MIDDLE EAST

Political pressure blamed for withdrawal of Israel port bidders

13 years ago

There has been intense speculation in the Israeli press as to why two international pre-qualified companies unexpectedly dropped out of the bidding process to build new ports at both Ashdod and Haifa. Companies with interests in the Arab world, it has been suggested, fear losing existing work in that region.

Neither Royal Boskalis Westminster from the Netherlands nor Italy’s Condote de Agua bid for the construction contract. A third company – Belgium’s Jan De Nul – did eventually bid, although only as a Luxembourg-registered company, Ludreco.

However, Israel Ports Company released a carefully worded statement, noting: “As far as we know, there is no truth to the reports that foreign companies have abandoned the tender due to a boycott against Israel. No international group or company has dropped out of the tender for political reasons and the tender continues according to the original plan and schedule.”

Indeed, Royal Boskalis Westminster noted that it has simply “failed to pre-qualify”.

Significantly, Israel Ports Company has declined to release the names of any of the companies that have actually bid for the contract to build new ports at Haifa and Ashdod. However, these are understood to be the Israeli Shapir Engineering – Ashtrom joint venture; China Harbour Engineering; and the aforementioned Ludreco, which has partnered Israeli company Solel Boneh.