Port of Djibouti expands for the future

The Port of Djibouti, ideally located at the Horn of Africa, is the major transhipment port for the region namely the East African countries. Ethiopia, South Sudan and even Uganda depend on the services provided by the Port of Sudan for their im- and export trades. Mr. Saad Omar Guelleh, general manager of the Port of Djibouti, presents their huge expansion program for the various port sections which will be materialised by 2017. "The port has greatly gained as a regional hub in the years 2012/13 thanks to an agreement with China Merchant Holding International (MHCI) who took a share in the new cooperation Ports of Djibouti SA in January 2013. This complements the cooperation with DP World. The government of Djibouti has opened new prospects for development of the country. Since 2011 the Djibouti government took over the management of the Djibouti Port and left Doraleh Container Terminal (DCT) to DP World to manage." The throughput of the port grew from 1.5 million tons in 2010 to 5 million tons presently. They decided to restructure the concept by developing the transhipment traffic of which more than 10 million TEU are passing through the region but not to Djibouti. "Our challenge is to win these volumes in a five year plan whereby the new railway line Djibouti-Ethiopia will greatly help to reduce costs and improve traffic more efficiently at competitive prices," Mr. Guelleh explained. Two  Chinese companies are building the new electrified railway link of 756km,of which 420 km have been completed. China  railway Group( CREC) are responsible for the part from Sebeta/Addis Ababa to Mieso and China Civil Engineering Construction Corporation (CCECC) for the link Mieso to Djibouti. The new connection will further improve the connection the port of Djibouti for landlocked Eas African countries.The new port expansion program covers the following facilities: Doraleh Multipurpose Port (DMP)The DMP will contain 4 terminals, a container terminal, Break Bulk Terminal, Bulk Terminal and a RoRo Terminal for the handling of vehicles and rolling cargoes. The total operations area covers 690 ha. The investment, jointly provided by Djibouti Port SA (DPSA) and China Merchant Holding (CMHC) will amount to $590 million. Doraleh Multipurpose Port will take a lead to place Djibouti among its neighbours as a hub area for business in the East African and Red Sea region. It will become an ideal location for transhipments of break bulk, general cargoes and vehicles. DMP will be equipped with the most modern equipment and will be able to handle 100 000 dwt vessels. Port of TadjourahThis is a new facility mainly for bulk commodities particularly potash which amounts to ca. 4 million tons p.a. The investment will be ca. $160 million. The first stage of the new Port of Tadjourah will become operational by March 2016.Port of GhoubetA new terminal for the export of salt from Lac Assal with a throughput of 6 million tons will be constructed for $64 million. Operations will commence in December 2015 and it can accommodate vessels with a capacity of 100 000 dwt.Damerjog Livestock PortThe export of livestock-cattle, sheep, goats and camels will be handled at the new livestock terminal. It will be built with an investment of $70 million and should start to operate as from the end of 2016.All of these measures will improve the position of the Port of Djibouti as the major regional hub in the area. The "COMESA Market" covers a population in the neighbouring countries of 400 million people. A new railway line to connect the Port of Djibouti will support the efforts of the port management. Already today a number of well established international shipping lines such as Ethiopian Shipping Line, Messina, PIL, MSC, CMA CGM etc. are using the port on a regular liner service basis.All of the new investments will be added to the existing facilities such as the Doraleh Container Terminal (DCT) a joint venture between DP World and the Djibouti government. It is the most technically advanced container terminal on the African continent. "We are on a good path and we have a great partner behind us especially Ethiopia and all the other African countries. Djibouti is the Singapore of Africa," Mr. Guelleh points out.