Jafza Expands Logistics Park with AED 90M Investment, Boosting Dubai Trade

Post by: Elena Malik

Photo : Dubai Government Media Office

Jebel Ali Free Zone (Jafza) is expanding its Logistics Park with a major AED 90 million investment in Phase 2. The new phase will add 360,000 square feet of high-quality facilities. This expansion is part of the UAE’s goal to increase the logistics sector’s value to AED 200 billion per year over the next seven years. It also strengthens Dubai’s position as a key player in global trade.

The second phase will introduce modern infrastructure designed to support various industries. It will include office spaces, customizable units, temperature-controlled warehouses, and loading docks. The expansion will also provide greater power capacity to meet the needs of different businesses.

Meeting Growing Demand for Warehousing
Abdulla Al Hashmi, Chief Operating Officer of Parks & Zones at DP World GCC, highlighted the importance of the project. He said, “The expansion of Jafza Logistics Park shows our dedication to helping businesses grow and attracting more foreign investment into Dubai. Phase 1 was fully leased before it was even finished, which shows how much demand there is for high-quality logistics and storage facilities. Phase 2 will offer even more flexible and top-notch solutions, helping businesses from different sectors expand.”

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With this expansion, Jafza’s Logistics Park will now cover a total area of over 922,000 square feet. This growth will enhance its world-class infrastructure and increase its ability to serve the region’s logistics needs.

Tapping into a Booming Market
The freight and logistics market in the Middle East and Africa is projected to reach $235.8 billion by 2031. As demand for modern warehousing rises, cities like Dubai are becoming major hubs. Industries such as manufacturing, e-commerce, construction, and logistics are driving this rapid growth.

The expanded park will help meet this rising demand. It offers direct access to Jebel Ali Port, giving businesses excellent market connectivity. The park will provide advanced logistics services, including contract logistics, freight forwarding, and freight management. These services will cater to a range of products, from technology and auto parts to fashion and packaged food.

In addition to storage, the park will offer value-added services like packaging, labeling, and quality control. Real-time inventory tracking will help companies monitor their goods efficiently. The park will also support re-exports, local distribution, and import-export consolidation, making it easier for businesses to manage their operations.

Built with Sustainability in Mind
Jafza is also prioritizing sustainability in this project. The park uses precast concrete and off-site construction methods to reduce its environmental impact. It also features skylights to maximize natural daylight, cutting down on energy use.

A Key Contributor to Dubai’s Economy
Jafza is already home to 10,890 companies from 150 countries, supporting over 160,000 jobs. The free zone contributes AED 620 billion in trade each year. The first phase of the Logistics Park, which was completed in November 2023, spans 562,507 square feet. It offers Grade-A dry and pharmaceutical storage units, temperature-controlled warehouses, and office spaces.

With the completion of Phase 2, Jafza’s Logistics Park is set to play an even bigger role in boosting Dubai’s trade and logistics capabilities, helping businesses thrive and attract more global investors.

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