Global ports operator DP World’s port-centric logistics arm Smart Solution Logistics (SSL) has entered into a deal with Israel-based Allalouf Logistics to explore new growth opportunities for the logistics and general freight forwarding business in the UAE and Israel.
Under the deal, DP World and Allalouf Logistics will work together to strengthen relations between key trade hubs in both countries and beyond. The agreement was signed by Albert Kraak, Chief Operating Officer of SSL and Gil Miller, Managing Director, Allalouf Logistics.
Located in Dubai’s Jebel Ali Port with excellent connectivity to terminals at the port, SSL provides a wide range of containerized logistics solutions. With its global network of ports and terminals overseas, the logistic arm of DP World aids companies to link their supply chain to any part of the world with cutting-edge technology platforms and other transportation modes.
The freight and logistics market in the UAE has grown steadily over the years and it is considered as a major enabler of the UAE’s economic diversification efforts. As per the Federal Competitiveness and Statistics Authority, the logistics sector’s gross output amounted to $59.6 billion in 2018. Additionally, the sector’s contribution to the country’s GDP is forecasted to increase by 8 percent in 2021.
“We take pride in the fact that we have been able to consistently contribute to the growth of the economy and we will continue doing so. Despite the COVID-19 crisis, we achieved a 30 percent year-on-year jump in revenue. The normalization of trade ties between the UAE and Israel has further opened up growth opportunities for us. We are confident that this new venture will aid the economic prosperity of the nation. Through this collaboration, our primary goal is to expand our network and reach markets that were inaccessible in the past.”
Commenting on the agreement Gil Miller, Managing Director of Allalouf Logistics stated, “The onset of the global pandemic has underpinned the importance of the logistics sector. Collaborations like these are essential to tackle the challenges in the supply chain and keep economies running. We are thrilled to collaborate with SSL as our philosophies of connecting key markets around the world and enhancing business using technology align well.”
As part of the agreement, both entities will deploy all efforts to establish and maintain suitable freight stations required for the operational receiving, consolidating, loading, shipping, unloading and orderly release of cargo, and full container load. The companies will also offer services like shipments and customs formalities, trucking and port handling, storage and collection of cargo.