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The corridor has reduced transshipment times

The corridor has reduced transshipment times



Logistics corridor will lift Dubai

The initiative, a partnership between Dubai Customs and the DED, seamlessly integrates airports, seaports and free zones on a single platform with time savings and efficiency

June 2015

Dubai Customs and the Department of Economic Development in Dubai (DED) have unveiled the ‘Virtual Freight and Logistics Corridor’, an innovative initiative aimed at sustaining the UAE’s business leadership and competitiveness, particularly in Dubai.


The virtual corridor will foster innovation in public service delivery that will go beyond the limited notion of customer satisfaction and aim for customer happiness, said a statement. 


The virtual corridor was officially launched at a ceremony held in the presence of Sultan Ahmed bin Sulayem, chairman, Ports, Customs and Free Zone Corporation, and chairman, DP World; Ahmed Mahboob Musabih, director, Dubai Customs, and Sami Al Qamzi, DED director.


Also present were representatives of government departments and government-related entities, major shipping companies and Dubai Customs’ clients. 


Bin Sulayem remarked: “Dubai Customs, in partnership with DED, developed the new initiative following an integrated study of the current situation and needs of the freight and logistics sector. It’s a unique automated customs procedure designed to facilitate goods transport between two Dubai Customs centres by road, connecting the point of entry to the point of destination in Dubai, under Cargo Transport Requests submitted by clients.”


The virtual corridor connects seaports, airports and free zones in Dubai on a single platform, enabling hassle-free customs clearance and making the entire process more streamlined, time-saving and cost-efficient without any financial burden, he said.


This initiative, which assumes special significance with Expo 2020 drawing closer, is expected to enhance the position of Dubai and the UAE on the global trade map, Bin Sulayem further added.


Musabih described the virtual corridor as a major catalyst in the implementation of trade and economic objectives of Dubai Plan 2021. The varied benefits and ease it offers to traders and customers help promote Dubai as a preferred destination for business and investment.


“The pilot phase statistics of the virtual corridor point out to the uniqueness of this initiative and the seamlessness it brings to cargo movement,” said Musabih.


“More than 12,000 transfers of cargo, weighing 64,000 tonnes, have been processed since September 2014. Additionally, deposit-related financial burdens have been considerably minimised by some Dh120 million ($32.6 million),” he noted.


Musabih also acknowledged the contribution of the joint project team as well as of companies that partnered Dubai Customs in executing the pilot phase, namely Dubai Express, Aramex, Weiss-Rohlig UAE, DB Schenker, Expeditors International, Gulf Agency, Transguard, Airlink Intl, Agility Logistics, Arabital Shipping, Danzas AEI Emirates, Brinks Global Services, Gava Forwarding, Inchcape Shipping Service Dubai, and Modern Freight.


Approved by the Executive Council of Dubai in 2012, the Virtual Freight and Logistics Corridor policy was the result of collaborative efforts initiated by DED through a multimodal transportation and logistics stakeholder platform in 2011.


“It’s important that we continue working together on this stakeholder platform in order to create efficient systems for upgrading the clusters strengths and move higher up the global value chains. With the Virtual Freight and Logistics Corridor we have taken Dubai to its next level of global competitiveness,” said Al Qamzi.


“The introduction of the Virtual Freight and Logistics Corridors has since reduced the time and cost for transshipment via Dubai significantly,” he added.


“This collaborative approach creates the most favorable framework conditions for trade and logistics companies to grow locally as well as regionally, and expand to emerging markets,” he said.


“It will continue attracting new businesses in trade and logistics as well as developing businesses locally, and increasing investment inflows,” Al Qamzi said.




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