Deputy Transport Minister: Red Sea, Crucial for Global Trade, Affected by Regional Disruptions

Deputy Minister of Transport and Logistic Services, Eng. Rumaih bin Mohammed Al-Rumaih, on Sunday highlighted the Red Sea's crucial role in global trade, noting that recent disruptions in the region have had substantial local, regional, and global effects, tripling shipping costs by more than 200 percent. During a panel titled "Resilience of Logistics Services in the Face of Disruptions in the Red Sea Region" at the World Logistics Forum 2024 in Riyadh, Al-Rumaih discussed obstacles like delays in ship transit through the Suez Canal that can last up to two weeks, further driving up costs and negatively impacting the environment. Participants examined the broader implications of these disruptions, emphasizing that such crises extend beyond the Suez Canal, affecting global supply chains, delaying the arrival of goods at ports, increasing fuel consumption, and leading to higher costs and adverse environmental impacts. The panel discussion underscored the importance of learning from these challenges, fostering international collaboration to develop effective solutions, and creating plans to ensure the resilience of logistics services in response to disruptions affecting global maritime trade routes. Source: Saudi Press Agency