{"id":83739,"date":"2025-01-15T00:00:00","date_gmt":"2025-01-15T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/logistics\/2025\/01\/15\/today-iraq-and-uk-set-to-sign-gbp-12-3-bn-export-package\/"},"modified":"2025-01-15T00:00:00","modified_gmt":"2025-01-15T00:00:00","slug":"today-iraq-and-uk-set-to-sign-gbp-12-3-bn-export-package","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/logistics\/2025\/01\/15\/today-iraq-and-uk-set-to-sign-gbp-12-3-bn-export-package\/","title":{"rendered":"TODAY: Iraq and UK set to sign GBP 12.3 bn export package"},"content":{"rendered":"

Good morning, nice people. <\/strong>We have a slew of updates to get through this morning, leading with a major exports agreement between Iraq and the UK along with a raft of investment updates from Egypt and the UAE. Let\u2019s dive right in.<\/p>\n

WATCH THIS SPACE-<\/p>\n

<\/a>#1- <\/strong>Trucking<\/strong> costs in KSA and the UAE are set to rise sharply on the <\/strong>back of a two-year old ban on vehicles older than 20 years<\/strong>, Gulf News<\/a> reports. Since the ban came into effect in 2023, shippers either did not upgrade their fleet in time or don\u2019t have enough trucks available to carry the level of loads required via road. Saudi businesses and consumers may bear additional costs with the impact of implementation appearing in a truck shortage.<\/p>\n

In numbers: <\/strong>The Kingdom is now facing a surge in truck rates, reaching AED 8k to AED 9k, up from the previous AED 4k to AED 6k. \u201cShipping companies will pass increased costs to clients, potentially hiking freight charges. This will likely increase consumer goods pricing due to rising transportation and production expenses,\u201d VP of Freight Forwarding Rosh Manoli told the news outlet. <\/p>\n

<\/a>#2- Russia + Iran to sign comprehensive strategic agreement:<\/strong> Russia and Iran are set to ink a comprehensive strategic partnership pact following a meeting between Russian President Vladimir Putin and Iranian President Masoud Pezeshkian on 17 January, Reuters<\/a> reports, citing a Kremlin statement. The two leaders will also discuss boosting ties in trade, investment, and transport and logistics.<\/p>\n

Projects in the works:<\/strong> Iran and Russia inked a EUR 1.6 bn agreement in May 2023<\/a> to build the Rasht-Astara railway to complete the International North-South Transport Corridor<\/a>. <\/p>\n

#3- <\/strong>Morocco to re<\/strong>gulate natural gas sector: <\/strong>Morocco has drafted a law to regulate the import, storage, transportation, distribution, and supply of natural gas, Al3omk<\/a> reports. The law, which will apply to stakeholders, gas supply companies, and network operators, is yet to be submitted to the government for approval. <\/p>\n

What we know: <\/strong>The draft law includes several provisions designed to regulate the sector in response to price fluctuations and supply-demand instability in the global energy market, as well as the growing local demand for energy. Financial penalties will be issued against gas suppliers, individuals, or entities involved in importing, transporting, distributing, or storing natural gas without a license. <\/p>\n

<\/a>#4- <\/strong>KSA\u2019s budget carrier Flyadeal is gearing up to finalize its order of 10 Airbus <\/strong>A330neo jets in its first major expansion<\/strong>, with the first delivery likely in 2027, Reuters<\/a> reports, citing industry sources as saying. The Saudia subsidiary will likely unveil the order for the upgraded A330-900 variant within the coming weeks after comparing it with Boeing's smaller 787-9, the sources said.<\/p>\n

#5- <\/strong>Turkey's <\/strong>Pasifik Holding<\/a><\/strong> is planning to increase its investments in port and terminal <\/strong>operations<\/strong>, Reuters<\/a> reports, citing comments made by Chairman Fatih Erdogan at a press conference. The company is also mulling listing 20% of its shares on the Borsa Istanbul in 1Q 2025.<\/p>\n

About the company: <\/strong>Pasifik Holding is a conglomerate of 55 companies active in the sectors of international logistics, real estate, energy, and technology. The company\u2019s logistics arm Pasifik Eurasia<\/a> is active in railway, air, and sea cargo transportation, as well as terminal services. <\/p>\n

\n

MARKET WATCH- <\/p>\n

#1- <\/strong>Oil <\/strong>prices <\/strong>remained steady in early morning trading after a decline yesterday on the <\/strong>back of falling US crude stockpiles and expected supply disruptions<\/strong>, Reuters<\/a> reports. Brent crude futures were up USD 0.02 at USD 79.94 a barrel by GMT 02.05, while US West Texas Intermediate (WTI) gained USD 0.12 to USD 77.62 a barrel. Both benchmarks lost 1.4% and 1.6% respectively yesterday after the US Energy Information Administration said oil will face the pressure of supply outpacing demand for the next two years.<\/p>\n

#2- <\/strong>Baltic <\/strong>index <\/strong>snaps<\/strong> winning streak:<\/strong> The Baltic Exchange\u2019s dry bulk sea freight index \u2014 which tracks rates for the capesize, panamax, and supramax vessel segments \u2014 fell 13 points<\/a> to 1,080 on Tuesday. The capesize index dipped 11 points to 1,604, while the panamax index decreased 20 points to 906. The smaller supramax index shed 11 points to 798.<\/p>\n

#4- Oil freight rates jump as refiners scramble for alternatives to Russian supply: <\/strong>Oil shipping charges have risen drastically as Chinese and Indian refiners seek alternatives to sanctioned Russian tankers, Reuters<\/a> reports. The rate for the Middle East-China route rose 39% since Friday to USD 37.8k, the highest it\u2019s been since October 2024, according to shipbrokers. Rates for a Russia-China route more than doubled to USD 3.5 mn, according to S&P Global Commodity Insights data.<\/p>\n

The role of Russia\u2019s shadow fleet: <\/strong>New vessels are expected to now join Russia\u2019s shadow fleet<\/a>, straining the supply of ships available in the non-sanctioned market, according to market intelligence firm Kpler<\/a>. After the US\u2019 latest move against Russia<\/a>, 35% of the 669 dark fleet tankers shipping Russian, Venezuelan, and Iranian oil are now sanctioned, according to analysis by Lloyd\u2019s List Intelligence<\/a>.<\/p>\n

DATA POINTS- <\/p>\n

#1- Jordan\u2019s Aqaba port saw a decline in the total number of containers despite <\/strong>experiencing increased activity during the second half of 2024, <\/strong>Petra<\/a> reports. Arriving and departing containers declined 4% and 13% y-o-y, respectively, despite major monthly increases at the end of 2024. The drop is being blamed on regional conditions, unstable Red Sea maritime traffic, and Israel\u2019s genocide in Palestine, Jordan\u2019s Logistics Association President Nabil Khatib said.<\/p>\n

#2-<\/strong> The Saudi Port Authority (Mawani) inaugurated eight logistics zones and <\/strong>centers in 2024<\/strong>, with an investment cost north of SAR 2.9 bn, according to a post on X<\/a>. Among the logistics projects are collaborations at Jeddah Islamic Port with Maersk<\/a> at SAR 1.3 bn, Medlog<\/a> at SAR 175 mn, and DP World<\/a> at SAR 900 mn. <\/p>\n

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***<\/strong>YOU\u2019RE READING EnterpriseAM Logistics, the essential MENA publication for senior <\/strong>execs who care about the industry that connects producers and retailers to global markets. <\/strong>We\u2019re out Monday through Thursday by 9:15am in Cairo and Riyadh and 11:15am in the UAE.<\/p>\n

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

Belgium will host the <\/strong>World Cargo Summit<\/a><\/strong> from Monday, 27 January to Wednesday, <\/strong>29 January <\/strong>in Ostend. The event will focus on air cargo economics, strategy, and market trends with a specific focus on how the industry will tackle disruptions and how firms can adapt their business models. <\/p>\n

The UAE will host the <\/strong>ShipTek International Conference<\/a><\/strong> from Wednesday, 29 <\/strong>January to Thursday 30 January<\/strong> in Dubai. The two-day conference will gather industry experts, including managing director at Hapag-Lloyd Carolin Stumm, CEO Adani Ports Nicolai Friis, VP International Maritime Industries Justin Taylor, CEO Tristra Tim Coffin, and others to discuss new tech and developments in the maritime industry.<\/p>\n

The UAE will host the <\/strong>Middle East Bunkering Convention<\/a><\/strong> from Monday, 3 February <\/strong>to Wednesday, 5 February<\/strong> in Dubai. The event will focus on the marine fuels sector to address the future of the industry in light of geopolitical issues, environmental regulation, and the future of artificial intelligence and digitalization.<\/p>\n

Saudi Arabia will host the <\/strong>Airport Expansion Conference<\/a><\/strong> from Tuesday, 4 February <\/strong>to Wednesday, 5 February<\/strong> in Riyadh. The two-day conference will feature over 30 speakers to discuss challenges faced by Saudi Airports and highlight Saudi Arabia\u2019s Vision 2030 with a clear focus on expansion, tech, and strategic partnerships. <\/p>\n

The UAE will host the <\/strong>Middle East Breakbulk Conference<\/a><\/strong> from Monday, 10 February <\/strong>to Tuesday, 11 February <\/strong>in Dubai. The event gathers giant manufacturers, EPCs, and service providers to discuss the latest solutions in breakbulk and heavy-lift logistics across the Middle East and Africa. The two-day event features an artificial intelligence (AI) seminar, heavy lift workshop, chartering workshop, and a women in breakbulk panel.<\/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 world<\/p>\n","protected":false},"author":1,"featured_media":83740,"comment_status":"","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[18],"tags":[119,227,150,37,31,32,232,129,16],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-83739","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-what-were-tracking-today","tag-iran","tag-lng","tag-morocco","tag-ports","tag-saudi-arabia","tag-trade","tag-trucking","tag-uae","tag-what-were-tracking-today","wpautop","entry"],"acf":{"mongo_id":"680c1434-ea4b-4020-b481-8c3ed80f5d71","order":"2","is_powered_by":false,"story_type":"4","photo_url":"https:\/\/ent.news\/2025\/1\/920.jpg","photo_position":"above","homepage_title":"","full_issue_title":"TODAY: Iraq and UK set to sign GBP 12.3 bn export package","related_issue":[83737],"teaser":"What we\u2019re tracking this morning regionally and around the world","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/1\/.349a0b81-984c-4a80-bf29-9fca5196b983.mp3"},"yoast_head":"\nTODAY: Iraq and UK set to sign GBP 12.3 bn export package - 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