DP World dismissed by Djibouti

Troublesome times: DP World's DCT concession has been withdrawn Troublesome times: DP World's DCT concession has been withdrawn
Industry Database

DP World’s Doraleh Container Terminal (DCT) concession at the Port of Djibouti has been withdrawn by the Djibouti government following apparent evidence of corruption.

The global terminal operator received notice today that the Office of the Inspector General of the Republic of Djibouti is investigating the awarding of the DCT concession and has filed for arbitration before the London Court of International Arbitration.

In a statement released on its website, DP World, said: “We reject the allegations made and will vigorously defend our position during the arbitration procedure.”

Despite the current situation, DP World said it will “continue to manage DCT in accordance with the terms of its concession agreement pending the determination of the arbitral tribunal”, and to ensure minimal disruption at the terminal.

“We are disappointed that the Djiboutian government has chosen to take this action after working so closely with us as partners over the past 14 years. We have invested significantly in Djibouti over those years and have been a major contributor to its economy and to its community,” DP World concluded.

The joint venture between DP World and the Djibouti Government was set up in 2000, with the signing of a 20-year concession to operate the Port of Djibouti. That successful partnership then led to the joint venture investment in the newly developed Doraleh Container Terminal.

The facility, which DP World says is the most technologically advanced container terminal in Africa, lies at the crossroads of the main shipping lanes connecting Asia, Africa and Europe and acts as a secure hub within the region for transshipment and relay activities.


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