UAE's national railway developer and operator Etihad Rail signs transport agreement

Etihad Rail signs transport agreement in UAEImage Credit: Supplied

Tarmac Middle East has signed a memorandum of understanding with Etihad Rail, the developer and operator of the UAE's national railway, to distribute its products through Etihad Rail's distribution and export terminals across the UAE. The agreement will also enable the distribution to other GCC counties once Etihad Rail completes its connection to the GCC rail network at the end of 2018.

It is expected that the volume of products Tarmac Middle East will transport via Etihad Rail will reach 6 million tons by 2020.

Cost-effective transport

''We are very pleased that we have reached such a mutually beneficial agreement that will enable Tarmac Middle East to enhance its logistic operations, while at the same time increase Etihad Rail's distribution capacity beyond its export terminals,'' said Faris Saif Al Mazrouei, Acting CEO of Etihad Rail. ''Etihad Rail will provide its partners with faster, reliable, higher-capacity and lower cost transportation services across the UAE and the wider GCC region in the future.

''We are confident our sustainable logistics solutions will attract more UAE organisations.''

Azmat Jafri, UAE Country Manager of Al Futtaim Tarmac Quarry Product, said: ''This is a significant milestone for our business and comes at a time when we are expanding rapidly in the UAE. Logistics and transport are some of our biggest operational costs.

''Utilising Etihad Rail services will provide us with cost-effective and reliable transport and we look forward to a long-term and successful partnership.''

Linking the GCC

Once fully operational, Etihad Rail will span approximately 1,200km across the UAE, carrying freight and passengers. The Dh40-billion rail network will also form a vital part of the GCC railway network, linking the UAE to Saudi Arabia via Ghweifat in the west and to Oman via Al Ain in the east.

Source: Property Weekly


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