DOHA: Twenty-one companies have been allotted huge plots of land by the state on 30-year lease in a designated area meant for logistics.
On the allotted land, a company can build a warehouse, showroom, labour camp to house its workers, offices for its use and any technical facility it would like to set up.
The idea behind giving away land for logistics is to help the beneficiary companies cut their operating costs considerably so that their customers and users benefit.
The allotment was decided yesterday by a logistics committee at the Ministry of Economy and Commerce through a raffle draw.
Some 42 companies participated in the raffle. Actually, 116 companies had applied but 42 qualified to take part in the draw, a ministry statement said.
Of the 21 beneficiary companies, six were from the foodstuff sector, another six from the general storage sector, four from heavy vehicles and heavy equipment and machinery sector while five were from building materials sector.
Heavy vehicles and equipment sector includes heavy machineries and earth movers as well, while the general storage sector is for companies dealing in furniture, stationery, printing, medicines and pharmaceuticals, sports items and electrical appliances, among others.
The area where the plots have been allotted is Jari Al Samar in Umm Salal off Al Shamal expressway. The area is itself located on a ring road.
Plot areas range from 11, 500 sq meters to more than 37,000 sq meters depending on its use.
The area is strategically located, the ministry said, adding that it is being developed at a cost of more than QR133m and water and power supplies, roads, drainage and other essential facilities will be made available over the next 24 months.
The raffle was held in presence of the public. The runner-up company was kept as a reserve—in case the winner failed to acquire the plot, it would be allotted to the standby. Companies will have to pay a lease rent of QR900 per sq meters for 30 years and the amount is payable in four instalments, the ministry said.
The Peninsula
