This illustration shows the Logistics Zone of King Salman Energy Park. (PHOTO PROVIDED TO CHINA DAILY)

Saudi Arabia is giving its eastern province a big boost on the world map after the King Salman Energy Park (SPARK) announced that its Logistics Zone will begin operations next year.

The zone is among the many headline-grabbing projects that the Gulf powerhouse has introduced in recent years, as part of its grand Saudi Vision 2030 aimed at transforming its oil-dependent economy.

Once it is fully operational, the zone is expected to handle up to 10 million tons of cargo utilizing fully automated rubber-tyred gantry cranes and gates, along with noninvasive scanning equipment to expedite cargo clearance

The Logistics Zone, which will feature the first and largest private dry port in the Middle East, on-site customs clearance services and bonded warehouses, will be operated and maintained by SPARK Logistics, a joint venture between SPARK and Hong Kong global ports operator Hutchison Ports.

It will serve as a gateway for the regional energy sector, ease global market access and enable businesses to seize the growing demand for energy-related products.

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Once it is fully operational, the zone is expected to handle up to 10 million tons of cargo utilizing fully automated rubber-tyred gantry cranes and gates, along with noninvasive scanning equipment to expedite cargo clearance.

Inaugurated by Saudi Crown Prince Mohammed bin Salman, in 2018, SPARK is a 50- square-kilometer energy city mega-project that aims to unite about 300 industrial and service facilities, which will position Saudi Arabia as a global energy, industrial and technology hub.

In a press release on Aug 29, Saif Al Qahtani, president and CEO of SPARK, said that the establishment of the Logistics Zone marks an important milestone for SPARK as they work toward building an integrated world-class ecosystem for investors and tenants, aiming to attract significant investment and opportunities.

He said the zone advances Saudi Arabia’s commitment to building a leading industrial ecosystem that connects the world to opportunities in the Saudi energy sector and beyond.

Prior to the SPARK announcement, Saudi Crown Prince Mohammed, who is also chairman of the Supreme Committee for Transport and Logistics, unveiled the Master Plan for Logistics Centers on Aug 27.

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Under the plan, Saudi Arabia will construct 59 logistics centers with a total area of more than 100 million square meters. They include 12 in the Riyadh Region, 12 in Makkah Region, 17 in the Eastern Region, and 18 distributed in the rest of the kingdom.

Currently, there are 21 centers being worked on and all are expected to be completed by 2030, according to the Saudi Press Agency.

It added that the centers will enable local industries to export Saudi products with high efficiency, support e-commerce by facilitating a rapid link between logistics and distribution centers in the kingdom’s various regions, cities and governorates.

The centers will also provide high traceability and facilitate the issuance of licenses to promote logistic activity. This follows the launch of a unified logistics license and the licensing of more than 1,500 local, regional and international logistics companies, and the launch of the Fasah initiative, an e-system integrated in Saudi customs, in cooperation with the relevant government agencies.

Saudi Arabia’s logistics sector has been growing in recent years, with the current volume of investment reaching $559 million, according to the Arab News in April.

Saudi Arabia’s Ministry of Transport & Logistics Services has laid out an ambitious strategy to expand the logistic sector’s market size to $15.31 billion by 2030 and position it as a global logistics hub.