Complex set to welcome its first tenant-FedEx Express
The new US$ 58.5mn Air Cargo Area at Bahrain International Airport is set to welcome its first tenant as US-based FedEx Express signed a deal to move to the expanded freight complex at the Bahrain International Airport, further strengthening its operations as a GCC logistics hub.
The multinational courier delivery services company will be occupying a total of 9,000sqm out of the 25,000sqm available space in the new Air Cargo Area, of which 5,000sqm will be warehousing and the rest will be the manoeuvring area.
“We are currently negotiating with two other companies wishing to operate warehouses at the new Cargo Area, which further demonstrates the Kingdom’s strong reputation as a regional hub for logistical services in the GCC and wider Middle East,” affirmed HE Eng. Kamal Bin Ahmed Mohammed, the Bahraini Minister of Transportation and Telecommunications and Chairman, Bahrain Airport Company (BAC).
The Minister said that the new Air Cargo Area that BAC is constructing north of the runway is an important part of the overall growth strategy adopted by the Ministry of Transportation and Telecommunications, and a key component in the Airport Modernisation Program (AMP), which is due to be completed by Q3-2019.
The Minister also noted that the continued cooperation and coordination between BAC, Customs, and the Bahrain Economic Development Board (EDB) played a major role in the fruition of this agreement.
Bahrain Rising
“The GCC is an important region for FedEx Express, where enhanced collaboration between public and private sectors is fueling growth across industries. The logistics market forms a fundamental part of the GCC economy, and we remain committed to serving our customers across Bahrain and connecting them with people and possibilities around the world,” asserted James R. Muhs, President of the FedEx Express Middle East, Indian Subcontinent and Africa (MEISA) region.
“This Letter of Intent further highlights the strength of Bahrain’s transport and logistics sector and supports our strategic focus on e-commerce and regional distribution. There are a number of opportunities for companies like FedEx Express in the GCC’s US$ 1.5tn market, and Bahrain is an ideal location from which to access those markets due to our fast and direct transport links, some of the regions lowest operating costs, and a highly skilled, bilingual workforce,” observed HE Khalid Al Rumaihi, Chief Executive of the Bahrain Economic Development Board (EDB).
BAC signed an agreement in November with French engineering firm, Egis for design and supervision for the new 25,000-sqm Cargo Area, which comprises warehouses, aircraft parking, and associated infrastructure aimed at handling air cargo traffic and e-commerce. The Cargo Area is also equipped with the latest technologies, making it one of the most attractive locations for investment in the Middle East.
