Master’s Thesis Unlocking logistics Prosperity: The Crucial Role of Expansion Dry Ports Infrastructure for driving economic transformation in Saudi Arabia
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Date
2025
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amarican university of Bahrain
Abstract
The research focuses on the technical, economic and environmental feasibility of establishing dry
ports in the central region of KSA to support Vision 2030 goals. The study aims at exploring the
role of dry ports in increasing trade flow, diversifying the economy, and cutting down logistic
expenses together with dematerialising logistical impacts on the environment. The specific
objectives include examining the feasibility of developing dry ports, the economic effects, the
facilitation of trade and employment, the environmental repercussions, and exploring their
relevance towards the goal of turning Saudi Arabia into a logistics centre. The literature review
reveal that dry ports have benefits such as increasing the flow of cargo, decreasing occupancy at
ports, and promoting the economic growth. Furthermore, various studies indicate that dry ports
can complement the geopolitical strategy of Saudi Arabia by improving the efficiency of its
logistics network. A mixed-method approach was used, incorporating quantitative surveys and
qualitative interviews with industry stakeholders, including logistics experts, policymakers, and
port authorities. Multiple regression analysis was used to compare infrastructure development
and the economic effect. Cronbach’s Alpha was used to validate reliability by testing internal
homogeneity of the survey results. The findings of this study established that expansion of dry
ports is feasible, with the participants identifying infrastructure enhancement, improved
organisational performance, and digitalisation as success factors. Recommendations include
smart logistics, development of rail links, and policies which will help make Saudi Arabia even
more attractive for international trade and investment
Description
Saudi Arabia’s logistic shortcomings remain a major concern that continues to hamper the country’s strategic goal of turning the region into a major logistics hub. Some of the issues currently affecting the sector include high logistics costs, poor intermodal integration and congestion of seaports. It is encouraging to note that the Kingdom has invested in constructing new infrastructures like King Abdullah Port that is among the fastest-growing ports in the world, which showcases efforts to address these concerns.
However, the lack of efficient inland distribution networks results in logistical bottlenecks that increase transportation costs and limit trade efficiency
To address the logistical challenges, Saudi Arabia is considering the construction of a dry port in the central region to facilitate the efficient distribution of cargo. A dry port, also
known as an inland intermodal terminal, is a key logistics hub that connects seaports to industrial and commercial areas through rail and road transport
Keywords
LOGISTICS AND SUPPLY CHAINS, DRY PORTS, Dry Ports Infrastructure, Expansion Dry Ports Infrastructure, driving economic transformation in Saudi Arabia, increasing trade flow, Saudi Arabia’s logistic shortcomings, poor intermodal integration and congestion of seaports, lack of efficient inland distribution networks, logistical challenges in Saudi Arabia
Citation
APA FORMAT