with the German International Cooperation (GIZ) to conduct the Saudi Railway Master Plan for the period 2010-2040. The main objective of the Saudi Railway Master Plan is to have a conceptual framework in place for the long-term development of a future passenger and freight transport network for the Kingdom.Also, private companies are eager to participate in the execution of that plan: RAIL ONE Group entered the Saudi market 2007, participating in the

North-South Line, the company constructed a concrete-sleeper factory in Hail, around 700 km north of Riyadh, to produce and deliver the 850,000 main-track sleepers and approx. 78,000 linear metres of turnout sleepers needed for this line. A splendid example for sustainable, long-term partnerships with local investment and manufacturing. Deutsche Bahn is participating in building Germany's railway stations in the Haramain Highspeed Rail Project. DB Schenker combines all transport and logistic activities of Deutsche Bahn employing over 91,000 staff spread across about 2,000 locations in about 130

countries. DB Schenker is a well established logistics provider, handling goods and providing services at all ports of entry in Saudi Arabia. Siemens has teamed up with a Chinese consortium to supply trains and equipment for 450-km Haramain Project.

Dr. Brenner Ingenieurgesellschaft mbH and KARAJAN Ingenieure GmbH, both members of the BW Engineersconsortium, have delivered theComprehensive Transportation Master plan for Makkah, indicating how to engross and further develop these concepts in order to ensure sustainable traffic conditions in the future.

Top Possibilities:

• Rail alignment and optimization• Bridges and drainage structures• Tunnels and track work• Signaling and communication systems• Power supply• Stations, yards and platforms• Fuelling and maintenance facilities• Loading and unloading facilities • Supply-chain management

RailwayThe enhancement of railway infrastructure in Saudi Arabiais probably the most impressive of the whole transportation sector

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The rapid economic growth rates projected at about 4 per cent over the next decade feature the dynamic economic development in the Kingdom of Saudi Arabia. By 2020, the population is forecast to grow by almost 20 per cent to reach 31 million people. The Kingdom implements large-scale nationwide programs securing further development of its economy and raising the standard of living. These initiatives include targeted diversification of industry, massive infrastructure construction projects in energy, transport, water and urban development.

The impressive implementation of industrial economic cities requires the establishment of efficient and secure supply chains, accompanied by adequate multimodal infrastructure. Over USD 100 billion is planned over the next ten years to upgrade transportation systems and establish multimodal logistics facilities serving the economic prosperity. Such challenges offer vast opportunities for

integrated logistics services and open the new era of innovative transport systems and products. With its massive infrastruc-ture investments and economic change the Kingdom is preparing grounds for growth in logistics industry to cope with the country’s rapid development pace.

International best practice shows that solid long-term transport strategies provide guidance for complex industrial and urban developments. They secure a matchof logistics capabilities with futurerequirements of economic sectors and society. Logistics strategies entail optimized development of infrastructure, advanced multimodal solutions, creation of network of logistics centers and hubs in major economic regions, coupled with trade facilitation measures, institutional capacity, training and sustainabledevelopment.

For more than fifty years in international business, Dornier Consulting has actively

supported public and private Clients in the development of comprehensive logistics strategies and implemented multimodal supply chain concepts for national and international transport corridors. Dornier Consulting since many yearshas a strong presence in Saudi Arabia, being located close to its customers and supporting them in successfulimplementation of projects in mobility, logistics, environment and water sectors. The experience record of DornierConsulting in Saudi Arabia covers a wide range of logistics projects ranging from strategies and concepts to implementation support.

Dornier Consulting has supported over decades the development of nationwide transport and logistics policies in Saudi Arabia. The advisory services were rendered on such projects as preparation of National Transport Plan,where Dornier Consulting contributed to

components on public transport and freight modelling. This work advanced in preparing sustainable concepts forfinancing, privatization, security, trade facilitation and logistics for the National Transport Strategy, implemented together with GIZ for the Ministry of Transport.

Logistics business cases includingdevelopment of infrastructure, transporta-tion and services were a focal point of Dornier Consulting work on Prince Abdulaziz Bin Mousaed Economic City project. Viable business concept proposals for logistics hubs, utilization of the dry port and the international airport in supply chains for various industrial sectors were elaborated. The development of such business cases supports the ultimate goal of Saudi Arabia to create functional multimodal networks capable of coping with future industry demands, andproviding efficient and secure logistics between main economic nodes within the country and on international level.

One of the most recent assignmentsof Dornier Consulting realized incooperation with GIZ- is the development

of the “Saudi Railway Master Plan 2010-2040”. This strategic plan and implementation program is extremely important for the development of multimodal logistics solutions in Saudi Arabia, which respond to current and future demand of society and economy.

The future railway network will provide for building linkages between economic and industrial cities within Saudi Arabia, and with neighboring countries. Freight rail corridors of prior importance for logistics network development, aiming to connect major hubs and economic centers entail the Saudi Railway Land Bridge, the North-South mineral line, as well as linkages to the overall GCC railway network.

On the national level, these corridors together with the interurban road network build the backbone for intermodalconnections between Saudi economic cities and industrial areas. Beinginteroperable with other modes and connected to regional railway networks these routes will play a significant role in intraregional and international logistics.

Railway is deemed to play an important role in efficient functioning of future network of multimodal terminals with railway, road and port connections. Creation of port hubs with railwayconnection, multimodal logistics centers and dry ports is a vital element for modern logistics and efficient transport chains in Saudi Arabia.

The logistics and mobility challengesof urban life were addressed byDornier Consulting in such projects as “Development of The Olayya – Bath’ha Corridor in the city of Riyadh” or “Trans-port Master Plan for King Abdullah Financial District”.

Dornier Consulting also supports its customers in strengthening their own institutional and technical capacity required to lead and sustain the process of change, and establishment of global logistics hubs in Saudi Arabia with advanced multimodal transport and trade facilitation solutions. Dornier Consulting is firmly established in Saudi Arabiaand is ready to offer its expertise and commitments to develop efficient and sustainable multimodal, integrated logistics infrastructure and systems for the Kingdom.

Dornier ConsultingIntegrated Logistics Systemsfor the Kingdom of Saudi Arabia

www.dornier-consulting.comPlatz vor dem Neuen Tor 2 - 10115Berlin – GermanyTel. +49 30 253991-0 [email protected]

P.O. BOX 2730, Riyadh 11461Saudi [email protected]

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We drive progress

Whether it’s scorching heat in Saudi Arabia, biting cold and permafrost in Siberia, maximum heavy-haul loads in the USA, high-speed in China, or the Green Track in German urban transit: RAIL.ONE offers the optimal sleeper and track solution for any requirement, regard-less of how extreme the challenge. The basis here is know-how gained throughout more than 100 years of technological leadership and resulting from systematic further development of railway track systems for the application and challenges of our individual customers.

“To each customer his own sleeper”

In the age of individualization, RAIL.ONE as the leading provider of concrete sleepers and track systems has developed a strategy that focuses on individual customer requirements and general project constraints in allapplication areas. This concentration of effort is possible as the result of an extensive portfolio of technologically mature products that can be simply matched to special challenges – and on the basis of customer-oriented organization of the entire corporate structure. Together

with its customers, RAIL.ONE defines the requirements placed on sleeper designs, specifies the necessary prestressing and strength of the concrete sleeper body, and adapts sleeper geometry to the conditions of the application environment: for example, sand drifts in desert regions.

RAIL.ONE specifies its concrete technol-ogy on the basis of existing constraints, in accordance with the expected operational loads and environmental influences. The design of the production facilities themselves is likewise oriented to the individual requirements placed. Insofar as possible, production and administrative

facilities are set up directly onsite, in order to achieve as great manufacturing depth as feasible. In these efforts, RAIL.ONE is the only sleeper production-plant planner and builder with four specific sleeper-production processes and factory types. It can accordingly match the performance and the manufacturing processes of these plants exactly to the requested output. This enables RAIL.ONE to optimize products and track systems flexibly to suit individual circumstances – thereby achiev-ing extended service life and reduced life-cycle costs for its customers. The intelligent logistics concepts and the widely distributed location of RAIL.ONE production facilities assure short delivery distances and lowering of overall costs and resource consumption.

For every application, the right track

RAIL.ONE offers its customers the entire spectrum of track systems for passenger,

freight, and heavy-haul transport: from sleepers for ballasted tracks all the way to the special RHEDA 2000® ballastless-track solution. The systems require little maintenance over the decades. They offer stable track positioning and excellent ride comfort – also with the highest of train speeds and extreme loading. The basic principle for RAIL.ONE here is its commitment to top priority for quality. RAIL.ONE has been closely allied with the railway market for more than 100 years. Expertise gained over many years of experience and readiness for full commit-ment onsite constitute the foundation for RAIL.ONE’s unique position with respect to quality of products. It’s not just by chance that RAIL.ONE has been a Q1 Supplier of Deutsche Bahn AG for years now. The certified quality of its products as well as long years of know-how are linked with eagerness for innovation and with consistent customer orientation. In addition, these key factors are solidly based on extensive international placement of

activities. The harmonious interaction of these factors has enabled us to achieve a standard that justifies our own seal of quality: “Engineered by RAIL.ONE.”

Contact:RAIL.ONE GmbH Ingolstaedter Strasse 51 D-92318 NeumarktGermany

Tel +49 9181 8952-250Fax +49 9181 8952-5050 [email protected] www.railone.com

RAIL.ONE

For each customer, RAIL.ONE develops tailored sleeper and railtracksolutions with the seal of quality “Engineered by RAIL.ONE.”

AHK Services AHK Services

Small and medium-sized companies are particularly supported by experienced partners to enter foreign markets. The AHK’s Service Brand DEinternational is present in all 120 offices of the German Chamber Network abroad. According to the services of DEinterantional, AHK Saudi Arabia offers German companies services to assist them in the market entry and Saudicompanies to get in touch with German businessmen. Important sectors like health care, infrastructure, construction,petrochemicals, metallurgical mills and plants, food industry as well as energy related topics are covered by one of our employees, who are specialized in these fields.

Market Entry

1. Individual Market AdviceThe individual market advice is our most successful service. In a close dialogue with German companies and on the basis of the documents and product samples they provide, we identify business and product specific advantages on the Saudi market and analyze their market opportunities.

2. Business Partner SearchWithin the context of the business partner search we take on the search for the right and appropriate business partners.

3. Address ResearchThe AHK Saudi Arabia offers a verified research of sectoral and address information to simplify the establishment of contacts with Saudi companies.

4. Direct Mailing ServicesWe offer you individual support in the search for interested business partners and we will take care of establishing initial contacts.

5. Business-TripsAHK Saudi Arabia offers German companies the possibility to take part in business trips of different industrial sectors to Saudi Arabia. During 3 to 4 days stay in Saudi Arabia the aim of these business trips is to give a first impression of the country and the market and to make first contact with Saudi businessmen. The main focus of an AHK-business trip lies on business to business meetings (B2B). Saudi businessmen who are interested in coopera-tion with German companies are cordially invited to contact us.

6. Catalogue Show - ExhibitionAHK Saudi Arabia and Yemen presents German companies in the most important trade- and industrial centers in Saudi Arabia. Saudi companies have the unique opportunity to see a wide range of high quality products “Made in Germany” at one spot. The

Catalogue Show is usually combined with the German breakfast. Traditionally high ranking representatives of Saudi and German economy attend the breakfast and enjoy Germany’s delicious food and beverages.

Market Information

Knowledge about the Saudi Arabian market and characteristics of its society and culture are essential for a successful market entry. Regarding this, AHK Saudi Arabia offers Quick Market Checks and Market Surveys.

In cooperation with our partner Germany Trade & Invest, we also help Saudicompanies, who are interested in business in Germany.

1. Legal Information

In order to enter a market successfully, the legal aspects should be considered carefully. For this reason it is our pleasure to provide German companies with the needed legal services in diverse business-related aspects reaching from customs and taxes to investment, import and export regulation, etc.

Services of AHK Saudi Arabia

Legal Informationand Support

56 57



In addition, we offer extrajudicial mediation and offer our help when contacts to public authorities and/or law firms are required.

2. Health Treatment in Germany

AHK Saudi Arabia assists Saudi Arabian patients who wish to make use of health treatment in Germany.

3. Debt Collection

Long experiences with debt collection show that extrajudicial proceedings offer faster and more promising solutions than courtproceedings by civil law. AHK Saudi Arabia's experts with long term experience in the country can also help you to dissolve and avoid misunderstandings due to different perceptions of trade and business caused by cultural differences or customs. Sustainable damage of long year business partnerships can easily be avoided by the debt collection through AHK Saudi Arabia.

4. Mediation

AHK Saudi Arabia acts as a mediator in cases of commercial disputes between the German and the Saudi business partner. Our objective is to solve disputes without harming the long term business relations.

5. Visa Service

To help Saudi companies and businessmen with the visa application process we offerto provide exhibitors and visitors totrade fairs in Germany with a letter of recommendation to the German consulate/embassy. AHK Saudi Arabia assists German companies and businessmen in visa issues. We support business travelers who stay temporarily in the Kingdom in offering to act as the sponsor during their stay. AHK Saudi Arabia requests the socalled E-Number at the Ministry of Foreign Affairs and is the responsible institution during the time of the visit.

6. Translation Services

We offer translations of letters, documents, company profiles etc. in the following languages:

• German <> Arabic • German <> English

We also offer interpreting-servicesGerman <> Arabic during AHK-Events and delegations.

Trade Fair Services

AHK Saudi Arabia is the officialrepresentative of the Deutsche Messe AG, Messe Munich, Messe Berlin GmbH, and Spielwarenmesse eG in our region. Exclusively for Saudi and Yemeni clients we offer a wide range of services as we take care of their preparation for trade fairparticipation as an exhibitor or visitor. These services includes selecting the suitable trade fair, according to their company profile, preparation of the application form, booth rental, etc. for exhibitors. For visitors, we are providing the admission ticket, issuing the recommendation letter for the visa process, providing info on visa application, flight and hotel booking, etc.

For further information to the services of AHK Saudi Arabia please contact:

Your service provider for sustainable businessdevelopment with one of the world’s largest economies

German-Saudi Arabian LiaisonOffice for Economic Affairs (GESALO)P.O. Box 61965, Riyadh 11575,Kingdom of Saudi ArabiaTel.: 00966 11 4050201Fax: 00966 11 4031232, Email: [email protected]

AHK Saudi ArabiaAHK Saudi Arabia

5958

Andreas HergenrötherDelegate of the German Economyfor Saudi Arabia and Yemen

[email protected].: + 966 (0) 11 405 02 01

Benjamin GodelDeputy Delegate of the GermanEconomy for Saudi Arabia and Yemen

[email protected].: + 966 (0) 11 405 02 01 Ext.115

Legal Affairs

Omar Hassan HamzaAssistant Delegate& Head of Legal Affairs,

[email protected].: +966 (0) 11 405 02 01 Ext. 106

Christian EngelsLegal Affairs

[email protected] Tel.: +966 (0) 11 405 02 01 Ext. 107

Trade Fairs

Al-Ameen Al-DalaliHead of Trade Fairand Export Promotion


Asif Iqbal AnsariTrade Fair Officer / Trade FairCoordinator for Visitors

[email protected].: + 966 (0) 11 405 02 01 Ext. 112

Management

Mohammed FaleelHead of Business Promotion &Business to Business Affairs


Stefan WeilerDEinternational Consultant


Tareq QamhanIntermediation of Health Services


DEinternational



Your contact personsat AHK Saudi Arabia

Your contact personsat AHK Saudi Arabia

Public Relations & IT

Accountancy

At your Service

Christian EngelsHead of Public Relations


Mohammed KhusroAccountancy


Farook HameedAddress Research / Front Desk


Mohammed Riyas GulcanMessenger


Mohammed AkbarIT System Administration


Mushtaq AhmedAdministration


Faisal NalpurakkalAdministration / Front Desk


Delegation der Deutschen Wirtschaft für Saudi-Arabien undJemen (AHK Saudi-Arabien)German-Saudi Arabian Liaison Office for Economic Affairs(AHK Saudi Arabia)

Mohammed Aminul IslamFacilities

[email protected].: +966 (0) 11 405 02 01

Futuro Tower, 4th Floor, Al Ma'ather StreetP.O.Box: 61695, Riyadh: 11575Königreich Saudi-Arabien / Kingdom of Saudi ArabiaPhone : 009-6611-4050201 - Fax : 009-6611-4031232Mail: [email protected]: http://saudiarabien.ahk.de/


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