{"id":78443,"date":"2024-05-09T00:00:00","date_gmt":"2024-05-09T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/logistics\/2024\/05\/09\/today-uae-approves-aed-16-8-bn-transport-strategy-adnoc-ls-has-a-good-1q\/"},"modified":"2024-05-09T00:00:00","modified_gmt":"2024-05-09T00:00:00","slug":"today-uae-approves-aed-16-8-bn-transport-strategy-adnoc-ls-has-a-good-1q","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/logistics\/2024\/05\/09\/today-uae-approves-aed-16-8-bn-transport-strategy-adnoc-ls-has-a-good-1q\/","title":{"rendered":"TODAY: UAE approves AED 16.8 bn transport strategy + Adnoc L&S has a good 1Q"},"content":{"rendered":"

Good morning, ladies and gents. <\/strong>The news cycle remains slow as the week comes to an end, but we have the latest PMI readings from Egypt and Lebanon and a few key updates emerging from the UAE and beyond to delve into.<\/p>\n

WATCH THIS SPACE-<\/p>\n

<\/a>#1- The UAE has a new AED 16.8 bn transport strategy: <\/strong>Dubai\u2019s Executive Council approved a transport strategy yesterday that aims to nearly double the contribution of logistics and transport to the emirate\u2019s economy to AED 16.8 bn, Wam<\/a> reports. The strategy will also aim to increase tech adoption in infrastructure by 75%, reduce carbon emissions in the sector by 30%, and improve operational efficiency by 10%.<\/p>\n

\u2026and reduced traffic flows? <\/strong>The council also approved a plan to reduce traffic in the emirate by increasing public bus routes \u2014 improving trip times by 59% \u2014 and expanding remote work policies, as well as encouraging students to use school transport. <\/p>\n

ALSO- <\/strong>The council approved a strategy aiming to increase Dubai\u2019s data capacity fivefold, boosting \u201cvalue addition\u201d by AED 14.3 bn annually, Wam writes.<\/p>\n

<\/a>#2- <\/strong>DP World boosts its warehouse facilities in India<\/strong>:<\/strong> UAE-based logistics giant DP World is expanding operations at its Integrated Chennai Business Park (ICBP), Indian news outlets Business Line<\/a> and Times of India<\/a> report citing interviews with ICBP\u2019s VP Ranjit Ray. The extent to which the firm is expanding capacity is unclear, with Ray telling the Times of India DP World seeks to add 1 mn sqft of warehousing capacity in the second phase of expansions between 2027 and 2028. <\/p>\n

What we know:<\/strong> The facility adjoins several logistics hubs, including Kattupalli Port, Ennore Port, and Chennai Port, Business Line said. ICBP currently handles cargoes from the auto, EV, electronic, FMCG, and engineering sectors, and intends to expand into pharma, windmills, and the defense sectors, the Times of India added. Response for comment and clarification from DP World were not received at the time for dispatch. <\/p>\n

#3- <\/strong>Egypt is<\/strong> set to greenlight new guidelines for private freezones in the coming days and is <\/strong>mulling over requests for three new private zones<\/strong>, <\/strong>AlSharq Business<\/a> reports, citing a source it says has knowledge of the matter. Egyptian real estate developers Al Ahly Sabbour and Redcon have reportedly submitted proposals for two of the freezones, which would be located in New Cairo. A request for a third private freezone by an unnamed developer is up for review in Sharm El Sheikh, the source added.<\/p>\n

#4- More air travel options from Saudi to Belarus forthcoming:<\/strong> The General Authority of Civil Aviation is in the process of formalizing a bilateral agreement with the Belarusian Transport and Communications Ministry to boost air transport services between the two countries, the authority said on X<\/a>. No further information was provided. <\/p>\n

<\/a>#5- Another <\/strong>Boeing incident in Turkey: <\/strong>A Boeing 767 freighter operated by FedEx Airlines landed at Istanbul airport yesterday without its front landing gear, Reuters<\/a> reports. Turkey\u2019s Transport Ministry has launched a probe into the incident which caused no injuries, while FedEx said that it was working with authorities and would \u201cprovide additional information as it is available,\u201d the newswire writes. A runway at Istanbul Airport was closed following the incident, while operations continued via other runways, airport operator IGA said. Despite aircraft makers not usually being responsible for aircraft upkeep after they have been delivered to an operator, the latest incident comes following a slew of close calls for Boeing-manufactured aircraft.<\/p>\n

#6- The <\/strong>Greek navy extended its advisory aimed at deterring Russian oil <\/strong>ship-to-ship <\/strong>transfers after<\/strong> a previous notice was set to expire today<\/strong>, Reuters<\/a> reports. The move bans ship movements southeast of the Peloponnese, with waters to the south of Greece and the Laconian Gulf recently emerging as a hotspot for Russian offshore ship-to-ship transfers, a common tactic applied by traders to dodge sanctions, the newswire said. \u201cThe NAVTEX advisory is an indirect way to prevent such activities,\u201d a source with knowledge of the matter told Reuters. <\/p>\n

BACKGROUND-<\/strong> The EU proposed restrictions<\/a> earlier this week on 11 Russian vessels \u2014 including four fuel tankers, two crude tankers, and two gas-storage units \u2014 active in financing Russia\u2019s war in Ukraine. The sanctions, if approved by member states, would ban the vessels from accessing EU ports and anchorage zones and bar them from using European companies for various operational services.<\/p>\n

DISRUPTION WATCH- <\/p>\n

R<\/strong>epairs to submarine internet cables damaged in the Red Sea<\/strong> are being held up <\/strong>by disputes on who controls access to infrastructure in Yemen\u2019s waters<\/strong>, <\/strong>Bloomberg<\/a> reports citing documents it has seen. The Yemeni government has granted permits to repair two of three damaged cables, Seacom and EIG, while withholding permission to repair the AAE-1 cable due to disputes surrounding one of the cable\u2019s operators, TeleYemen. TeleYemen has a branch in Aden, the capital of Yemen\u2019s internationally recognized government, with another in Sanaa, capital of Houthi-controlled Yemen. Aden\u2019s government has refused to collaborate with TeleYemen\u2019s Sanaa-based representatives, leading it to turn down a permit for repairs to AAE-1, Bloomberg said.<\/p>\n

REMEMBER-<\/strong> The three severed<\/a> internet cables carry large volumes of internet traffic which has since been rerouted. Earlier reports identified the sunken Rubymar\u2019s anchor<\/a> as the most likely cause behind the cables\u2019 damage. <\/p>\n

MARKET WATCH- <\/p>\n

#1- <\/strong>Oil prices rose in early trading this morning<\/strong> on hopes the Fed will slash interest rates by the end of the year<\/strong>, <\/strong>Reuters<\/a> reports. Brent crude futures for July rose USD 0.23 to USD 83.81 a barrel by 00.33 GMT, while US West Texas Intermediate (WTI) crude for June was up USD 0.29 to USD 79.28 a barrel, the newswire said. Crude inventories dropped last week by 1.4 mn barrels to 459.5 mn barrels, according to the US Energy Information Administration (EIA).<\/p>\n

World oil demand in 2024 is forecasted to increase at a slower pace than <\/strong>previously anticipated while oil output will continue to grow faster than expected<\/strong>, Reuters<\/a> reports, citing EIA statements released earlier this week. A faster than expected ramp up in production in non-OPEC producers and lower projections for demand from developed countries drove the change in forecasts. The agency has notched down its consumption growth forecast for this year from 950k bpd to 920k bpd, placing yearly demand at some 102.84 mn bpd. Meanwhile, production is expected to boost 970k bpd to 102.76 mn bpd, up from the EIA\u2019s previous forecast of a 850k bpd increase in production this year. <\/p>\n

The adjustment drives down previous EIA forecasts for oil prices,<\/strong> with Brent crude now set to average at USD 90 a barrel and USD 88.67 a barrel for 2024\u2019s third and fourth quarters, slightly above previous forecasts of USD 91 and USD 89, Reuters says.<\/p>\n

#2- <\/strong>Baltic index surges to six-week peak: <\/strong>The Baltic Exchange's dry bulk sea freight index \u2014 which tracks rates for the capesize, panamax, and supramax vessel segments \u2014 was up 11.03%, to 2,083 points on Tuesday, reaching a six-week high, as the index was buoyed by gains in larger segments, Reuters<\/a> reports. The capesize subindex rose to 21.2%, to 3,239 points, while panamex increased 3.5%, to 1,949 points. The smaller supramax segment gained 3 points to 1,461, the newswire said. <\/p>\n

#3- Multipurpose vessels (MPV), including larger project carriers, show a profound fall <\/strong>in the number of Suez and Panama canal transits<\/strong>, <\/strong>Drewry<\/a> reports. Demand for project carriers remains strong, which along with longer routes has driven a slight increase in charter rates. Strong demand for MPVs is expected next year, implying a tighter market particularly if disruptions continue. At the same time orders for newbuild MPVs are small and capacity utilization is high, Drewry also said. <\/p>\n

DATA POINT- <\/p>\n

The Qatari port authority (Mwani) handled 1.3 mn TEUs in 2023<\/strong>, <\/strong>according to an<\/a>annual report (pdf)<\/a>. The Qatari port operators also processed 929k freight tons of bulk cargo, 1.37 mn freight tons of general cargo, 81k roro units, and 444k heads of livestock during the period, the report said. 2.3k cargo vessels called at Mwani\u2019s port during the year. <\/p>\n

OUR NEXT CONFERENCE IN CAIRO-<\/p>\n

Foreign investors are falling in love with Egypt again\u2026<\/strong> Foreign investors we speak with (debt, equity, and strategic alike) have growing appetite for Egypt. They\u2019re buying into local debt, eyeing promising shares, and committing bns of USD to both new ventures here and the growth of their existing businesses. They like the Egypt story that\u2019s taking shape after the float of the EGP, and its competitive advantages are clear to many of them: It\u2019s a massive consumer opportunity and a regional export hub of tomorrow.<\/strong><\/p>\n

The Enterprise Optimism Forum 2024 will do exactly what it says on the tin: <\/strong>Spark conversations about a future that sees Saudi Arabia, Egypt, and the the UAE at the heart of a more vital Middle East economy \u2014 and provide an early, actionable roadmap for those who are \u201clong Egypt.\u201d<\/p>\n

We\u2019ll be talking with you about the agenda over the coming couple of weeks. <\/strong>It features speakers from Egypt and abroad who are future-proofing their businesses and angling to capture tomorrow\u2019s opportunities \u2014 and who aren\u2019t afraid to answer some tough questions. <\/p>\n

*** Interested in attending? <\/strong>Tap or click here to let us know<\/a><\/strong>. Seating is limited. <\/p>\n

<\/a> <\/p>\n

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The roundup of news and trends that move your markets and shape corporate agendas delivered straight to your inbox.<\/p>\n

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CIRCLE YOUR CALENDAR-<\/strong><\/p>\n

The UAE will host <\/strong>The Airport Show<\/a><\/strong> from Tuesday, 14 May through to Thursday, 16 May<\/strong> in Dubai. The event brings together airport suppliers, airport service providers, aviation executives, and regional decision makers to explore current innovations and new technologies.<\/p>\n

The UAE will host the <\/strong>Pre-Loading Advance Cargo Information<\/a><\/strong> (PLACI) session <\/strong>from Tuesday, 14 May through to Wednesday, 15 May<\/strong> in Abu Dhabi. The event gathers public officials from the UAE and abroad, airlines, freight forwarders, ground handlers, and cargo solution providers to examine PLACI regulatory developments, addressing obstacles to implementation and ensuring compliance. <\/p>\n

Iran will host the <\/strong>International Exhibition of Rail Transportation and Related<\/a><\/strong>Industries<\/a><\/strong> from Saturday 18 May to Tuesday 21 May <\/strong>in Tehran. The exhibition looks to attract domestic and international firms to showcase Iran\u2019s local rail manufacturing capabilities and to acquaint industry players with developments made in the industry worldwide.<\/p>\n

The UAE will host <\/strong>The Electric Vehicle Innovation Summit<\/a><\/strong> from Monday, 20 May to Wednesday, 22 May<\/strong> in Abu Dhabi. The event will see industry leaders come together to discuss sustainable mobility and tapping into groundbreaking advancements in electric vehicles while engaging with key decision-makers.<\/p>\n

Saudi Arabia will host the <\/strong>Future Aviation Forum<\/a><\/strong> from Monday, 20 May to <\/strong>Wednesday, 22 May<\/strong> in Riyadh. The event, organized by the General Authority of Civil Aviation, will see the Kingdom showcasing some USD 100 bn worth of investment options in the aviation and logistics sector at large. <\/p>\n

Barbados will host<\/strong>UNCTAD<\/a><\/strong>\u2019s<\/strong>Global Supply Chain Forum<\/a><\/strong> from Tuesday, 21 May to Friday, 24 May<\/strong> in Bridgetown. UNCTAD is holding the event in collaboration with the Government of Barbados, which aims to evaluate the role global supply chains have in supporting economic growth, creating jobs, and reducing poverty. Global industry leaders, policymakers and experts will convene to discuss forthcoming issues and explore innovative solutions. <\/p>\n

Oman will host the <\/strong>Comex Technology Show<\/a><\/strong> from Monday, 27 May to Saturday, 30 May<\/strong> in Muscat. The event will see representation from industry leaders and decision makers to showcase buyer potential in innovative technology, in transportation, logistics, energy and healthcare sectors.<\/p>\n

Egypt will host <\/strong>ProPak MENA<\/a><\/strong> from Sunday, 26 May to Tuesday, 28 May<\/strong> in Cairo. The conference will see F&B manufacturing industry professionals network and discover the latest equipment and logistic solutions for processing and packaging.<\/p>\n

Check out our full calendar<\/strong> at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.<\/p>\n","protected":false},"excerpt":{"rendered":"

What we\u2019re tracking this morning regionally and around the 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