Etihad Rail, Oman signs MoU with Jindal to reduce carbon footprint

Oman and Etihad Rail Company (OERC) have signed a Memorandum of Understanding (MoU) with Jindal Shadeed Iron & Steel (Jindal), a prominent integrated steel producer in the GCC region to establish a sustainable end-to-end transport logistics solution between Jindal’s steel complex at Sohar Port and the United Arab Emirates (UAE) using the UAE-Oman Rail Network.

With a focus on providing efficient and cost-effective logistics solutions for major global players across diverse sectors, OERC’s commitment will enable Jindal to transport up to 4 million tonnes of raw materials and finished products annually from its steel complex at Sohar Port to the thriving markets in the UAE. The MoU outlines the utilisation of OERC’s state-of-the-art rail network, which will facilitate operational integration through streamlined loading and unloading processes while ensuring that the iron ore and steel transportation requirements are met with the necessary rolling stock 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 4 million tonnes 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.

Through this partnership, Jindal will not only streamline its transportation and logistics operations but also further advance its sustainability objectives and strengthen its green value chain. Leveraging the Oman-UAE Rail Network, OERC will ensure an environmentally friendly transportation solution, aligning with the national goals of both Oman and the UAE to reduce CO2 emissions and work towards net-zero carbon emissions by 2050.

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