AD Ports Group announced the signing of a Memorandum of Understanding (MoU) with the Kuwait General Administration of Customs to establish a new virtual trade corridor between the UAE and Kuwait, under the supervision of Department of Economic Development – Abu Dhabi (ADDED). The signing took place in Kuwait following a visit by DED’s Logistics Committee, under the patronage of Abdulwahab Al Rushaid, Minister of Finance and Minister of State for Economic Affairs and Investments – Kuwait and in presence of Dr. Matar Hamed Al Neyadi, UAE Ambassador to Kuwait.
The MoU was signed by Capt. Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, and Suleiman Abdul Aziz Al Fahd, Director of the General Administration of Customs – Kuwait. By signing the MoU, AD Ports Group’s digital arm, Maqta Gateway, will develop a virtual trade corridor based on its Advanced Trade & Logistics Platform (ATLP), under the supervision of ADDED. This will establish new policies, procedures, and system integrations to support a virtual trade corridor that will further facilitate cross-border trade.
As a result of the new virtual trade corridor and integrated solutions, customs authorities in both countries will be able to access pre-arrival information for international cargo movements, promoting the cross-validation of information and facilitating pre-clearance of goods. In addition to accelerated procedures for expediting shipments of perishable goods, the MoU will reduce dwell time at borders.
This digital integration will also bring significant safety and security benefits, as well as improve visibility for the authorities over possible risks associated with the movement of goods between the two nations in addition to reducing inspection rates and streamlining the processes for those in possession of authorizations.
The long-standing bilateral trade ties enjoyed between the two GCC countries in recent years has seen the rapid growth of several key commodity markets. In 2021, the UAE imported more than two million tonnes of petroleum oil products valued at an estimated AED3.79 billion from Kuwait, as well as 143,408 tonnes of petroleum coke and tar valued at AED213 million.
During the same period, the State of Kuwait imported over 18.94 million tonnes of pebbles and stones for use in construction from Abu Dhabi, valued at AED650 million. It also imported 16 and 18 tonnes of gold and jewellery that were valued at AED3.16 billion and AED2.8 billion, respectively.