Dubai achieves 3rd best spot for logistics infrastructure in global report

Knight Frank report ‘Dubai Industrial Future’ finds that Dubai has the third best infrastructure for logistics, after Singapore and Hong Kong.
Knight Frank, Report, Dubai, Uae, Logistics, Infrastructure


As part of the UAE’s economic diversification plan (UAE Vision 2021) and Dubai’s Industrial Strategy 2030, the development of the industrial sector is seen as strategically important goal for the sustained long term success of economy.

Over the 10 years to 2017 the sector recorded anaemic growth of 10.7% in Dubai compared to the Hong Kong (42.0%), Singapore (59.6%) and Shanghai (85.8%) markets.

To support the sector’s growth Dubai has invested heavily in transport and infrastructure improvements over these years, which as a result is now ranked the third best in the world.

Additionally, with the level of accessibility on offer, combined with Dubai’s strategic location we have seen the Emirate’s ports and airport freight volumes begin to compete on a global level. This is further buoyed by Dubai’s relative affordability in terms of industrial rents. Dubai ranks 2nd lowest in terms of prime industrial rents at US$103 per square metre, which is marginally higher than Shanghai’s US$101. 

The UAE’s International Airport’s freight volumes rank third, only China and the United States rank higher. Similarly, Dubai’s main port, Jebel Ali, is now ranked the 9th largest in the world, ranked by total container volumes. Narrowing in on our key cities, Dubai has the 4th largest Port by twenty-foot equivalent units.

Therefore, it is little surprise we are seeing global occupiers in this sector using Dubai as their hub for a regional presence. Matthew Dadd, Partner, Commercial Agency & Leasing outlined current sentiment and future prospects:

“The growth in the sector to date has positioned Dubai as an international hub for logistics and trade. As a key pillar of the Dubai economy, and with future investments underway or planned, we will witness further improvements in the rankings in the years to come. “

These strong fundamentals have supported Dubai’s expected industry growth rate of 57.4% over the 10 years to 2027, is expected to outpace those in our selected global hub cities.

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