Saudi Railways official says polymer transport deal precedes other upcoming agreements with SABIC

Logo of Saudi Railways Co.

Bader Al-Atni, Senior Vice President of Shipping at Saudi Railways Co. (SAR), said that the deal with Saudi Basic Industries Corp. (SABIC) to transfer polymers is a first stage ahead of other agreements.

In an interview with Al Arabiya, Al-Atni indicated that work is ongoing to fully connect other SABIC products and plants in Al Jubail.

The agreement will change the pattern of supply chains, and will use railways as an enabler for one of the most important local products and industries.

Railway transportation gives a comparative advantage by reducing long-term costs, and provides a safe and environmentally friendly means, reducing carbon emissions by 19% and fuel consumption by 17%.

Al-Atni noted that there are agreements with several companies such as Saudi Arabian Mining Co. (Maaden), Sadara Chemical Co., and ARASCO, as well as agreements for the transportation of cement and grain.

According to data available on Argaam, SABIC recently signed a 25-year agreement with SAR to transport polymers from factories to ships directly via railways.