Consultant’s Insight: DP World opens air cargo logistics hub in Dominican Republic

As part of its strategy to become a diversified provider of logistics services, maritime ports and terminal operations, DP World announced the opening of export operations at its new air cargo logistics hub in Punta Cana , Dominican Republic. [caption id="attachment_69752" align="alignleft" width="298"] Cathy Roberson, Cargo Facts Consulting senior consultant and Air Cargo Next columnist[/caption] The hub includes an air cargo terminal, logistics center, warehouses, manufacturing facilities, a fuel supply terminal, a maintenance and repair workshop for aircraft and a general service building. These additions expand upon existing warehouses for export, import and in-transit. The hub’s integration with Punta Cana International Airport (PUJ) enables multimodal capabilities, according to DP World . “The beginning of the early-stage operations in this advanced air cargo logistics center significantly broadens the range of services we can offer to our growing list of customers,” Morten Johansen , executive vice president of DP World Americas , said in a statement. “This hub is poised to position the Dominican Republic prominently on the global stage as a key player in air cargo for various products from across the region.” Currently, 60% to 70% of the cargo comprises perishables, primarily fruits and vegetables. The hub also handles other commodities, including machinery, automotive equipment and seafood, and specializes in expedited shipments. Plans are to diversify into the pharmaceutical , technology and e-commerce sectors. “We aim to forge partnerships that boost national and regional connectivity,” Johansen said. “The greater the connectivity through air and sea routes, the more appealing our country becomes as a hub for manufacturing and logistics for companies in the Americas and beyond.” DP World is discussing expanding its sea-air operations with South American countries, including Peru, Colombia, Ecuador and Chile. Expanding in Central and South America DP World is part of a growing list of carriers and logistics providers that aim to provide end-to-end solutions. “We have a clear focus on offering end-to-end supply chain solutions to cargo owners to enhance efficiency, transparency and resilience in the supply chain,” DP World stated in its 2022 annual report. It also focuses on building new trade lanes to improve customer connectivity and enable faster and more efficient cargo movement. Mexico is often discussed as the United States’ primary beneficiary of nearshoring options , while the Caribbean is often overlooked. Due to the proximity of the Caribbean to the U.S. and South America, opportunities include both nearshoring and expanded trade. DP World has operated in the Dominican Republic since the early 2000s. The country has invested in infrastructure to attract manufacturers such as Eaton , Hayco and Medtronic . As such, production and exports have increased in the country. Between 2020 and 2021, the Dominican Republic approved 45 new free-zone companies and two new industrial parks. DHL Express also expanded into the country in 2022, when it announced that contractor iAero Airways , doing business as Swift Air , would operate a Boeing 737-800 freighter five times per week between DHL’s regional hub in Miami to Santo Domingo, the capital of the Dominican Republic. As sourcing and trade patterns shift, the Dominican Republic is likely to be among the shining stars, offering both nearshoring opportunities and regional and international trade solutions. Join Air Cargo Next for the free webinar, “The future of AI in air cargo,” on Tuesday, Dec. 5, at 11 a.m. ET. More information about the webinar and registration is available here .

Consultant’s Insight: DP World opens air cargo logistics hub in Dominican Republic

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