Kanoo Freight expands into petrochemical logistics
Kanoo Freight has launched a joint venture with BDP International (BDP) to serve the logistics and transportation needs of the Middle East’s chemical and petrochemical industry.
The new entity, named BDP Kanoo Chemical Logistics, will be based in Dammam, Saudi Arabia.
“The establishment of this joint venture will provide the services needed for the region to fulfil its vision of economic diversification and adding more value downstream in the hydrocarbon industries,” said Fawzi Ahmed Kanoo, chairman of Kanoo Freight.
“With the emergence of the Middle East as a global logistics hub, customers in the chemical and petrochemical sector place a great deal of importance on reliable on-time supply, and BDP Kanoo is designed to focus on delivering against or exceeding these expectations.”
BDP Kanoo Chemical Logistics will offer a full suite of logistics services, including freight forwarding, customs brokerage, marine, air and ground transportation, warehousing and distribution, project and energy logistics, regulatory and security compliance, process management and supply chain solutions.
“With significant investments in the downstream petrochemical industries and abundance of feedstocks, the Middle East, and Saudi Arabia in particular, is becoming the epicentre of the global petrochemical industry,” said Richard J. Bolte, president and CEO of BDP.
“We have a substantial base of clients operating in the region which stand to benefit from our strong presence in the global chemical and petrochemical sector complemented by Kanoo’s deep expertise in regional and local trade and regulatory practices.”
Financial terms of the agreement between the two privately-held companies were not disclosed.