DP World has signed a 30-year concession agreement with the Tanzania Ports Authority (TPA) to operate and modernise the multi-purpose Dar es Salaam Port, connecting Tanzania and the wider region to global markets.
DP World will initially invest more than $250M to upgrade the port and the investment could increase to $1BN during the concession period, alongside hinterland logistics projects. This is the first phase of a multi-phase investment plan.
The Port will connect to the hinterland of sub-Saharan Africa through a network of roads, highways, railways and dedicated freight corridors and ports, supporting the growing demand for logistics solutions across the continent and connecting businesses in the region to global markets.
The modernisation of the Port includes potential investments in temperature-controlled storage to enhance Tanzania’s agricultural sector, as well as greater connections to rail-linked logistics and the future development of a special economic zone together with the broader Port’s logistics sector.
"We are honoured to partner with the Government of Tanzania to revitalise the port of Dar es Salaam. This is in line with Tanzania’s strategic development plans and is testament of the visionary leadership of H.E. Samia Suluhu Hassan. The development will deliver trade opportunities for the region, connecting East Africa and broader sub-Saharan Africa with global markets, driving economic growth, job creation, enhanced access to products and service, and creating value for all our stakeholders. Alongside other ports that we operate, this concession agreement marks another milestone in our collective efforts to leverage DP World’s global and local expertise to enhance the region’s supply chain to support the economic growth of the entire continent," commented Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World.
"The signing of the concession agreement between the Government of Tanzania and DP World is a momentous event indeed, as it marks yet another significant breakthrough in building best-in-class infrastructure in Tanzania under the Public-Private Partnership model. With DP World's expertise the port will play an important role supporting the creation of direct and indirect employment in various sectors such as transportation, distribution, and supply chain. Importantly, the Tanzania Ports Authority will be a shareholder of the port concessionaire, and there will be no job losses for employees at the port authority," emphasised Tanzania Minister of Transport Makame Mbarawa.
"We are excited to collaborate with DP World to modernise the strategic port in Dar es Salaam. This project will create significant value for end-users and help the government achieve its goal of reducing logistics costs,” said Mr Plasduce Mkeli Mbossa, Director General of Tanzania Ports Authority.
DP World continues to make significant investments to realise its Africa strategy and growth ambitions, which aim to boost economic growth and uplift local communities and businesses through enabling trade and connecting markets to the global trade ecosystem.
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