The World Logistics Passport, a Dubai-led initiative designed to boost trade between developing markets, has expanded its global network of trade hubs to four continents and 11 countries, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, said on Saturday.
India, Indonesia, Thailand, Brazil, Colombia and South Africa have signed on to the WLP in the past 12 months, Sheikh Mohammed said in a statement on state news agency Wam.
Launched at the 2020 World Economic Forum in Davos, the WLP aims to increase resilience in global supply chains and remove trade barriers facing developing economies. It is planning to tap into more than 20 markets representing 54 per cent of global gross domestic product and by 2023, is projected to have an impact of about 2 per cent on global trade.
“In just one year, we have taken the WLP from vision to reality, bringing together a number of leading nations, logistics partners and multinational corporations in a close-knit alliance focused on trade growth,” Sheikh Mohammed said.
“The WLP demonstrates once again the UAE’s keenness to work together with other nations to enhance prosperity and expand growth opportunities for businesses at a time when global markets are seeking to renew their momentum for growth.”
In January, Etihad Credit Insurance, the Dubai Multi Commodities Centre and flydubai signed up to the initiative, joining ports operator DP World, Dubai Customs, Emirates airline and Dnata, as well as other countries including Senegal, Kazakhstan and Uruguay, the WLP said.
Benefits range from increased trade revenue for businesses, increased fee generation for state trade authorities, tax revenues, connection of customs departments and global knowledge sharing networks.
South-south trade between developing countries in Asia, Africa and South America represented an estimated US$2.48 trillion, or 52 per cent, of total developing economies' exports, according to the World Trade Organisation's World Trade Statistical Review 2019 report.
“By connecting into the WLP network of fast-growing economies, member businesses have the opportunity to diversify into new markets such as Latin America, South Asia or Africa while shoring up their regional connectivity,” the Wam statement said.
Multinational corporations, including UPS, Pfizer, Sony, Johnson & Johnson and LG have already registered as WLP members, it added.
"The UAE continues to work with its partners to introduce new initiatives that stimulate trade growth regionally and globally, leveraging its vast expertise in facilitating global trade and its capabilities and experience gained over the years to explore expanded opportunities and create new economic value," Sheikh Mohammed added.