Dubai Wholesale City Signs Agreement with LuLu Group International with a value of AED300 Million
Dubai-UAE: 5 March, 2018 – Dubai Wholesale City (DWSC) has signed an agreement with LuLu Group International, the top retailer in the Middle East, to set up a AED300 million Central Logistics Hub at the region’s largest fully integrated wholesale hub.
Spanning an area of 1.3 million square feet, the central logistics hub is estimated to take shape within 30 months and once completed, the modern high-end facility will provide efficient distribution services to meet the consumption requirements of LuLu Group International’s growing network of malls and hypermarkets across Dubai, Sharjah, and Northern Emirates.
The agreement was inked by Abdulla Belhoul, Chief Executive Officer of Dubai Wholesale City, and Yousuf Ali M.A, Chairman of LuLu Group, in the presence of Saud Abu Al-Shawareb, Chief Operating Officer of Dubai Industrial Park along with senior executives and associates from both parties.
Speaking on the occasion, Abdulla Belhoul said: “We welcome LuLu Group International to Dubai Wholesale City. The upcoming facility will benefit from the DWSC’s world-class infrastructure, governmental support, and full suite of services that can enhance efficiency across all stages of operations. Set to serve as an all-encompassing destination for food trading as well as a variety of other sectors, DWSC is making steady headway in completing infrastructure works in line with emerging market trends.”
He added: “Dubai Wholesale City is keeping a close eye on local, regional, and international market needs in order to provide a fully integrated ecosystem through its two components: Dubai Industrial Park and Dubai Food Park. DWSC is set to play a vital role in supporting Dubai’s economic diversification efforts.”
LuLu Group International operates 144 hypermarkets and shopping malls across the region making it a top player in the organized retail sector. According to the recent Deloitte Integrated Annual Report, LuLu Group International is among the Top 50 fastest growing retailers globally with a market share of 32 percent.
Yousuf Ali of the Lulu Group International, commended Dubai Wholesale City’s integrated services that will contribute to the significant expansion of the Group’s operations and enhance its ability to meet the growing demands of consumers.
The upcoming Central Logistics Hub will benefit from Dubai Wholesale City’s proximity to Sheikh Mohammad Bin Zayed Road and Emirates Road. Just 10 minutes away from Al Maktoum International Airport, the Park is also a 15 minute-drive from the Jebel Ali Free Zone. Notably, the destination is set to provide a range of comprehensive governmental services including customs, clearance, licensing, food safety and supervision all under one roof.
Lulu Group International’s decision to set up a dedicated, state-of-the-art Central Logistics Hub comes at a time when the UAE’s retail sector is projected to grow at a compound annual growth rate (CAGR) of 4.9% and value close to US$71 billion by 2021, as per a new finding released by the Dubai Chamber of Commerce and Industry.