MSC has signed a 30 year concession agreement with Abu Dhabi Ports to establish a new container terminal at the UAE’s Khalifa Port.
Annual capacity is expected to increased from 2.5m teu to 8.5m teu at the port where the Swiss-based company is making a total investment of AED4bn (US$1.1bn) over the course of the concession agreement in operational equipment.
Developments include an adding 13 ship-to-shore (STS) cranes to make a total of 25 over the next two years.
In addition, berths will be deepened, making Khalifa Port the first port in the region capable of receiving the largest shipping vessels in the world that specialise in bulk cargo shipment.
Sultan Ahmed Al Jaber, UAE minister of state and chairman of Abu Dhabi Ports, said: “This agreement will promote economic growth and increased investment through the rise in container traffic.
“The UAE has been successful in implementing large infrastructure projects, and this has been due, to a large extent, to the presence of the world’s most technologically advanced ports, modern and integrated transportation networks, as well as its strategic location as a central hub between Asia, Europe and Africa – attracting emerging and developed markets with excellent prospects for growth.”
MSC plans to gradually shift some of its container handling in the region to Khalifa Port, starting July 2018.
This is set to increase Khalifa Port’s capacity to 5.3m teu by 2020.
Diego Aponte, president and CEO of MSC, stated: “We are confident that with this investment we will continue to ensure a high level of service for our customers and have the capacity to grow the scale of our operations in the UAE.”