Dubai’s Jebel Ali port is among the busiest ports worldwide, having consolidated its position as the leading logistics hub in the Middle East, only surpassed by ports in the Far East. It handles around 15 million TEUs (20-foot equivalent units). Jebel Ali Port is operated by DP World, Dubai’s national logistics champion, whose footprint spans all continents. It is regularly among the five largest port services providers, moving more than 70 million TEUs per year in its more than 50 container terminals.
Jebel Ali and its adjacent JAFZA free trade zone (launched in the mid-80s), accounts for more than 16% of Dubai’s employment, with more than 135,000 direct jobs created by 8,600 companies. These account for nearly 25% of Dubai’s foreign direct investment and more than 30% of the Emirate’s GDP. Around 100 companies from the Fortune 500 have set up branches within the boundaries of Jebel Ali-JAFZA, along with many other companies in other districts of Dubai, which has emerged as a hub not only for merchandise, but also for professional services, finance, tourism and leisure, real estate, media and culture.
Moving into the 21st century, Jebel Ali and JAFZA face the challenge of retaining their leadership while new projects in the Gulf and the Red Sea vie for a role in the future of logistics in the region.
Evolution of Jebel Ali Port and JAFZA since 1970 to nowadays
Objectives, goals and purposes
ALG was appointed by DP World to update its commercial strategy for the ports and free trade zone as an input for the 2040 Master Plan.
Study methodology and activities
ALG’s advisory services included:
- In-depth analysis of the current state of both assets from a commercial and market perspective, and their competitive positioning against new projects in the region.
- Demand forecasts for port traffic, land in the free trade zone and logistics products and services, with several layers of granularity for all components of demand.
- A roadmap for enhancing the competitive positioning of the site, covering its commercial operations and infrastructure.
- Directions and guidelines for development of the Master Plan.
Success and outcomes
The project outcomes have supported DP World in activating a number of initiatives to enhance the utilisation of the existing land area, incorporate new technology, expand the integration of all value chains, and enter new markets and business segments.