His Royal Highness Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince, Deputy Prime Minister, Chairman of the Council of Economic and Development Affairs, and Chairman of the Supreme Committee for Transport and Logistics—may God protect him— today, Tuesday, 19/11/1442 AH, corresponding to 29/6/2021 AD, the National Strategy for Transport and Logistics, which aims to establish the Kingdom as a global logistics hub connecting the three continents, upgrade all transportation services and modes, and enhance integration within the logistics system and modern transportation modes to support the Kingdom’s comprehensive development.
The strategy includes a package of major projects designed to achieve economic and social objectives, and the adoption of effective governance models to strengthen institutional work within the transport system, in line with the renaming of the Ministry from the Ministry of Transport to the Ministry of Transport and Logistics.
His Royal Highness the Crown Prince said: “This strategy will contribute to strengthening human and technical capabilities in the Kingdom’s transport and logistics sector, enhance integration with the global economy, and enable our country to leverage its geographical location at the crossroads of three continents to diversify its economy; by establishing an advanced logistics services industry, building high-quality service systems, and implementing competitive business models to enhance productivity and sustainability in the logistics sector; as a key pillar of the Kingdom’s Vision 2030 programs, and a vital sector enabling economic sectors, with the aim of achieving sustainable development.”
His Highness noted that the strategy focuses on developing infrastructure, launching numerous logistics platforms and zones across the Kingdom, and implementing advanced operating systems, and strengthening effective partnerships between the government and the private sector to achieve four main objectives: enhancing the Kingdom’s position as a global logistics hub, improving the quality of life in Saudi cities, balancing the general budget, and improving the performance of the government apparatus.
He added that the strategy aims to elevate Saudi Arabia to the fifth position globally in air traffic volume, increase the number of international destinations to more than 250, and launch a new national carrier, enabling other sectors such as Hajj, Umrah, and tourism to achieve their national objectives. Furthermore, the strategy will seek to enhance the capabilities of the air cargo sector by doubling its capacity to reach more than 4.5 million tons.
Regarding maritime transport, His Royal Highness the Crown Prince said: The strategy aims to achieve a capacity of over 40 million containers annually, which entails extensive investments in port infrastructure development and enhancing their integration with the Kingdom’s logistics zones, as well as expanding their connections to international shipping routes; so that they integrate with railway and road networks, thereby contributing to improving the efficiency and economics of the transport system.
His Highness explained that the railways provide passenger and freight transport services across a network spanning 5,330 km, including 450 km of the Al-Haramain High-Speed Railway between Makkah and Madinah, which is the largest high-speed transportation project in the region, The strategy will also increase the total length of future railways by an estimated 8,080 km, including the “Land Bridge” project, which spans over 1,300 km and will have a capacity exceeding 3 million passengers, and transport more than 50 million tons of cargo annually, with the aim of connecting the Kingdom’s ports on the Arabian Gulf coast with those on the Red Sea coast, while opening up new and promising opportunities for this line as it passes through modern logistics hubs, economic hubs, industrial cities, and mining operations, and improving the Kingdom’s logistics performance index to rank among the top ten countries globally. This will create an open market for railway operators and investors, thereby encouraging the achievement of an important regional goal: interconnecting with the Arab Gulf states via a railway line; this will give the Kingdom an influential role in regional and international transport economies and position it as a hub for commercial transport.
His Royal Highness the Crown Prince emphasized that the strategy is based on pillars of great importance, including the major road network, which ranks our country first in terms of connectivity globally. and, God willing, the Kingdom will be among the world’s leading nations in terms of road quality and safety, as the strategy includes numerous initiatives aimed at minimizing the number of accident victims; following the best global practices, achieving efficient connectivity, and developing public transportation services in Saudi cities while simultaneously meeting sustainability and environmental conservation targets and reducing fuel consumption by 25%, and providing smart solutions to facilitate passenger mobility between cities and freight transport in accordance with the latest technologies applied globally.
His Highness noted that one of the strategy’s main objectives is to increase the contribution of the transport and logistics sector to the national gross domestic product, while the sector’s current contribution to the Kingdom’s GDP stands at approximately 6%, the strategy aims to increase its contribution to 10% by positioning the transportation and logistics sector at the forefront of supporting the national economy, enabling business growth and expanding investments, and increasing the sector’s annual non-oil revenue to approximately 45 billion riyals by 2030.
In conclusion, His Royal Highness the Crown Prince said: “We are proud of the achievements made under the leadership of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud —may God protect him—and we look forward to moving forward to achieve further leaps befitting our beloved homeland and the leading position it deserves; by intensifying our efforts and achieving further successes; supported by the dedication of an ambitious and highly motivated people, and we have full confidence in our ambitious workforce to achieve national goals in line with the Kingdom’s Vision 2030.”