Saudi-Bahrain trade surges after King Fahd Causeway re-opens

Published: 26 October 2020 - 7:04 a.m.

Saudi Arabia, Bahrain have both benefited from the easing of restrictions on cargo transit over the King Fahd Causeway in August.

Non-oil trade between the two states increased by 43 per cent in the third quarter of 2020, hitting $688 million. The value of trade between the two kingdoms for the first three quarters of this year now stands at nearly $2.2 billion.

Bi-lateral commerce between the two nations increased 12 per cent during the first three quarters of 2020, representing a year-on-year rise from $1.93 billion in 2019.

Restrictions were imposed on the causeway earlier this year when borders closed following the onset of the Covid-19 pandemic.

The 25 kilometre King Fahd Causeway, which connects the two Kingdoms by road, is a key trade artery in the Gulf region and supports a huge amount of trade between Saudi and Bahrain.

The bridge, which is being updated, has played an important role in facilitating the growth in e-commerce trade in the Gulf during the pandemic.

Bahrain Customs recently installed artificial intelligence scanners at the causeway, automating data collection and allowing shipment inspections to take place before reaching the border.

"The King Fahd Causeway acts as an essential link between Bahrain and the wider $1.5 trillion Gulf economy for millions of passengers and commercial trucks each year,” said Abdulhakim Al Shamary, board member of the Bahrain Chamber of Commerce and Industry (BCCI).

"Despite Covid-19, commercial drivers have still been able to use the bridge enabling critical continuity for the logistics sector”.

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