Borouge Transports Over 700,000 Tonnes of Polyolefins Via Etihad Rail in First Year

ABU DHABI: Borouge Plc has successfully transported more than 700,000 tonnes of polyolefins during the first year of its agreement with Etihad Rail, significantly enhancing logistical efficiencies and reducing carbon emissions. This milestone reflects the strategic benefits of the partnership which was initiated to leverage the UAE National Rail Network for freight operations, boosting both economic and environmental performance. According to Emirates News Agency, since the inception of the service in September 2023, Borouge has shipped over 36,000 containers from Al Ruwais Industrial City to Khalifa Port in Abu Dhabi via Etihad Rail. The rail journey, which takes approximately four hours in each direction, is a substantial improvement over the 12-hour transit time required by other transport modes. This efficiency not only reduces operational costs but also contributes to lower greenhouse gas emissions, aligning with the UAE's sustainability goals. Hazeem Sultan Al Suwaidi, CEO of Borouge, emphasized the t ransformative impact of the rail network on the company's operations. "The rail option has not only enhanced our competitive edge by allowing us to move larger volumes at greater speeds but also supports our commitment to sustainability and the local economy," Al Suwaidi stated. He highlighted that the partnership bolsters Borouge's strategy to expand its "Made in UAE" product offerings globally while strengthening local supply chains. Shadi Malak, CEO of Etihad Rail, outlined the broader benefits of the rail services for customers like Borouge. "Our rail solutions enhance the reliability and cost-effectiveness of our customers' supply chains, enabling them to become more competitive and efficient," Malak explained. He expressed enthusiasm for the ongoing collaboration with Borouge and its potential to drive continuous improvement in service delivery. The rail service is part of a broader initiative under the UAE National Rail Network, which aims to reduce the country's road transport carbon emissions by 21 % annually by 2050. The partnership also aligns with the national In-Country Value programme, ensuring that 88% of the contract value contributes directly to the UAE's economy. With the success of this initiative, Borouge and Etihad Rail are planning to extend their cooperation to include additional UAE ports such as the Port of Fujairah, further enhancing the transport network's reach and effectiveness. This expansion is poised to support Borouge's ongoing efforts to serve customers in over 80 countries across Asia, the Middle East, and Africa with innovative and sustainable polyolefin solutions.