Oman and Etihad Rail unites with Jindal to establish sustainable logistics solution

By Shilpa Annie Joseph, Official Reporter
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OERC signs MoU with Jindal
Officials during the signing ceremony | Courtesy: WAM

Oman and Etihad Rail Company (OERC) has signed a Memorandum of Understanding (MoU) with Jindal Shadeed Iron and Steel (Jindal), a leading integrated steel producer in the GCC, in order to establish a sustainable end-to-end transport logistics solution between Jindal’s steel complex at Sohar Port and the UAE, via the UAE-Oman Rail Network.

The MoU will allow Jindal to annually transport up to 4 million tons of raw materials and finished products from its steel complex at Sohar Port to the UAE’s thriving markets.

The move is part of OERC’s commitment to providing efficient and cost-effective logistics solutions for major global players across different sectors.

Commenting on the agreement, Mr. Mohammed bin Zahran Al Mahrouqi, Deputy CEO of OERC, said that, “Our partnership with Jindal Shadeed Group reinforces Oman and Etihad Rail Company’s commitment to improving logistics services to meet the future needs and expectations of our customers by providing comprehensive solutions and stimulating the growth of various industrial sectors within Oman and the UAE.”

Mr. Al Mahrouqi noted that the MoU will enable Jindal to enhance its supply chain efficiency, benefiting from the UAE-Oman Rail Network’s fast, cost-effective, and sustainable services.

Under the terms of the agreement, OERC will leverage its state-of-the-art rail network to support Jindal in optimizing operational integration through facilitated loading and unloading processes while guaranteeing rolling stock and facilities’ requirements of iron ore and steel.

Through this collaboration, Jindal will not only streamline its transportation and logistics operations but also further advance its sustainability objectives and strengthen its green value chain.

OERC will ensure an environmentally friendly transportation and logistics solution through the Oman-UAE Rail Network, contributing to the reduction of CO2 emissions in Oman and the UAE, in line with their national goals of net-zero carbon emissions by 2050.

For his part, Mr. Harsha Shetty, CEO of Jindal, stated that, “This is an important milestone for our company as we look forward to further expanding the reach of our high-quality, industry-leading products in the region and beyond. Our ability to seamlessly transport nearly 4 million tons of raw material will greatly help us in our operations, supporting our ambition to reduce our carbon footprint.”

“We are very proud of our partnership with this national strategic project that will bring enormous economic and social returns to both the Sultanate of Oman and the UAE, whilst also emphasizing the region’s competitive advantage as a logistics hub,” Mr. Shetty further added.

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