Manama, November 18 (BNA) Minister of Transport and Communications Kamal bin Ahmed Mohammed revealed the details of the logistics sector strategy in Bahrain as part of the Kingdom’s comprehensive economic recovery plan.
The strategy is designed to take advantage of Bahrain’s strategic geographic location, while raising logistical capabilities across several services and expanding its offerings to make Bahrain one of the top 20 global destinations for logistics services by 2030.
Speaking at a press conference to explore the strategy, the minister, along with Head of Customs Sheikh Ahmed bin Ahmed Al Khalifa, detailed the main objectives of the strategy and the ongoing efforts to increase the logistics sector’s contribution to the GDP for 2030, to 10%.
The minister explained that the continuous development of the logistics sector is closely in line with Bahrain’s Economic Vision 2030, noting that it represents a priority sector for the government of Bahrain due to the important role it plays in attracting investments and creating job opportunities for citizens.
He highlighted the strength of the Kingdom’s logistical infrastructure, stressing that it serves as a strong foundation to build upon in pursuit of this ambitious strategy.
He added that the strategic objectives of this strategy are based on clear indicators to be achieved by 2030, which include reaching an air cargo capacity of one million metric tons, reaching a cargo capacity of one million containers, and increasing the number of airlines’ destinations to more than 70 destinations. .
In discussing the main pillars of the strategy, the minister stressed that it is based on several strategic initiatives that focus on reviewing laws and regulations, developing infrastructure facilities, strengthening policies and procedures, providing incentives to investors, and enhancing investment opportunities, while enhancing regional and international participation.
The Minister touched on the growth strategy of Bahrain International Airport, pointing out that the Ministry of Transport and Communications has adopted a multi-faceted plan based on building a new air cargo area with an area of 25,000 square meters, allowing to receive larger quantities of goods up to 1.3. million tons annually.
This includes upgraded warehouses, aircraft parking lots and advanced infrastructure, he added.
This will support the government’s economic recovery plan and its ambitious goals by transforming the logistics and air freight sector into one of the most important active economic sectors in the Kingdom.
The minister explained that the new air cargo area is located north of the runway at Bahrain International Airport and will double the airport’s capacity to accommodate large flows and cargo volumes.
The Minister also spoke about signing a 10-year contract with Fedex Express to operate an area of 9,000 square meters, emphasizing efforts to strengthen DHL’s presence in Bahrain by expanding and increasing its facilities at Bahrain International Airport. .
The Minister talked about the role of Khalifa Bin Salman Port in providing logistics services, taking advantage of its strategic location in the Salman Industrial Area, only 13 kilometers from Bahrain International Airport, allowing easy access to the Kingdom of Saudi Arabia via the King Fahd Causeway, at a distance of no more than 30 km.
He pointed out that the port was built on an area of 110 hectares reclaimed and includes a berth of 1,800 meters in length and includes a container terminal on an area of 900 square meters.
Four gantry cranes are used in the port that can handle container ships with a width of 61 meters, as well as facilities for handling and storing general cargo, ro-ro and passenger ships.
He added that Khalifa bin Salman Port is also preferred for its strategic location in the middle of the Arabian Gulf region, the deep-water berths it embraces, and the entry channel to receive the new generation of giant container ships.
Another advantage is the availability of direct landlines to Saudi Arabia and the Arab Gulf states, which has made it a major regional center for the distribution of trade in the region.
Kamal Ahmed added that ABM Terminals – the leading port operator – operates, manages and develops the port under the supervision and control of Ports and Maritime Affairs, in accordance with the concession contract concluded between the Government of Bahrain and the operating company.
On the port’s digital transformation, the minister indicated that the Vessel Traffic Management System (VTMS) was replaced with a new and advanced system that increases efficiency and enhances accuracy to ensure the safety of maritime navigation.
This was compounded by the launch of the CSMI electronic platform for pre-arrival detection of ships and the utilization of all the resources needed for berthing at the port, in addition to the launch of the LIFT electronic platform, which allows customers to pre-book and pay for the receipt of incoming containers.
Turning to the operational efficiency at Khalifa Bin Salman Port, the minister pointed out the main features that distinguish the services it provides, noting that trucks only take less than 30 minutes to complete their services at container terminals.
He added that the productivity of bridge cranes increased to 37 containers per hour, while the productivity of quay containers increased to 67 containers per hour.
The minister said that a new package of services has been launched for importers, including a special road for trucks for refrigerated containers.
He referred to the recent launch of the world’s fastest global air-sea logistics center in the region, which confirms Bahrain’s strategic location midway between European and Asian markets in addition to its proximity to target regional markets.
He pointed out that the establishment of the most efficient sea-air freight center in the region with a global reach, will play a major role in achieving our goals for the logistics sector. Kamal Ahmed explained that the global logistics hub from sea to air can lead to a 40% cost savings compared to air freight only and 50% faster than pure sea freight, with a response time of only two hours for all containers.
He explained the global interest in this service, and confirmed that a number of countries have been classified as a reliable and certified shipper, the last of which is Brazil.
The President of Customs spoke about the role that Customs Affairs plays in enhancing government efforts to develop the logistics sector through a set of work streams, in line with the objectives of the Customs Affairs Strategy 2021-2024.
He stressed that Bahrain has succeeded in protecting the health and economic security of society from the repercussions of the global spread of the Corona virus, and is now on the path to achieving economic recovery through a forward-looking plan with clear goals.
As part of the logistics sector strategy, Sheikh Ahmed shared the details of a truck management system project that solves the problem of preventing traffic congestion, reducing waiting time, and increasing port control.
He pointed out that this project allowed both importers and exporters to facilitate the movement of trucks in the port, by booking an appointment in advance through the “Fasah” platform of the Saudi Tadawul Company, improving operational efficiency and facilitating customs procedures at the port.
Sheikh Ahmed added that work is underway to link the “Ofoq” system with the “Fasah” platform in order to regulate and control the flow of trucks coming from the Kingdom of Bahrain to the Kingdom of Saudi Arabia.
In this regard, he said that the Fasah platform is linked to the smart vehicle plate reader system for entry and exit and provides several statistical reports to measure performance indicators.
He explained that activating the truck schedule management system will support the facilitation of trade between the Kingdom of Bahrain and the Kingdom of Saudi Arabia, and will achieve many goals related to the ease of movement of goods and speeding up the provision of services.
The President of Customs stressed that the “Ofuk 2” system is among the many digital transformation initiatives adopted by Customs Affairs.
These initiatives enable the regulatory authorities to prepare statistics and performance indicators and link them to modern radiology systems and electronic gates in ports, in addition to using the best smart solutions and artificial intelligence applications such as Blockchain technology, to achieve electronic and data integration. He said the exchange facilitates an effective “port community”.
Speaking about the progress of “Ofuk 2”, Sheikh Ahmed added that he had just signed a contract with Singaporean firm CrimsonLogic for this purpose, and indicated that this new partnership would see broader developments in the efficiency of the system and its further alignment with international. Best practices, as part of the logistics sector strategy.
New developments will introduce “Blockchain” technology that enhances the accuracy of digital customs transactions, maintains their confidentiality, and reduces human intervention.
Ofoq 2 is characterized by an advanced risk system that works on different customs data, an electronic portal that includes services related to beneficiaries, a data model for processing marine and air data according to the nature of transport, in addition to the ability to add the system to cloud computing services.
To this point, he affirmed the commitment of the customs affairs to provide the best solutions and services and to adopt the most effective practices, through the consolidation of partnership with all parties concerned with the customs process.
Ofouk 2 will play a central role in achieving electronic integration through the exchange of data between electronic systems operating within customs, and providing all related electronic services, including to companies operating in ports, ship and shipping agents, cargo owners and various entities. .
Sheikh Ahmed explained that “Ofuk 2” includes specialized programs that include the customs value system, the customs exemption system, the customs restrictions system, and the risk system.
He pointed out that nine service level agreements were signed between Customs Affairs and a number of different regulatory authorities, in addition to six agreements signed with express transport companies, to provide fast and distinguished services to customers.