Stakeholders sign strategic agreement to support future growth of e-commerce
Dubai CommerCity, the region’s first dedicated e-commerce free zone, recently signed an agreement with Hellmann Worldwide Logistics to manage and operate a shared, multi-client warehouse within the logistics cluster of the free zone.
Dubai CommerCity is set to elevate Dubai’s position as a leading hub for international e-commerce, supporting economic diversification and smart transformation. It is a AED 3.2bn (US$ 900mn) project covering an area of 2.1mn square feet in Umm Ramool, right next to DXB International Airport, the proximity to the centre of Dubai and airport offers fantastic speed to the consumer.
Hellmann will provide end-to-end warehousing including services like order management systems and streamlined customs clearance processes. As part of end-to-end logistics services, Hellmann will also offer last mile delivery services, through its last mile partner DHL Express, from the bonded warehouse directly to the consumer.
The multi-client warehousing customers will be serviced by a dedicated team from Hellmann who will manage consumer and shipment queries including tracking and tracing of deliveries. The clients will be supported with reporting dashboards based on their individual requirements.
Incentives
Customers at Dubai CommerCity will be able to benefit from pre-negotiated, market competitive warehousing and last mile conditions along with economical delivery lead times and coverage. Customers can also avail unique and exclusive pay-as-you-go storage options which is highly cost efficient and which allows flexibility to scale their operations in line with demand.
“This year has highlighted the vital role that e-commerce and logistics play in the global economy. These sectors will be crucial for enabling other industries to prosper and for supply chain to be strengthened,” remarked Amna Lootah, Assistant Director General, DAFZA.
“Dubai CommerCity’s strategic partnership with such a globally renowned service provider as Hellman Worldwide Logistics and our last mile partner, DHL Express, will enhance Dubai CommerCity’s service scope as a specialized free zone compared to the traditional infrastructure provider model,” commented Madhav Kurup, Regional CEO-Middle East and South Asia, Hellmann Worldwide Logistics
“Hellmann’s end to end warehousing solutions will help our customers capture business opportunities that they may have otherwise lost,” noted Geoff Walsh, UAE Country Manager, DHL Express.
E-commerce surge
The e-commerce retail market in the Middle East & Africa is expected to grow by 20% to reach USD 26 billion in 2022, which outpaces the global growth of 13%. The GCC is also expected to contribute 43% of MEA’s e-commerce retail market by 2022”
Dubai CommerCity will provide advanced opportunities for global and regional manufacturers, as well as distributors and global e-tailers. It will facilitate a business ecosystem for companies in the e-commerce industry such as, web developers, photo-shoot studios, call center service providers and others.
Divided into three main clusters – business, logistics and social, Dubai CommerCity will be a home for innovation, new technology, plug & play ecommerce ecosystem, state of the art services and modern infrastructure, a press communiqué concluded.