Agility, a leading global logistics provider, has signed a deal with Etihad Rail, the developer and operator of the UAE’s national railway network, to jointly develop logistics network in the UAE and other GCC states.

Under the memorandum of understanding, Etihad Rail and Agility seek to establish long-term, mutually beneficial co-operation with the aim of developing and enhancing the network, said a statement.

Faris Saif Al Mazrouei, acting chief executive officer of Etihad Rail, said: “The enhanced connectivity that Etihad Rail will deliver will effectively bring businesses closer together, facilitating more efficient trade and extending geographic markets. Our MOU with Agility is another important step forward for the UAE’s rail project. Agility is recognised as a logistics leader and we are proud to work with such a major organisation to further develop the logistics industry.”

Bassel El Dabbagg, CEO of Agility Abu Dhabi, said: “The signing of this MOU has established a solid foundation to build a more efficient and extensive supply chain in the UAE and across the GCC. We are confident our co-operation with Etihad Rail will enhance our service to customers by providing them with an additional mode of transport that is faster, safer, more reliable and sustainable, and enable them to reach remote areas in the western region.”

The Dh40 billion ($10.8 billion), 1,200-km Etihad Rail network will connect industrial areas as well as urban and peripheral communities throughout the country, facilitating trade and fostering economic growth, said the statement.

The network will form a vital part of the planned GCC railway network – linking the UAE to Saudi Arabia via Ghweifat in the west and Oman via Al Ain in the east.

Etihad Rail works closely with GCC railways through the GCC Secretariat General with shared goals, aspirations, and business objectives to deliver the regional railway professionally, efficiently, and on schedule.

The construction of the project is under way with services between Habshan and Ruwais already operational on a trial basis since September last year, with Shah-Habshan services expected to follow before the end of this year. - TradeArabia News Service