New economic zone opens serving key African region

The opening follows the launch of a new container terminal at Berbera Port in June 2021 which will take advantage of the port’s strategic location on one of the busiest sea routes in the world.

“The dynamics of global trade are changing, and there is a growing need for trade infrastructure, such as economic zones, with easy and fast access to international shipping,” said Sultan Ahmed Bin Sulayem, group chair and chief executive of DP World.

“These will bring companies closer to their customers, improve their logistics and allow them to expand into new markets,” he said.

The 1,200 hectare BEZ, located just 15 km from the port along a route to Addis Ababa in Ethiopia, will provide integrated maritime, logistics and industrial services for the 140 million people in the Horn of Africa. Phase one is now open with 10,000 sqm of warehouses plus open yard storage and office space.

It will be governed by a new Special Economic Zone Law and Special Economic Zone Companies Law and incorporate a one-stop shop for all registration and licensing requirements.

DP World has already signed an agreement with a major UAE-based food company plus a dozen more companies operating across various sectors have also registered.

Along with the new container terminal, Berbera Port provides bulk, breakbulk and liquid cargo handling facilities to the tune of 500,000 teus each year. As a result of the expansion, the port is expected to facilitate trade equivalent to approximately 27% of Somaliland’s GDP and 75% of regional trade by 2035.