In a significant step towards strengthening industrial logistics in the Middle East, Oman and Etihad Rail Company (OER), the entity behind the UAE-Oman Rail Network, has signed a Memorandum of Understanding (MoU) with Al Jazeera Steel Products Co (AJSP). This strategic alliance aims to revolutionize the transportation of raw materials and finished goods, promising efficiency, cost reduction, and sustainability.
OER, known for its pivotal role in developing and operating the cross-border rail network, alongside AJSP, a front-runner in manufacturing steel structural products and tubes, will collaborate under this MoU to leverage the rail network for optimizing AJSP's logistics. The agreement focuses on enhancing the inbound and outbound logistics operations of Al Jazeera Steel's manufacturing bases in Oman, utilizing the extensive UAE-Oman Rail Network.
“We believe this new logistics service provided by OER will act as a force multiplier for our efforts of increasing our reach in the GCC as well the export markets. The vision of OER closely matches the vision of Al Jazeera Steel Products Co. for delivering technological driven solutions. This collaboration will help us prepare for the challenges of the future and optimize our logistics costs,” Venkat A.N, CEO, Al Jazeera Steel Product Co.
Once operational, the UAE-Oman Rail Network will significantly improve the efficiency of freight movement, connecting major ports and freight facilities in both countries and reducing dependence on road transport. This initiative not only marks a milestone in the region's logistics capabilities but also underlines its commitment to sustainable and innovative transport solutions.