Ports grant PIL maritime agency license to boost the logistics sector
In a move reflecting the rapid development of the logistics sector in Saudi Arabia, the Saudi Ports Authority (Mawani) a unified license to Singapore-based global shipping line PIL to operate maritime agencies within the Kingdom's ports. This decision, made in PIL's capacity as an approved foreign investor, underscores the attractiveness of the Saudi investment environment for major international companies.
Enhancing operational efficiency and knowledge transfer
This license is granted based on the updated regulations and requirements in the Maritime Agents Regulations, which primarily aim to raise the quality standards of services provided to ships and cargo. Through these partnerships, "Mawani" seeks to attract established international expertise and transfer technical and administrative knowledge to national talent, in line with international best practices in the maritime transport industry.
PIL is one of the world's largest container shipping companies, with an extensive network connecting Asia, Africa, the Middle East, and South America. Its direct presence in the Saudi market represents a significant addition to the supply chain, enhancing the competitiveness of Saudi ports and their ability to handle larger volumes efficiently.
Alignment with the Kingdom's Vision 2030
This step aligns with the objectives of the National Transport and Logistics Strategy, stemming from the Kingdom's Vision 2030 , which aims to solidify the Kingdom's position as a global logistics hub connecting three continents (Asia, Africa, and Europe). By enabling global companies like PIL to operate directly, the Kingdom is opening its doors to increased foreign direct investment in maritime infrastructure.
The company currently operates from its regional headquarters in Riyadh, managing operations across 29 countries, highlighting the Kingdom's pivotal role as a regional logistics hub. This license is expected to reduce operational costs and expedite customs clearance and handling procedures, positively impacting Saudi Arabia's import and export activity.
An attractive and sustainable investment environment
The Saudi Ports Authority (Mawani) continues its efforts to develop the legislative and regulatory environment, with its regulations allowing foreign companies full ownership in maritime agency activities. The PIL license is part of a series of licenses recently granted to major shipping lines, reflecting the Authority's commitment to building a sustainable and advanced maritime sector that supports non-oil economic growth and strengthens the Kingdom's presence on the global trade map.
