Saudi Arabia is taking a significant step towards modernizing its logistics sector. The Kingdom’s Zakat, Tax, and Customs Authority (ZATCA) has announced a new initiative to improve customs operations. In partnership with the National Centre for Privatisation & PPP (NCP), ZATCA has launched a tender process for customs warehouses. This venture will utilize a Public-Private Partnership (PPP) model.
Tender Process Begins
The NCP unveiled the opening of the Expression of Interest (EOI) and Request for Qualification (RFQ) phases. This opportunity aims to develop and operate customs warehouses at 38 Points of Entry (PoEs) throughout the Kingdom.
Project Overview and Requirements
The project includes designing, constructing, and maintaining 13 warehouses. It features 12 new constructions alongside the renovation of an existing facility. Deliverables will follow the Design-Build-Finance-Maintain-Operate-Transfer (DBFMOT) model. The contract will last for 15 years, encompassing both construction and operational phases.
A Call for Investors
The operations will cover the loading and unloading of goods. The contract will also involve using forklifts, cranes, and trucks. Cleaning services will be a crucial component of this project. Furthermore, all 38 warehouses will receive modern machinery to enhance efficiency.
Interested companies must submit their Statement of Qualification (SOQ) by 14 November 2024 at 3:00 p.m. KSA time. This initiative marks a significant step in enhancing Saudi Arabia’s logistics capabilities. The privatization of customs warehouses will boost efficiency, reduce costs, and improve the Kingdom’s competitiveness as a regional trade hub.
