Agility-backed Shipa opens two e-commerce fulfillment centers in Dubai
The centers, in the Jebel Ali Free Zone and Dubai Investment Park, will help global, regional and local brands scale quickly to capitalise on the explosive growth in e-commerce and online sales across the GCC.
Shipa, the digital logistics and e-commerce arm of Agility, has opened two state-of-the-art e-commerce fulfillment centers in Dubai to manage online purchases and deliver to customers in the UAE, Saudi Arabia, Kuwait, Qatar and Bahrain. The centers, in the Jebel Ali Free Zone and Dubai Investment Park, will help global, regional and local brands scale quickly to capitalise on the explosive growth in e-commerce and online sales across the GCC.
Shipa’s 60,000 sqm fulfillment center in the Jebel Ali Free Zone (JAFZA) and a second 20,000 sqm facility in Dubai Investment Park feature a combined 2,000 pallet positions and 10,000 bin locations. Both leverage the operational expertise and technology of Agility, a leading global logistics provider. The centers offer bonded and non-bonded storage; inbound air and ocean stock replenishment; pick-and-pack services; customer technology integration and APIs; local and international returns services; and integration with cross-border and last-mile transportation vendors.
Shipa’s value-added services include e-fulfillment solutions scalable for all GCC markets, including access to more than 1.2 million sqm of GCC warehousing, customs brokerage, express bonded road services, and delivery options that include COD, pre-paid and payment-at-door. Shipa Delivery, the company's last-mile delivery network, provides last-mile services in GCC markets.
Both facilities offer racked and bulk storage and use leading warehouse management systems. In addition, both adhere to rigorous Quality Health Safety, Security and Environment (QHSSE) standards and offer temperature-controlled storage, including frozen and refrigerated storage. The JAFZA facility offers bonded and duty-paid facilities to serve retailers with regional logistics requirements.
Globally and in the Middle East, the Covid-19 pandemic has accelerated growth in online sales and the shift from in-person purchases to digital commerce. Even before the pandemic, e-commerce and digital sales were growing at 21 per cent a year in the GCC, where annual retail spending is estimated at $230 billion a year, according to global consulting firm Consultport.
Jeremy M. Skyrme, chief growth officer for Shipa, said, “The brands that get the customer experience right in the UAE, Saudi Arabia and across the GCC will be the ones that succeed. Shipa’s world-class fulfillment centers give them services and solutions that ensure a fast, efficient, mistake-free flow of goods from first mile to last mile — the keys to guaranteeing customer satisfaction and repeat business.”
Shipa launched its fulfillment centers to meet the surge in demand brought about by the dramatic acceleration in e-commerce and online transactions. The need for efficiency and improved per unit productivity are important requirements for companies looking to trusted partners as they outsource fulfillment.
Hassan Mikail, Middle East CEO of Shipa Ecommerce said, “Shipa is widening their service offering to meet changing market dynamics. We are delighted that Shipa is leveraging the full scope of the Agility JAFZA and DIP capabilities to further support global and local businesses.”