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Mohebi Logistics to establish Dubai hub

By Hpanchal on February 22, 2012

Middle Eastern distributor Mohebi Logistics announced that it’s investing up to AED350 million in a new logistics center at Dubai World Central International Airport. The center, which will be situated in Dubai Logistics City, will nearly double Mohebi Logistics’ regional and global capacity.

Mohebi Logistics’ plot spans 1.5 million square feet and will encompass the company’s headquarters and temperature-controlled warehousing facilities; the latter will be constructed in two separate phases, according to a press release.

The company’s DWC hub is part of Mohebi Investments’ AED1 billion initiative to grow its presence in the Middle East. Mohebi Logistics’ parent company Zainal Mohebi Group will also merge its fast-moving consumer goods operations into a single location at DWC to streamline operations.

Khalifa Al Zaffin, executive chairman of Dubai Aviation City Corp., praised Mohebi Logistics’ decision to invest in Dubai Logistics City, remarking that it “supports the growing logistical needs of the region’s burgeoning business community.”

“Furthermore, it provides direct access to a comprehensive range of state-of-the-art infrastructure and services and multi-modal transport within a centralized location at Dubai World Central,” Al Zaffin in a statement. “This creates the perfect environment for the logistics community to synergize and unlock fresh opportunities for business growth.”

Growth is something DWC has certainly seen in recent months, according to a press release. The airport, which opened in June 2010 to only cargo flights, handled 89,729 tonnes of freight in 2011. From a monthly standpoint, this translates to 7,477 tonnes of cargo; by comparison, DWC handled approximately one-ninth of this number in its first few months of operation in 2010.

Cargo transit traffic accounted for 37 percent of DWC’s 2011 tonnage, according to the press release. The Middle Eastern airport also saw 8,198 aircraft movements during the year, 55 percent of which were test and training flights. Commercial freight flights and general aviation operations accounted for the rest of aircraft movements — 44 percent and 0.5 percent, respectively.

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That's very good news. Dubai is an under-served market.

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