Since its inception in November 2018, Export Bahrain, the kingdom’s national export development entity has supported products and services made in Bahrain to go global and expand into various international markets.
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In addition to launching its new strategy, the entity is now launching its export directory and is looking to further expand its partnerships with stakeholders across the logistics sector. “We will be looking into providing more, detailed information that addresses supply chain issues and ensure that we are providing more innovative end-to-end solutions when it comes to the supply chain space,” shares Safa Sharif Abdulkhaliq, the CEO of Export Bahrain in an exclusive interview with Logistics Middle East.
Empowering Bahrain’s logistics sector
According to Abdulkhaliq, Export Bahrain leverages an extended network of transport and logistics partners in the kingdom and beyond to offer its business partners exclusive below-market rates to help drive their growth and maximise their profitability. “Be it at land or sea, we make sure that we provide other value-added services to our businesses, whether in terms of warehousing, clearance, packaging, [we] provide them with insurance so that they don’t have to purchase another insurance product and make sure that the product reaches the destination without any losses or damages.”
Over time, the firm has partnered with a huge chunk of players in the logistics industry. “We have covered more than 95% of partnerships with airlines. We’ve also partnered with many cargo freight agencies, [both] small and large [companies],” she says, further highlighting that under the said agreements, Export Bahrain offers below-market rates for cargo requirements ranging between 60 to 80%.
“Despite the pandemic-induced supply-chain disruptions, the cost saving that we support our businesses with through our partners has helped them to save a lot of money that, otherwise, goes towards their shipping [operations].”
Moreover, Export Bahrain’s market intelligence and clearance solutions have enabled companies of different sizes to make data-informed decisions and reduce operating costs.
Abdulkhaliq remarks that it is not just the cost involved that Export Bahrain looks at but also other creative and strategic solutions. While the cost aspect is more important for SMEs, which approach the entity to minimise their operational costs, larger companies have specific requirements and are seeking more bespoke solutions. “Let’s say a company requires their shipment to reach its [destination] in a shorter duration, so instead of the container going off from Jebel Ali to India to elsewhere, we can provide creative solutions to go around those issues, given our strong networks and partnerships,” she explains.
Moreover, Abdulkhaliq points out that the GCC region plays an integral role in driving more digitisation across the business landscape, and increased financing in the logistics space, in particular. “My personal belief is that the pandemic has been a blessing in disguise for us, in terms of supporting a lot of these partners with innovative solutions and strategies that led us towards increased digitisation, more data-driven analysis and information, upscaling, as well as more investment not only in terms of upskilling the workforce but also in [developing] the logistics sector. “
A strong foothold
Throughout its four years of operations, Export Bahrain has established a strong foothold in the region, with over $300 million (AED 110 million) worth of exports facilitated.
“We have tapped into over 68 international markets. Also, more than 20% of our businesses have started exporting for the first time,” Abdulkhaliq reveals, adding that in the last four years, Export Bahrain established over 45- 50 international partnerships and has bagged over six international awards for its role in the market.
Moreover, the entity partnered with many key land, air and sea logistics solutions providers to bring more value to its business partners, from reducing the cost of their cargo to providing more value-added services, particularly in warehousing, packaging, and clearance, in addition to helping them with their insurance requirements. “Thanks to these partnerships, we have helped to increase the contribution of exports of local entities towards the [country’s] GDP.”
While Export Bahrain boasts a wide range of solutions, Abdulkhaliq hints 90% of the company’s database is focused on logistics and shipping, adding that its solution offering works towards reducing the cost of operations. “What we do is not providing them with grants and incentives, but getting into their business models and reducing their costs as well as supporting their supply chain,” she explains.
Weathering the storm
Abdulkhaliq recalls how the entire value chain was impacted because of the pandemic. “Till today, we face [challenges], including shortages of containers and vessels, raw material and [other] production-related issues because of the absence of employees in the sector as well as the hike in prices, and the high shipping prices that range over 500%, if not more. —
The highest impact was on businesses relying entirely on imports and exports,” she reveals, pointing out that the company’s strategy was to streamline its processes, come up with innovative solutions to provide cost-effective, best-fit solutions, and ensure that its business partners can remain in a position to compete with their peers, both in terms of speed and price.
Looking ahead
According to Abdulkhaliq, identifying the right partners and avenues to provide more visibility and promoting local products and services, comes as a priority for Export Bahrain, in line with Bahrain’s economic recovery plan, and Economic Vision 2030 objectives.
Export Bahrain is now working on launching its new strategy for the road ahead. “Our upcoming strategy looks to enhance our current offerings so that they are in line with international best case practices, as provide a lot of incentives and customised solutions, supporting businesses, to compete a lot with their international peers,” Abdulkhaliq asserts.
As our interview draws to a close, Abdulkhaliq concludes that Export Bahrain maintains an unwavering focus on increasing export volumes to existing markets, rather than stepping into new markets. “I think our next big step is focusing more on our service exports. We want to walk the streets of New York and Oxford Street and look at building franchises being physically branched out to those international markets as well as the African markets,” she says.
