Global economies are facing increased pressure from uncertainty in oil prices, capacity, and supply chain disruptions. The petrochemicals sector is not exempt from these global challenges. Despite this, Jebel Ali Free Zone’s (Jafza) petrochemical sector witnessed stability. One indication of this is the increase in export volumes in 2021, which grew 52 per cent year-on-year. Additionally, last year, the free zone alone accounted for over 50 per cent of Dubai’s Polymers and Petrochemicals trade, valued at more than AED 49 billion.
ENABLING SEAMLESS TRADE
DP World, through its local and regional assets, multimodal connectivity, cost-effective supply chain solutions and digital trade platforms has supported petrochemical trade lanes and ecosystems worldwide. The company plays a crucial role in facilitating the growth of the regional and global petrochemicals sector through Jebel Ali.
The integrated logistics offerings, supported by connectivity across international petrochemical trade lanes and the ecosystem at the Jebel Ali hub, give the industry the most attractive logistic proposition. Additionally, its vast network of global liners has contributed to the success of the UAE and the region.
THE JEBEL ALI CONNECTIVITY
DP World’s petrochemical hub, which spans the port and the free zone, handles over one-third of the UAE’s polymer and petrochemical trade through Jebel Ali Port. With storage being an essential factor in the industry, finding a suitable site with convenient connectivity for trade and transport, and a very high standard of safety due to the nature of the products is integral. Jebel Ali Port’s solutions meet all these requirements while ensuring reduced costs and time-efficient operations for customers.
Jebel Ali Port complements the traders’ ambitions with tank terminals and warehousing, specialised storage space for packed lubricants, fuels and industrial chemicals, ISO tanks storage and hazardous goods warehouses.
The port comprises tank terminals with 11 dedicated berths for liquid handling, spread over an area of 2 million sq m with over 1 million cubic metres of liquid bulk storage space. The Chemical berth is well equipped with a storage capacity of over 250,000 cubic meters to store various grades of chemicals.
Prominent industry players such as DOW, BASF, Total and Gulf Petrochem are now headquartered within Jafza and create the basis of a healthy ecosystem of almost 600 companies in the sector. Jafza’s strategic location is also ideal for serving demand in the Middle East and Africa. Its industrial facilities for processing and value-added services make it the perfect base for chemical and petrochemical traders serving growing markets in the Indian Subcontinent and the Middle East.
Jafza is one of the world’s leading free trade zones and is home to over 9,000 multinational companies. Jafza accounts for 23.9% of total FDI (Foreign Direct Investment) flow into Dubai, sustaining the employment of more than 135,000 people in the United Arab Emirates. In 2020, Jafza generated trade worth $104.2 billion.
Strategically located at the crossroads of a region providing market access to over 3.5 billion people, Jebel Ali Port and Free Zone create an integrated multi-modal hub offering sea, air and land connectivity, complemented by extensive logistics facilities. The Port and Free Zone contributed 33.4% of Dubai’s GDP in 2017.