WORLD'S MOST INNOVATIVE ECONOMIC ZONE LAUNCHED IN RIYADH

October 31, 2022

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The Special Integrated Logistics Zone launched on 31^st October 2022 in Riyadh by HE the Minister of Transport & Logistics and the General Authority for Civil Aviation.

The Special Integrated Logistics Zone is really built-in, with a price proposition that has been developed alongside its first batch of traders, together with the worldwide expertise chief Apple.
The Special Integrated Logistics Zone is strengthening Saudi Arabia’s aggressive place as the most important, quickest rising and main buying and selling nation within the Middle East, and persevering with Vision 2030’s mission to attach the Kingdom to the world.
The strategically positioned built-in particular logistics zone will serve billions of potential prospects in straightforward attain in Africa, Asia and Europe and assist to considerably enhance Saudi’s cargo capability to greater than 4.5 million tons every year.

RIYADH, Saudi Arabia, Oct. 31, 2022 /PRNewswire/ — Leaders from the worldwide logistics business are in Riyadh at present to hitch Saudi Arabia’s General Authority for Civil Aviation (GACA) in celebrating the launch of the Special Integrated Logistics Zone, a really built-in particular financial zone.

Scale of Saudi Market

Spanning 3 million-square-meters, the Special Integrated Logistics Zone is strategically positioned to serve billions of potential prospects in straightforward attain throughout Africa, Asia and Europe and makes use of expertise designed to streamline the motion of products, together with best-in-class stock techniques optimized for e-commerce, offering direct linkages between traders, suppliers, customs, and authorities entities.

“The launch of the Special Integrated Logistics Zone today is a testimony to Vision 2030 and the relentless support of His Royal Highness for the sector, positioning the Kingdom as a global logistics hub connecting three continents, attracting the largest companies in the world to the Kingdom as our logistics sector is transformed by the National Transport and Logistics Strategy” stated Saleh bin Nasser AlJasser, Saudi Arabia’s Minister of Transport and Logistics.

“The Special Integrated Logistics Zone is a vital enabler for Saudi Arabia’s logistics sector because it offers a unique value proposition to multinationals based on enhanced fiscal and regulatory incentives. It will strengthen Saudi Arabia’s position as the largest, fastest growing market and leading strategic trading nation in the Middle East and continue Vision 2030’s mission to connect the Kingdom to the world,” Saleh bin Nasser AlJasser, Saudi Arabia’s Minister of Transport and Logistics, added.

As a part of the broader transformation of the Kingdom’s logistics sector, by 2030 Saudi Arabia is considerably growing its cargo capability to greater than 4.5 million tons every year and growing the contribution of the transport and logistics sector to nationwide gross home product from the present six p.c to 10 p.c. This will assist to gas business development, entice inward funding, and enhance the sector’s non-oil revenues to about SR 45 billion ($12 billion) a 12 months by 2030.

Ultra-competitive Regulatory Approach

The Special Integrated Logistics Zone is a key enabler of those aims and the package deal of incentives and regulatory mechanisms have been developed in session with main worldwide firms to make sure that the Special Integrated Logistics Zone worth proposition is unmatched globally. GACA has designed the Special Integrated Logistics Zone to reply to the wants of the world’s main worldwide firms, making certain that the world’s main firms can have an ultra-competitive place for his or her base within the Kingdom. The Special Integrated Logistics Zone is a completely built-in particular financial zone that integrates greatest apply in regulation, expertise and infrastructure from world wide.

“The Saudi Aviation Strategy is investing $100 billion in the Kingdom’s future, creating an unprecedented growth story. The Special Integrated Logistics Zone is an opportunity to participate from the outset in Saudi Arabia’s rapid emergence as the Middle East’s pre-eminent logistics hub, and we have put the regulatory measures in place to give maximum flexibility for global businesses when they enter the Kingdom,” Saleh bin Nasser AlJasser, Saudi Arabia’s Minister of Transport and Logistics, continued.

Uniquely Integrated Model Driving Value Chain Efficiencies

The zone’s distinctive worth proposition consists of Value Added Tax benefits on servicing and on manufacturing and meeting, decreasing the price for multinationals and their third-party suppliers, who reassemble merchandise within the zone for onward sale in Saudi Arabia and the broader MENA area. Ease of doing business has been enhanced by 100% international possession, streamlined incorporation processes, expedited certification and allow procedures and allowable firm constructions – serving to facilitate companies seamlessly.

“The Special Integrated Logistics Zone’s best-in-class inbound and outbound inventory systems provide direct linkages between investors, suppliers, customs and government agencies accelerating the speed of processing and integrated Vendor Managed Inventory, meaning more flexibility and cost efficiencies for investors. An investor based in the Special Integrated Logistics Zone can already deliver a product to a customer within four hours – saving significant time and cost when compared to delivering a product from any other location outside of the Kingdom,” stated Awad A. AlSulami, Vice President, Logistics & Special Economic Zones at GACA.

“We have developed a product at the Special Integrated Logistics Zone that offers integration at every level. Integration of thought, through collaboration, designed with sector leaders for sector leaders and integration of supply chains, through technology, providing a non-stop, seamless, experience, inbound and outbound. An innovative approach allows companies to access the Saudi market faster and with benefits at every point in the value chain,” Awad A. AlSulami continued.

You can discover all information in regards to the Special Integrated Logistics Zone on the www.silz.gaca.gov.sa.

You can discover all of the information of the General Authority of Civil Aviation within the media center on our website.

About the Special Integrated Logistics Zone

The Special Integrated Logistics Zone is Saudi Arabia’s first Special Logistics Zone and has been developed by the General Authority of Civil Aviation (GACA). The zone was given its legislative foundation by Royal Order in October 2018 and integrates regulatory, technological and infrastructure greatest apply to create the very best working atmosphere for multinational companies.

The Special Integrated Logistics Zone is positioned inside the parameters of King Khalid International Airport in Riyadh – connecting companies with the most important client market within the Middle East and providing air connectivity to the remainder of the world.

The zone was designed from the bottom up with business leaders, together with Apple Inc, for the world’s main provide chain and logistics firms. It is the one SEZ in GCC that provides each Vendor Managed Inventory (VMI) and provides VAT benefits to items that are briefly transferred between the mainland and the zone for functions of restore, upkeep, after-sales companies and manufacturing and meeting companies.

The Special Integrated Logistics Zone has a novel worth proposition that goes past tax, permitting tenants to drastically cut back time and price taken to ship items to Saudi shoppers. The zone options best-in-class inbound and outbound stock techniques which supplies direct linkages between traders, suppliers, customs and authorities.

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