Situated at the crossroads of global commerce, the GCC is tied to one of the world’s most important trade corridors, the Red Sea, which carries 12% of global trade. Regional economies are diversifying, strengthening their role in international supply chains and investing in advanced manufacturing and distribution zones. In turn, warehouse operators face mounting pressure to increase speed, resilience, and efficiency. Against these structural shifts, Swisslog highlights five warehouse challenges that automation is positioned to solve across MENA by 2026.

1. Labour shortages and rising costs

Warehouse processes such as picking and palletising can account for up to 60% of operational costs, with labour representing more than half of total warehouse expenditure. In high-demand logistics corridors, large turnover in manual roles and increasing wage expectations are intensifying pressure on operators to do more with fewer people.

The Middle East is entering a new phase of logistics expansion as governments accelerate long-term strategies to position the region as a global trade and distribution hub. The Middle East logistics market is set to double this year compared with 2020, reflecting the scale of investment now flowing into infrastructure, technology, and supply chain modernisation. This momentum is reshaping expectations for warehouse performance, energy efficiency, and service reliability. Swisslog outlines the five trends that will define 2026’s warehousing landscape.

Dubai, UAE, 29 October 2025 – Swisslog, the global leader in designs, manufacture and optimize automated logistics solutions across the supply chain, is set to participate in Gulfood Manufacturing 2025, the region’s premier platform for exploring the future of food production through cutting-edge technologies and integrated supply chain solutions. Taking place from 4–6 November 2025 at Dubai World Trade Centre, Swisslog will be showcasing its automation solutions that will transform supply chains and support sustainable food production.

At the exhibition, visitors can experience live demonstrations of Swisslog’s industry-leading robotic storage and order fulfilment technologies, including AutoStore and a robotic palletizing demo. Together, these solutions cover the full food value chain—from production to e-grocery. Integrated with Swisslog’s software, they enable precise inventory and distribution management, helping food businesses scale operations and maintain quality in increasingly complex supply chains.

Rami Younes, General Manager of Swisslog Middle East, said: “As consumer demand evolves with the rapid rise of e-commerce, private-label goods, and prepared foods, manual processes simply cannot keep up. Businesses across the region are under increasing pressure to improve speed, reliability, and sustainability. With the UAE targeting AED 200 billion from logistics within seven years, efficient warehouse and supply chain operations are critical. Our warehouse automation solutions are designed to help companies scale with confidence, reduce waste, and ensure food safety while optimising productivity. At Gulfood Manufacturing, we will showcase the entire food value chain, demonstrating our capability to deliver full-scale solutions.”