Major potential for logisticsplayers in oil-rich Gulf nations

The old model for countries such as Saudi Arabia was to award contracts to overseas giants to extract oil and gas and wait for the royalties to pour in. The dynamics have changed. All these factors are having an impact: global supply constraints; the West seeking alternative energy sources; the determination among Gulf nations to build healthy industrial economies. Many Gulf nations are now re-examining what they export.
They see a need to win a lot more value from their finite resources. This means they will build an entirely new economy by engaging in industries that consume oil and gas, in direct competition with the countries to which they export. This will affect the logistics industry in a major way. So instead of exporting primary resources – oil and gas exported in crude or LPG form – these resources will be more intensively used in the Gulf to produce secondary and tertiary products.

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Cargonews Asia