AD Ports Group (Abu Dhabi) and Uzbekistan-based Sanoat Energetika Guruhi (SEG) has announced that they will launch a joint venture to open new businesses in the field of logistics and cargo transportation.
AD Ports Group, a leading company in the field of international trade, logistics and industry, and SEG, one of the largest oil and gas companies in Uzbekistan, have signed an agreement to establish a joint venture to accelerate the development of logistics infrastructure and services in Uzbekistan and the output of Uzbek products, in particular SEG products, to the global market.
Under the joint venture agreement, the two companies will establish a partnership in logistics and forwarding services, including multimodal forwarding services, road, rail and air transportation, development of container warehouses, warehouse and other logistics infrastructure, contract logistics and customs clearance. In the near future, the parties intend to expand the work of the logistics centre by organizing transport flows of food products and consumer goods.
This partnership with one of the largest global leaders in the field of logistics continues SEG’s development strategy to build a vertically integrated oil and gas company able to extract and process hydrocarbon raw materials into high value-added products, and supply these products to anywhere in the world, thanks to the creation of trade corridors.
In support of the project, AD Ports Group will establish its first foreign office in Uzbekistan.
The ceremony was attended by Uzbekistan’s Ministers, Ilkhom Makhkamov, Aziz Voitov, Sherzod Khodjayev, and Kakhramon Yuldashev, SEG Chairman Bakhtiyor Fazilov and othe officials from that country.
The dignitaries from the UAE included Dr Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, Mohamed Ali Al Shorafa, Chairman of the Abu Dhabi Department of Economic Development (ADDED), Dr Saeed Matar Al Qemzi, UAE Ambassador to Uzbekistan, Capt Mohammed Juma Al Shamisi, Managing Director and Group CEO AD Ports Group, Saeed Al-Bahri Salem Al-Ameri, Director General of Abu Dhabi Department of Agriculture and Food Safety and Hamad Al Hammadi, Executive Director, Energy and Utilities at ADQ.
Addressing Core Challenges
In his comments, Falah Mohammed Al Ahbabi said: “We are delighted to be able to deploy the expertise and resources of AD Ports Group to address the core logistics challenges and opportunities present within the country. We believe that we will be able to contribute to unlocking the wider economic potential of the nation by building new supply chains and opening new trade routes. Our capacity to build one-stop economic hubs and logistics centres will be put to good use through the creation of a dedicated food hub, as well as the creation of inland ports and depots.”
Bakhtiyor Fazilov, said: “This agreement will have a significant impact on economic growth in our country, creating new jobs and opening up new opportunities for trade and development. In collaboration with AD Ports Group, we will create new trade corridors equipped with advanced digital services and supported by world-class logistics facilities, including inter-transport freight forwarding.”
He also said: “Uzbekistan is a major producer of key export commodities, including oil, natural gas, and gold, and the second largest exporter of cotton in the world. Via new joint ventures, we will be able to bring a wider range of our products to the global market, which is fully consistent with the policy of our country and the policy of transforming SEG into a vertically integrated company.”
Capt. Mohamed Juma Al Shamisi said: “This is a major new agreement that will help transform trade and logistics for Uzbekistan, which has a fast-growing economy and rich natural resources. With our expertise, we will develop multi-modal transport connections that will bring goods to market faster and more efficiently. Our strategic investment in infrastructure and capabilities will help support international companies by opening new points of entry into Central Asian markets and ensuring the highest levels of service and support. In line with the direction of the UAE’s leadership, we are positioning Abu Dhabi as a global leader in logistics and industry.”