Noatum Logistics and Hafeet Rail establish Gulf's first cross-border freight corridor to boost sustainable trade

Noatum Logistics, a subsidiary of AD Ports Group, has made a notable move forward in regional logistics integration by signing a preliminary agreement with Hafeet Rail. The goal? To kick off a dedicated freight rail service linking Sohar in Oman with Abu Dhabi in the UAE. This deal was officially signed at the Global Rail 2025 exhibition held recently in Abu Dhabi, aiming to create the first cross-border railway network directly connecting these two key economic centers. It really does seem like a step toward more sustainable and efficient trade routes across the Gulf—something the region has been increasingly focusing on.

Once this rail service gets up and running, Noatum Logistics plans to operate seven container trains each week over Hafeet Rail’s newly built network. Each train will carry about 276 TEUs—those are twenty-foot equivalent units—which translates to roughly 193,200 TEUs of cargo annually. This capacity is pretty sizable and is designed to handle various container sizes—20, 40, and even 45 feet—on dedicated trains. The idea is to ensure reliable and steady supply chain flows right from the start. The service is expected to carry all sorts of goods—general cargo, manufactured items, foodstuffs, pharmaceuticals, agro-products, and other essential commodities that are regularly traded between the UAE and Oman.

The executives from both organizations pointed out how important this partnership is. Samir Chaturvedi, the CEO of Noatum Logistics, emphasized that this kind of collaboration could really help boost regional economic integration. He particularly highlighted how rail transport is cost-effective, scalable, and environmentally friendly, offering a way to make supply chains more resilient and far-reaching across the Middle East. Ahmed Al Musawa Al Hashemi, CEO of Hafeet Rail, agreed and called the agreement a significant milestone for their ongoing plans to develop cross-border rail infrastructure. He believes it will lead to more efficient and dependable container transport, strengthening trade ties and supporting sustainable economic growth.

Timing-wise, this initiative seems especially relevant, considering the growing focus on sustainability in logistics globally and regionally. Rail freight, after all, is a greener alternative to road transport because it generally consumes less fuel and produces fewer carbon emissions per tonne of cargo, especially over medium to long distances. This shift toward rail aligns well with both the UAE and Oman’s commitments to reduce their carbon footprints and promote sustainable development. Moving freight from road to rail could also help cut down traffic congestion, lower transportation costs, and make supply chains more predictable—an important advantage for these connected economies.

Now, this new service fits into Hafeet Rail’s expanding network and builds on other logistics advances already underway in the region. For example, Noatum Logistics is already operating a rail shuttle connecting Khalifa Port in Abu Dhabi with Fujairah ports, which was launched in late 2024. That service already demonstrates the benefits of rail for moving goods efficiently within the UAE. Extending such capabilities across the Oman border signals a maturing logistics landscape that’s aiming for deeper regional connectivity and stronger economic ties.

Moreover, this corridor isn’t just about immediate trade—it has broader strategic implications too. It could position Hafeet Rail as a key artery in Gulf trade infrastructure, possibly acting as a catalyst for stronger regional integration. By bolstering supply chains and unlocking new trade paths, such a service might support diversified economic development and enhance competitiveness for both Oman and the UAE on a global scale. It also ties into the Gulf Cooperation Council’s (GCC) goals of harmonizing transport networks and promoting multimodal freight solutions, which would make cross-border commerce more resilient.

As both nations strive for economic diversification and sustainability, this rail corridor serves as a tangible example of how infrastructure investments can shape future trade models. Of course, the preliminary agreement lays out an optimistic vision, but turning that into reality will depend on coordinated efforts to complete Hafeet Rail’s network and make it operational. Plus, there will need to be commitments from shippers and logistics providers willing to make the most of this new route.

In the end, launching a dedicated freight rail service connecting Sohar and Abu Dhabi marks a forward-looking partnership driven by sustainability and innovation in logistics. By taking advantage of rail’s efficiency and environmental benefits, Noatum Logistics and Hafeet Rail are in a position to revolutionize freight movement along this corridor, creating new economic opportunities and cementing the Gulf’s role in global trade. It’s definitely a project worth keeping an eye on, especially for stakeholders interested in climate-smart infrastructure and regional development.

Source: Noah Wire Services