SEOUL, May 17 (Yonhap) -- CJ Logistics Corp., a major South Korean logistics company, said it has signed an initial agreement with Saudi Arabian firm Beez Logistics as part of its efforts to expand its business in the Middle East.
With the memorandum of understanding, CJ Logistics will share its logistics experience, technology and network with its Saudi Arabian partner to provide delivery service that suits the country's desert climate, the company said Tuesday.
Beez Logistics has a cold-chain system that helps safely transport temperature sensitive items.
CJ Logistics said it has been discussing measures to strengthen cooperation with Beez Logistics to operate a global distribution center (GDC) the company plans to open in the Riyadh's special integrated logistics zone in 2024 for iHerb, a U.S. online retailer that sells health and wellness products.
"The Saudi e-commerce market has the richest growth potential in the Middle East and the geographical advantage of connecting Africa and Europe," Kang Sin-ho, CEO of CJ Logistics, said in a written statement. "We will spare no support for state-of-the-art logistics technology and infrastructure so that the GDC can become a logistics hub that leads the Middle East e-commerce market."
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