Dubai-based DP World and the Government of Somaliland have inaugurated the new container terminal at Berbera Port, following completion of the first phase of the port’s expansion.
The new terminal was officially opened by Muse Bihi Abdi, President of Somaliland, and Sultan Ahmed bin Sulayem, group chairman and CEO of DP World.
The event also included a ground-breaking for the new Berbera Economic Zone, the first phase of which is under construction.
The new container terminal with a deep draft of 17 metres, a quay of 400 metres and three ship to shore (STS) gantry cranes, can handle the largest container vessels in operation today, and increases the port’s container capacity from current 150,000 Twenty Foot Equivalent Units (TEUs) to 500,000 TEUs annually.
The terminal also includes a container yard while a new one stop service centre is also currently being built and will be ready in the third quarter of this year.
DP World has committed to investing up to $442 million to develop and expand Berbera Port and with the first phase now complete, Bin Sulayem also announced that work is already underway to further expand the port in a second phase.
Part of the overall Berbera plan and modelled on DP World’s Jebel Ali Free Zone in Dubai, the economic zone is linked to the port and will serve as a centre of trade with the aim to attract investment and create jobs, and will target a range of industries, including warehousing, logistics, traders, manufacturers, and other related sectors.
Muse Bihi Abdi, President of Somaliland, said: “This is a proud and historic moment for Somaliland and its people, as the completion of the first phase has made our vision of establishing Berbera with its strategic location into a major trade hub in the region a reality. With the new terminal, along with the second phase of expansion and economic zone along the Berbera corridor, we are now firmly positioned to further develop and grow our economy through increased trade, attracting foreign direct investment and creating jobs.”
Bin Sulayem added: “Our further expansion of the port in a second phase, and its integration with the special economic zone we are developing along the Berbera Corridor, reflects our confidence in Berbera and intent to develop it into a significant, world-class centre of trade. It will be a viable, efficient and competitive option for trade in the region, especially for Ethiopian transit cargo.”
DP World Berbera, which began operations at the port in March 2017, has since increased volumes by 35 percent and vessel productivity by 300 percent, and reduced container vessel waiting time from 4-5 days to only a few hours.
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