• Officials: regulatory and legislative developments to enhance the Kingdom Centre in the logistics services market


    In the workshop "logistics platform"  in Asharqia Chamber yesterday

    Officials: regulatory and legislative developments to enhance the Kingdom Centre in the logistics services  market

    Al Ataishan: No trade or local or global industry can be achieved without professional logistical support

    Al Romaih: 30 of the world containers traffic pass through Saudi ports, with a value of $ 3.9 billion

    Al Amoudi: logistics services is more than 70% of the reluctance of Saudi non oil trade

    Al Hagbani: program applied within 24 hours, in the Red Sea Gateway Terminal and King Abdullah Port


             The Workshop (platform logistics), which was held yesterday Sunday, March 12, 2017  in Asharqia Chamber stressed the importance of the geographical location of the Kingdom to become an excellent position in the Middle East and North Africa from the point of logistics services, depending on the occurrence of the ports on the global trade routes, etc. in the kingdom of developments on the legislative and regulatory levels in the transportation and importing and exporting.
    The workshop  witnessed the participation of His Excellency the  Head of the Public Transport Committee Saudi Railways Organization and Chairman Dr. Rumaih Al Romaih,  His Excellency General Organization of Ports chairman Dr. Nabil Al Amoudi, the Director General of Saudi Customs Ahmed Al Hagbani
    The workshop began with a speech by the Chairman of the Board of Directors of the Chamber Abdulrahman bin Saleh Al Ataishan in which he said: It is out of the critical importance of logistics services, it can not be any trade or domestic industry it was, or global without logistical support professional achievement, launched our government partnership with the private sector over the past years towards expansion the establishment of ports, roads, airports and railways, which would impact positively on the movement of goods and products and to increase investment and employment opportunities in the storage and offloading and so on.
    Continued Al Ataishan saying: in front of what poses the Kingdom's Vision 2030 to accelerate the pace of transforming the kingdom a global center for logistics, the hopes pinned on the completion of these infrastructure and increase even improve in proportion to the objectives set, especially since the promotion and support of the system of logistics systems effective, regulations and system of customs works with high efficiency, would enable the operators of transport system of different types of investment potentials optimally in serving the national economy.
    Al Ataishan  said that this workshop as an opportunity, gathering the public and private sectors and discuss visions and ideas on the development of our services logistics, starting with the development of the ports of the Kingdom plan and highlighted the solutions that will be activated in this regard, through a review of the approach followed by the Customs Department for the support of the services sector logistics, and the role of the public transportation Committee in the development of the sector.
    This workshop also presents the cooperation and communication between Asharqia Chamber on the one hand and the Ministries of Transportation and of Economy and Planning and the General Organization of Ports and Customs Department, within the efforts made by the committees of road transportation, sea transportation, customs in order to motivate and support the business sector, and we hope that we all share and enrich this workshop views and interventions and new ideas.
    Under the headline (About the development of Saudi Arabia logistics sector initiatives) His Excellency the head of the General  Committee of the Saudi Railways Organization and Chairman Dr. Rumaih Al Romaih stressed that the Kingdom occupies an ideal location to become a leading center in the Middle East, North and East Africa, as he Arabian ports are located on the main trade routes, and that the 30% of the container traffic in the world passes by Saudi ports, with a value of $ 3.9 billion, however Kingdom occupies a low ranking in the logistics performance indicators, but witnessed a retract in this regard in the past few years, it occupies the 52 position in 2016 after It was the 37 in 2012 and 49 in 2014, according to World Bank data.
    He added that to achieve the required improvements and excellence in this regard  to improve the transportation sector governance (including public transportation, public Railways Organization, and the Saudi Company for Railways, the General Civil Aviation Committee, the General Organization of Ports, Ministry of Finance, and the Department of Customs) through a number of initiatives underway at each institution of these institutions and Committees, such as the integrated planning of transportation infrastructure, improvement of legislation on services of logistics, and the restructuring and reform and modernize the rail network, and legislative reform and regulatory airports, ports, and other initiatives.
     Al Romaih pointed out that the main public sector bodies have cooperated with each other to identify obstacles and issues that hinder the development of logistics services, which will achieve the success of the initiatives and absolute at all stages of the value chain in the import and export operations.
    The Public Transportation Committee and the General Organization of Railways are committed to supporting the march of the kingdom, launching several initiatives to develop the organizational structure of the transportation sector, and enhances the effectiveness of investment and private sector participation in projects and public transportation services, and adopting the highest safety projects in the public transportation and ensure availability, and the adoption of environmental standards and requirements to reduce the output of the public transportation sector, environmental pollution, and the adoption of modern technologies in the management and regulation and control of the public transport sector .. He said that the body through it expects positive results such as the enhancement of investment and reduce the procedures and ensure transparency and application systems.
    For the General Organization of Railways, Al Romaih stressed the commitment also in this direction through the restructuring of the sector and to provide safety standards, and expansion of the network and the connection between cities and raise the capacity in the dry ports, and provide modern technology to track the movement of goods on trains, and  thus expects to support the logistics sector, and to increase shipping options, and achieve more efficient transportation sector, and ease congestion on the roads

    As for the General Organization of Railways Al Romaih stressed the commitment also  through the restructuring of the sector and to provide safety standards, and expansion of the network and the connection between cities and raising the capacity in the dry port, and provide modern technology to track the movement of goods on trains, and therefore expects to support the logistics sector, and to increase shipping options, and achieve more efficient transportation sector, and ease congestion on the roads and to achieve excellent services to customers.
    HE Ports  Committee chairman Dr. Nabil Al Amoudi has said that ports play a key role in advancing the development of logistics industry in the kingdom, they constitute more than 70% of the reluctance of Saudi Arabia non oil trade, and that there as the country through optimal exploitation of the future the geographical location of the Kingdom, as 12% of the volume of global trade passes the Arabian Gulf, while the Kingdom is located in a strategic location for shipping lines between East and West on the Red Sea.
    He pointed that the ports are working on restructuring and legislative reform of the ports through three axes (regulation, trade, and employment), for the organizational level, the organization has worked on the development of legislation and the creation of more efficient systems, and the development of the labor administration very efficiently, and we expect that the enhanced competitiveness of ports in global markets with high transparency, and on the commercial level institution conducting a  continuous group of commercial contracts, and is working to improve and activate the logistics business in the ports, and to increase private sector participation in the operation and maintenance, and to create an attractive environment for local and international investors, while at the operational level, the institution has launched initiatives to reduce the average the survival of the container and improve the performance of port operations and raise the level of quality and performance in services.
    He explained that the organization handled in the present time the ports community management system program in cooperation with the exchange company in order to streamline operations by improving and automating services that result in raising the level of efficiency and effectiveness of operations and procedures and reduce the time required to terminate the proceedings and increase transparency, dependability and reliability, and reduce cost through raise the level of performance and efficiency.
    Regarding the  program within 24 hours said Director General of the Customs Department in charge of Saudi Arabia, Ahmed Al Hagbani that Saudi Customs program is currently applied in the Red Sea Gateway Terminal and the Port of King Abdullah in Yanbu.
    Al Hagbani said that the program has five dimensions that are the development of the business environment and a redesign of processes, automation, transparency and accountability, and effectiveness of resources, noting that the program aims to reduce the number of required documents for the four documents in English, of some fines and change some renovation, as It aims to modernize the early start to the process of customs clearance and the application of X-rays on the unloading of the ship, and the use of tablet computers for manual testing and provide notification messages cases consignment system through electronic link with the operators and government agencies and stimulate digital trading environment, as well as to identify the performance indicators, and increasing working hours customs and the establishment of a unified rooms for X-ray analysis.

    Al Hagbani also said that the interest is committed to supporting the goals of the ambitious Kingdom for the development of trade and because one of the leading logistics centers by 2020 become pointing to five of Customs contributions, namely: reduce the cost of the average import costs from 1710 riyals per container in 2017 to 1591 riyals in 2020, and reduce the duration of the containers stay in ports ranging from three days at a minimum, 5 days maximum by 2020, and increase the percentage of shipments sincere in 24 hours to reach 80% by 2020, after it was 1% in 2016, in addition to developing and improving the infrastructure of wild outlets, improve tracking and increased transparency .. he explained that to achieve these goals, the Saudi customs in cooperation and coordination with many parties involved in the import and export operations: ports (11 seaports 0.15- 0.14 airports, dry port and a single), and views of conformity: (General Committee for food and medicine, Saudi standards, Metrology and quality, communications and information Technology Committee, ministries "interior, trade and investment, the environment, water, agriculture") and service providers (the exchange company, shippers, operators of terminals in ports, shipping agents), and customers who are exporters and importers.

    In a discussion held on the sidelines of the logistics workshop platform
    Al Romaih: New measures aiming to reduce the phenomenon of the commercial covering up in the public transportation sector

    Al Amoudi: A study to re agents governance system and the system of payment to regulating the work of the agents with the business sector

    Al Hagbani: The Kingdom is keen to conclude agreements (TIR) for facilitating trade and transit between the member countries

    His Excellency the head of the Public Transportation Committee HE Dr. Al Rumaih bin Muhammad Al Rumaih during the discussion was held on the sidelines of a workshop "logistics platform" and headed by Abdullah AL Majdoui that many of the initiatives that will develop the transport sector will find its way to implementation during the coming period, ignoring those initiatives in the locked drawers and pointing to the work of the team associated with the transportation office following the progress of work and the stages of implementation, but pointing periodic following up meetings achievements.
    He explained that the regions of the Kingdom, including a pivotal business and supports the rest of the country also supports the rest of the business and initiatives in this field.
    Al Romaih said that the Committee is working on reducing the phenomenon of commercial covering up in the public transportation sector, pointing several measures added to the previous ones will be on the table in the next period.

    For his part, the Saudi Ports  chairman HE Dr. Nabil bin Muhammed Al Amoudi  talked about the study to restructure the governance system, and the restructuring of its work because of the many comments received from the business sector, which has become a concern for their business, especially with regard to containerized bank security and the security deposit, and solutions raised to be a neutral party either within an organization or a separate work on the organization of business between the business and agents navigation sector, declaring that the method of payment will be automated in the near future and after the service ends, after unloading of the goods from the container, where this service is intended to help achieving transparency.
    And agreements (TIR) ​​for facilitating trade and transit between the member countries and their pivotal impact positively on the Kingdom said Director General of Saudi Customs designate Ahmed Hagbani that the Kingdom is keen on signing such agreements referring to the workshops will be held this month to discuss the regulatory actions that explain the mechanism work in this Convention, which aims to facilitate the system for the business sector.
    Al Hagbani said that the Customs began two weeks ago to look at the list of the work about the new system, which aims to reorganize the customs clearance service for the benefit of the private sector, and benefit from the experiences of the leading States in this field and also benefit from the technical side, to have an added value to the business sector.
    About the certificate of conformity explained Al Hagbani that Customs is working with the Committee of specifications and standards for the development of a mechanism of depending on the certificate of conformity and the relationship so that the work electronically, referring to the start of the electronic link between the Customs and the General Committee for Food and Drug Administration, stressing the continuation of the electronic integration to provide a service worthy customers Customs.
    In conclusion Al Ataishan honored the spokesmen and the member of the board of directors and chairman of the Land Transportation Chamber Bandar Al Jabri, and the head of the discussion Mr. Abdullah Al Majdouie.

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