A new Hope: Abu Dhabi logistics hub to distribute billions of Covid-19 vaccines to the world


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Abu Dhabi has launched a global logistics centre to deliver billions of Covid-19 vaccine doses around the world by the end of next year.

The Hope Consortium will provide vaccine storage and distribution and transported five million doses already this month.

Most of the vaccines under development require very cold storage – posing a logistical challenge.

But the hub will ensure vaccines are stored at the correct temperature, sourced and distributed depending on demand, and correctly tracked.

It follows news that three highly effective vaccines have been developed against Covid-19 and brings hope that an end to the pandemic is on the horizon.

Developing a vaccine is only the first step in getting to a solution, getting that vaccine to the whole globe, while maintaining a robust integrity of temperature is an equal challenge

The hub is being run by the Department of Health Abu Dhabi, Etihad Cargo, Abu Dhabi Ports Company, Rafed, part of ADQ, and SkyCell.

The department will oversee regulatory compliance, while Rafed, a group purchasing organisation, will procure vaccines.

“Developing a vaccine is only the first step in getting to a solution," said Sheikh Abdullah Al Hamed, chairman of the Department of Health Abu Dhabi.

"Getting that vaccine to the whole globe, while maintaining a robust integrity of temperature is an equal challenge by itself. The Hope Consortium will provide that solution on the highest level of quality," he said.

"While assuring vaccine supply to the domestic market, the Hope Consortium will offer international governments, non-governmental organisations, and vaccine suppliers a cohesive solution across every supply chain step."

The world is gearing up to mount one of the largest vaccination programmes. Vaccines developed by the University of Oxford, Pfizer and Moderna have given the world hope the pandemic could be edging towards an end.

A vaccine developed by Chinese company Sinopharm has also been approved for emergency use in the UAE, where Phase 3 trials are taking place.

SkyCell, a Swiss company that develops temperature-controlled logistics containers for the pharmaceutical industry, will establish a regional service and manufacturing centre in Abu Dhabi to aid distribution. The containers maintain steady temperatures for an average of 202 hours (8.4 days) and self-recharge automatically in a cooling chamber or refrigerated lorry.

Digital technology infrastructure will be used to manage storage and distribution. Transport will be managed by Etihad Cargo and Abu Dhabi Ports Company.

A researcher in a laboratory at the Jenner Institute in Oxford, England, works on the coronavirus vaccine developed by AstraZeneca and the University of Oxford. Courtesy: University of Oxford / John Cairns via AP
A researcher in a laboratory at the Jenner Institute in Oxford, England, works on the coronavirus vaccine developed by AstraZeneca and the University of Oxford. Courtesy: University of Oxford / John Cairns via AP

Sheikh Abdullah said the companies involved had expertise in delivering millions of Covid-19 related items around the world including personal protective equipment, vaccines and pharmaceuticals.

The Hope Consortium hopes to be able to move and store more than six billion vials – whether in single or multi doses – in cold and ultra-cold conditions by next year, rising to more than three times that by the end of next year. This represents the largest capacity and capability regionally and one of the largest globally.

Distribution of the vaccines, which will be stored in Abu Dhabi Ports Company facilities, will be carried out by Etihad Cargo, the first Middle Eastern carrier to gain the International Air Transport Association's centre of excellence for independent validators certification for pharmaceutical logistics. The UAE’s national carrier will use its network to supply vaccines.

The Hope Consortium will store and distribute Covid-19 vaccines across the world. Courtesy: Hope Consortium
The Hope Consortium will store and distribute Covid-19 vaccines across the world. Courtesy: Hope Consortium

Tony Douglas, Etihad Aviation Group chief executive, said Abu Dhabi was geographically well placed to act as a hub.

“Etihad Cargo’s role in the consortium will leverage our pharmaceutical logistics expertise and specialised pharma and healthcare service, PharmaLife ... capable of facilitating temperature-sensitive cargo between 25⁰C and -80⁰C," he said.

Mr Douglas said Etihad would use its charter operations to meet global demand for Covid-19 vaccine shipments.

“A dedicated pharmaceutical handling facility to accommodate increased capacity at our Abu Dhabi hub is also currently under review,” he said.

Efforts are increasing at home and abroad to vaccinate the world. Emirates last month established a hub at its SkyCargo centre in Dubai to allow the carrier to fly in vaccines from manufacturing sites globally.

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Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Power: 333hp, 449hp, 680hp

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The BIO:

He became the first Emirati to climb Mount Everest in 2011, from the south section in Nepal

He ascended Mount Everest the next year from the more treacherous north Tibetan side

By 2015, he had completed the Explorers Grand Slam

Last year, he conquered K2, the world’s second-highest mountain located on the Pakistan-Chinese border

He carries dried camel meat, dried dates and a wheat mixture for the final summit push

His new goal is to climb 14 peaks that are more than 8,000 metres above sea level

UAE currency: the story behind the money in your pockets
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Founder: Ayman Badawi

Date started: Test product September 2016, paid launch January 2017

Based: Dubai, UAE

Sector: Software

Size: Seven employees

Funding: $170,000 in angel investment

Funders: friends

Graduated from the American University of Sharjah

She is the eldest of three brothers and two sisters

Has helped solve 15 cases of electric shocks

Enjoys travelling, reading and horse riding

 

While you're here
If you go

The flights

The closest international airport for those travelling from the UAE is Denver, Colorado. British Airways (www.ba.com) flies from the UAE via London from Dh3,700 return, including taxes. From there, transfers can be arranged to the ranch or it’s a seven-hour drive. Alternatively, take an internal flight to the counties of Cody, Casper, or Billings

The stay

Red Reflet offers a series of packages, with prices varying depending on season. All meals and activities are included, with prices starting from US$2,218 (Dh7,150) per person for a minimum stay of three nights, including taxes. For more information, visit red-reflet-ranch.net.