Saudi Arabia’s Minister of Transport and Logistics Saleh bin al-Jasser has handed over the first 32 logistic licenses for several international and local companies. The small and medium enterprises have investments in the logistic services sector in Saudi Arabia.
This followed al-Jasser inaugurating of the “Logistics License” on Wednesday at the Ministry’s headquarters in Riyadh, which will simplify the procedure of obtaining a license for companies.
The launch of the license aims “to strengthen the Saudi economy in accordance with the Kingdom’s Vision 2030, which includes all transport sectors, air, sea, land and railways, ascending the Kingdom to the top 10 countries in the Logistics Performance Index by 2030.”
It also aims to develop more than 60 logistic zones to support exports, e-commerce and re-exports, and to also encourage trade through land ports, the growth of re-export revenues from 42 billion riyals ($11.2 billion) to 520 billion riyals ($138.65 billion), export growth from 185 billion riyals ($49.33 billion) to 507 billion riyals ($135.18 billion), and the expansion of the e-commerce sector from 6 percent to 23 percent.
The logistic license offers holders several advantages, including simplified procedures for companies obtaining the license in the sector.
The license also aims to develop and raise the logistic performance index through the services provided, improve work in the sector and take advantage of promising investment opportunities that enhance the local economy and its connection to the international market, and consolidating the Kingdom’s strategic position among the rest of the countries as a global logistical center for trade and economic movement.
The Ministry will “integrate a number of different activities into one activity with the unified license for logistics services, where the tasks of the license will be based on the brokerage of land, air, and sea freight.”
