Sharjah's logistics sector set to grow at 15% over next four years

Sharjah, June 25, 2013 (WAM) - Sharjah's transport and logistics sector is expected to grow BY 15 per cent annually over the next four years, driven by its fast growing sea and air traffic, according to a study released by the Sharjah Investment and Development Authority (Shurooq). "Transport and logistics is a very dynamic market in the Emirate, where the total market size reached Dh3.53 billion in 2012, out of which Dh1.28 billion worth is sea freight and Dh 0.7 billion is air freight, offering rewarding investment opportunities for local and foreign investors," Marwan bin Jassim Al Sarkal, CEO of Shurooq said. The transport and logistics industry consists of two-sub sectors, marine freight and airfreight, which have been experiencing a phenomenal growth due to major expansion plans and development projects. Highlighting Sharjah's promising future, Al Sarkal said, "As a responsible investment Authority with a mandate to stimulate the Emirate's economy, Shurooq is now focusing on expanding Sharjah's logistics infrastructure, taking advantage of the Emirate's strategic location between Europe and the Far East as well as its direct access to the Gulf and the Indian Ocean." "This geographic location has led to a unique integration of land, sea and air links, offering a gateway to 160 countries serving 2 billion consumers, thus offering unbeatable logistical, warehousing and distribution advantages for investors," Al Sarkal remarked. "Capitalising on this perfect location, the transport industry is expected to see a phenomenal growth, powered by the various mega-transport projects that are currently underway, while many others are still in the pipeline," he added. Al Sarkal stated that Sharjah has all the logistical advantages for being a larger player in the logistics market, where traders can take the advantage of cutting freight cost and saving on shipping time. He added that Sharjah's transport and logistics industry is not only on the move, but is doing extremely well, boosted by increasing global and regional trade and high investor demand The Emirate's economy had exhibited strong growth during the period 2002-2009, despite the repercussions of the global financial crisis which hit the world in early 2008, driven by its open-economy polices, incentives, flexible legislation, and the state-of-the art facilities and sophisticated logistics infrastructure, he explained. According to Shurooq's statistics, Sharjah's GDP registered a compound growth rate of 13 per cent between 2002 and 2009, one of the highest in the UAE, while between 2005 and 2009, its GDP per capita increased by 50 per cent. Furthermore, the Emirate of Sharjah is aspiring to establish itself as a leading business hub between three continents by focusing on four key sectors, namely travel and leisure, transport and logistics, healthcare, and the environment. Shurooq was established in 2009 with the aim of achieving social, cultural, environmental and economic development on the basis of Sharjah's distinct Arab and Islamic identity, and to encourage investment by adopting the best international standards in providing quality services that help attract investors from the region and the world. Shurooq's key mission is to provide facilities and incentives to help overcome obstacles facing investment activities in the Emirate, evaluate tourism and investment related infrastructure projects, and lay down the necessary plans to complete such projects. – Emirates News Agency, WAM