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Oman and Etihad Rail Company partners with Jindal to establish sustainable logistics solution

Both UAE and Oman have set ambitious goals of reducing their carbon emissions by 2050. (Image source: Oman and Etihad Rail)

Oman and Etihad Rail Company (OERC) and Jindal Shadeed Group have agreed to develop an end-to-end transport logistics solution

This will be established between Jindal’s steel complex at Sohar Port and the UAE, via the UAE-Oman Rail Network. The MoU will allow Jindal to transport up to four million tonnes of raw materials and finished products from its steel complex at Sohar Port to the UAE's thriving markets each year, as part of OERC's commitment to providing efficient and cost-effective logistics solutions for major global players across various sectors.

According to the terms of the agreement, OERC will use its rail network to assist Jindal in optimising operational integration through easier loading and unloading procedures, while also ensuring iron ore and steel needs for rolling stock and infrastructure.

Jindal will not only improve its transportation and logistics operations, but will also advance its environmental goals and develop its green value chain as a result of this partnership. Through the Oman-UAE Rail Network, OERC will offer an ecologically sustainable transport and logistics solution, contributing to the reduction of CO2 emissions in Oman and the UAE, in line with their national targets of net-zero carbon emissions by 2050.

OERC has recently formed several commercial and investment partnerships with major international players in a variety of industrial sectors in order to provide innovative logistics solutions and facilities. 

Commenting on the agreement, Mohammed bin Zahran Al Mahrouqi, deputy CEO of OERC, said, “Our partnership with Jindal Shadeed Group reinforces Oman and Etihad Rail Company’s commitment to improving logistics services to meet the future needs and expectations of our customers by providing comprehensive solutions and stimulating the growth of various industrial sectors within Oman and the UAE. Furthermore, the MoU will enable Jindal to enhance its supply chain efficiency, benefiting from the UAE-Oman Rail Network’s fast, cost-effective, and sustainable services.”

For his part, Harsha Shetty, CEO of Jindal, said, “This is an important milestone for our company as we look forward to further expanding the reach of our high-quality, industry-leading products in the region and beyond. Our ability to seamlessly transport nearly four million tons of raw material will greatly help us in our operations, supporting our ambition to reduce our carbon footprint.”

“We are very proud of our partnership with this national strategic project that will bring enormous economic and social returns to both the Sultanate of Oman and the UAE, whilst also emphasising the region's competitive advantage as a logistics hub,” he added.