UAE’s supply chain, logistics industry hits US$25 billion

Dubai / Emirates Business

“As drones and driverless vehicles have arrived to do the last mile delivery, supply chain and logistics industry is in for a massive shift in approach in 2017 and beyond,” stated Shashi Shekhar, Group Chairman and founder of SCLG, during the 9th Global Supply Chain and Logistics Summit. Last year, UAE’s supply chain and logistics industry touched over US$25 billion. Over 200 plus delegates and industry experts from over 20 countries attended the summit in Dubai.
As per the recent report by Frost & Sullivan, the UAE logistics sector is expected to grow by 4 per cent in 2016, with a compounded annual growth rate (CAGR) of 5.7 per cent between 2015 and 2020. Third Party Logistics (3PL) market size is forecast to reach US$1,029.47 billion by 2022, as per a new research report by Global Market Insights, Inc.
Abdulla Bin Damithan, Director – Commercial, DP World delivered key note speech during inaugural session and Saeed Al Najjar from the Dubai Chamber participated and appreciated presence of large gathering of senior industry professionals inside the SCLG summit. The Chairman of the Nikai Group, Paras Shahdadpuri delivered the keynote address during the summit. Headquartered in Dubai, Supply chain and logistics group (SCLG), is an industry business group engaged in advancing supply chain and logistics industry locally, regionally and globally.
“Supply chain landscape will witness growth of intelligent machines, self-driving vehicles and warehouse robots. A new workplace with machine and human assets are growing around us. Dubai has built great infrastructure of ports, airports, airlines and shipping lines to facilitate global supply chain. Dubai’s focus on innovation and transformation also ensures that supply chain is empowered for growth here. I believe that these developments present massive opportunities to the logistics industry in the region,” added Shashi Shekhar.
“Digital customer experience is demanding supply chains to be more agile, resilient and self-learning. The applications that help build streamlined flow of documents and data between processes, machines and humans are positively influencing in resolving supply chain bottlenecks,” he further added.
“The best way to predict the future is to design and create one, that applies to supply chain as well. That’s why such summits are useful in bringing ideas of creation, forums for collaboration and communication and positive energy. ‘Supply Chain Innovation’ is the most effective performance development strategy. this can directly add to growth of economy in addition to growing enterprise wide performance. In this age of collaboration and supply chain integration, innovative approach is needed to sourcing, buying and managing contracts. Collaboration and integration across value chain directly and positively impacts growth of industry and economy, added Dr. Kanak Madrecha, President, SCLG.
SCLG since its inception has significantly grown in its membership and activities. The annual global SCLG summit held in Dubai each year is now recognized as the biggest thought leadership summit in Middle East, Asian Subcontinent and Africa region. The summit was backed and supported by many leading names in the supply chain and logistics sector namely, DP World, GreyOrange, Al Futtaim Logistics, Onbase, SSI SCHAEFER, Span Group, Twintec and Godrej among other organisations.
“Dubai is an ideal hub for setting up businesses and is a trend-setting city that offers growth opportunities. The city has a good sense of business acumen, visionary leadership and solutions to deliver outcomes to organisations for any business vertical. We believe that this platform will help stakeholders realise the potential of the city and explore trends and developments in the supply chain and logistics network,” added Dr. Madrecha.
“Supply Chain and Logistics in itself is a backbone of global trade and economy. Dubai Chamber’s support in building community cohesiveness in Dubai, UAE and globally within the supply chain and logistics space is highly appreciated by the industry,” concluded Mr. Shekhar.
The 9th Global Logistics and Supply Chain Summit hosted speakers, panellists and delegates from several countries including Saudi, Kuwait, Qatar, Singapore, India, USA, Denmark, Switzerland, South Africa, Canada, Poland, and Austria.