Qatar-based shipping and logistic company Milaha Maritime is relocating its regional trans-shipment hub from Dubai to Oman’s Sohar port.
The firm announced the move as the Gulf dispute enters its third month, signaling that it does not expect things to be resolved any time soon.
Since the blockade began in June, Qatar has been unable to move goods via the UAE. This in part caused imparts to drop dramatically in June.
However, more companies have now turned to Oman, which has remained neutral in the dispute, as a new shipping link.
In addition to Oman, Milaha added in a statement that three Indian ports can now also be used to trade with Qatar.
— قناة الجزيرة (@AJArabic) August 7, 2017
And Qatar’s transport ministry said three new direct shipping lines are being opened with Malaysia, Pakistan and Taiwan, Al Jazeera reported yesterday.
These countries, along with Oman and Kuwait, are expected to benefit financially from doing trade with the countries affected by the boycott.
But how the blockade has affected the UAE’s massive Jebel Ali port remains unclear.
Financial status challenged
Separately, analysts have warned that an economic embargo on Qatar could hurt Dubai’s status as a financial hub for the region.
According to Reuters, lender Standard Chartered said the boycott puts global banks in a difficult position.
“There is a lot of benefit we get from having a Dubai hub, we are looking to see what the effect of this will be,” the group’s CEO Bill Winters said.
“There is a risk of turning away from the UAE,” he added.