Market Update Region MEA

Market Update

Thank you for visiting our page and showing interest in our MEA Market Reader. Below you will find brief summaries for a quick overview of the latest supply chain developments in the Middle East and Africa region. You can download the full version from the beside section for a more in-depth analysis.

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Summary of the Market Update 09/2024

Developments in the Middle East and Africa

Bahrain will introduce a domestic minimum top-up tax (DMTT) for MNCs of 15% on profits, which applies only to companies with a global revenue of EUR 750 in at least two of the previous four fiscal years
UAE’s non-oil foreign trade has reached a record high of AED1.4 trillion ($381.17 billion) in the first half of 2024, rising 11.2% YoY
Chinese lenders approved loans worth $4.61 billion to Africa last year, marking the first annual increase since 2016
PIF is in talks to procure Boeing 777 and Airbus 350 for a new cargo airline. The cargo-hauling operation would serve flag carrier Saudia and startup Riyadh Air
Nigeria's Dangote oil refinery is about to produce gasoline, processing more than half of the capacity of 650,000 barrels a day

- The weekly price average at the end of CW 35 is $92.76 per barrel, which represents an increase of 0.6% from the prior week, a decrease of -8.7% from the prior month, and a decrease of -17.4% from the prior year
- The FAA directive on Boeing could potentially impact 18 million seats globally
- Qatar Airways has acquired a 25% share in Airlink
- Etihad serves its A380 to Mumbai
- Qatar Airways will withdraw 27 weekly freighter flights from the Americas starting in September 2024, resulting in a reduction of 2,700 tons per week
- UAE: Effective immediately from September 1st, 2024, all Mainland Importers must complete their registration on EDAS 2.0 and authorise their preferred brokers to handle MOFAIC Attestation, as per the latest notification from the Authorities - i) the Attestation must be completed within 14 days to avoid penalties ii) You may authorise us to handle the process on your behalf, or you can choose to complete it independently or through any broker of your choice. Additionally, a fee of AED 150 per declaration for COO charges will apply as per the new regulations
- The global ocean freight market is expected to remain tight over the coming weeks, this includes longer transit times and compromised schedules. Equipment remains tight, with occasional shortages across Asia/ISC. Space/supply also remains tight, especially ex Asia. Congestion is increasing around the world, with high yard density in some areas. Rates remain volatile. Surcharges/adders have been implemented by carriers across main routes since the start of the year. Carriers are using the current momentum ex Asia to continue to push for GRI’s/PSS and similar in various trades during the next weeks. The Panama Canal draught limits are improving daily, and are nearly back to full capacity
- Chinese Golden Week is from 01st October to 08th October 2024. This always comes with a few blank sailings to our region, please plan accordingly and contact Thushara Abeywickrema for blank sailing information
- In July 2024, global schedule reliability dropped by -2.1 percentage points M/M to 52.1%. Schedule reliability in July is almost at the same level as it was at the start of the year and is keeping in line with the trends seen so far in 2024, where global schedule reliability has largely been within 50%-55%. On a Y/Y level, schedule reliability in July 2024 was -12.0 percentage points lower. The average delay for LATE vessel arrivals improved, albeit marginally, decreasing by -0.02 days M/M to 5.24 days. This figure was only surpassed by the pandemic highs of 2021-2022. On a Y/Y level, the July 2024 figure was 0.63 days higher