Bahrain's logistics industry boosted by new port development

The newly developed port - which has been dredged to a depth of 15 meters to accommodate any container ship currently in service - will have a capacity of 2.5 million Twenty Foot Equivalent Units (TEUs), two thirds the capacity of Great Britain's Felixstowe.

On top of the excellent transshipment opportunities within the region to countries such as Kuwait and Iraq, the Port will give mother ships direct access into Bahrain from Europe, Asia and North America without having to unload/reload in other ports. The development builds on Bahrain's already strong ability to trade with countries across the world demonstrated by the Kingdom's Free Trade Agreement with the USA.

Bahrain's unparalleled geographical connectivity and regional leadership within the logistics industry are the reasons why DHL's Middle East North Africa chose to base its hub in the Kingdom - all DHL shipments to the Gulf pass through Manama and are distributed across the region from there.

APM Terminals, the world's second largest terminal operator, manage operations at the new Port. Chief Commercial Officer, Iain Rawlinson comments:

"APM Terminals has invested in Bahrain, in recognition of the country's growing importance as a gateway to the flourishing markets of the Upper Gulf. The new Khalifa Bin Salman Port and the Bahrain Logistics Zone offer businesses a highly efficient and cost effective access to the region."

The logistic industry in Bahrain is already thriving, the Kingdom boasts the impressive Bahrain Logistics Zone (BLZ) located adjacent to the port and 13 km from the airport - offering the shortest logistics transfer time to/from sea and air in the Gulf. In July, CEVA Logistics - the world's fourth largest third party logistics firm world - announced their intention to build a 10,000 square metre warehouse in the BLZ with the potential for expansion.

Bahrain's geographical position - just 40 km's away from Saudi Arabia and with excellent links to Qatar and the rest of the Gulf - offers companies that supply oil and gas related equipment excellent market access. The Causeway between Qatar and Bahrain - construction of which will begin in January 2009 - will further enhance Bahrain's connections to the world's third largest gas reserves.

Shaikh Mohammed bin Essa Al-Khalifa, Chief Executive of the Bahrain Economic Development Board commented:

"Bahrain has been the main trading post in the region for millennia. It is exciting that the Kingdom is enhancing its already strong logistics infrastructure with the developments at the Khalifa Bin Salman Port. In today's market which includes very complex supply chains, effective supply chain management is increasingly a way for companies to differentiate themselves to gain a competitive advantage. I believe the infrastructure available in Bahrain will enable companies - like DHL and CEVA Logistics - to compete more effectively in the regional and global market."