Transforming Berbera into a world-class centre of trade
- Thread starter ZodiaK
- Start date
ZodiaK
VIP
British International Investment supports inauguration of Berbera Economic Zone
- Berbera Economic Zone aims to create a business-friendly environment to attract investment and create jobs for Somaliland
- Berbera Port and Economic Zone position Somaliland as an integrated maritime, industrial and logistics hub for the Horn of Africa
The first phase of the BEZ was officially opened today by His Excellency Muse Bihi Abdi, President of Somaliland, and Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World, at a special event attended by several hundred guests. These included representatives from DP World’s investment partner in the port and zone, British International Investment (BII), the UK’s Development Finance Institution (DFI) and impact investor.
It is based on the highly successful model of DP World’s Jebel Ali Free Zone (Jafza) in Dubai. There will also be synergies between the two zones, where companies in Dubai can register for Berbera through the Jafza one-stop shop, while companies in Berbera can access Jafza’s incubation centre facilities.
The Master Plan for the BEZ covers more than 1,200 hectares and will be expanded over time as demand grows. With phase one now open, it offers serviced land plots for the construction of company facilities, 10,000 square metres of pre-built warehouses, build-to-suit facilities, open yard storage, a common user warehouse which DP World will operate to handle customers’ cargo, as well as office space with end-to-end IT services.
ZodiaK
VIP
Infrastructure is key to unlocking Africa's economic potential - The Loadstar
The recent inauguration of DP World’s Berbera Economic Zone in Somaliland is the latest piece of integrated maritime and industrial ecosystem
theloadstar.com
Recently, I inaugurated the Berbera Economic Zone (BEZ) in Somaliland, the newest member of DP World’s global portfolio of parks and economic zones. Close to DP World’s container terminal at Berbera Port, the BEZ is the latest piece in an ecosystem that will provide an integrated maritime, logistics and industrial hub in the Horn of Africa
But this was more than just another ribbon-cutting ceremony. The Berbera port and freezone together represent the potential to unlock economic and trade potential.
The Horn of Africa represents an important case study of the growth potential of Africa. Sitting at the crossroads of Africa, the Middle East and Asia makes it a crucial transit point for international trade through access to vital sea lanes – the Red Sea, Gulf of Aden and Indian Ocean.
The region’s socioeconomic environment, natural resources and vast agricultural lands have the potential to lift millions out of poverty. And with a growing population expected to reach over 300 million by 2050, the region could provide a significant market for goods and services.
Take Ethiopia. Already the largest coffee producer in Africa, the country’s economy is dynamic, growing at more than 9% a year for the past two decades, spurred by industrialisation and increasing foreign investment. Yet, the lack of infrastructure, including transportation, energy and communication networks, poses a significant challenge to further growth.
I have long spoken about the challenges of inadequate infrastructure that we must address to realise the region’s economic potential. These have been further exacerbated by the continent’s trade outlook. The economic growth of Africa is estimated to weaken to 3.8% in 2023, from 4.1% in 2022, due to a drop in investments and falling exports, according to the United Nations.
The African Continental Free Trade Area (AfCFTA) can unlock opportunities that can boost intra-African trade, boost economic growth and, in turn, an increase in trade activity. To realise these benefits, investments in infrastructure are critical – to establish robust transportation infrastructure, trade infrastructure, information and communication technology and energy infrastructure to boost operational efficiencies and, ultimately, drive exports and imports.
Enhancing infrastructure and logistics networks will also be vital to enabling the region and the continent to fulfil its trade potential. I understand the need to reconfigure supply chains to reduce risk and increase resilience. Poor road, rail and maritime infrastructure adds as much as 40% to the costs of goods traded among African countries. At the same time, intra-African trade makes up just 13% of its total. The continent clearly needs more investment in its supply chain infrastructure if this picture is to change.
The new economic zone and port at Berbera are precisely the kind of investments that can start unlocking the economic possibilities for the Horn of Africa. According to the Somaliland Ministry of Foreign Affairs and International Cooperation, the port, together with the development of BEZ, could create more than 12,000 direct employment opportunities and over 50,000 indirect jobs in the region. It will also facilitate trade equivalent to approximately 27% of Somaliland’s GDP and 75% of regional trade by 2035 in a region of more than 100 million people.
Beyond the Horn of Africa, we are committed to ensuring infrastructure allows the entire continent to flourish. In Rwanda, we are eliminating barriers along the supply chain, bolstering global trade flows and removing unnecessary bottlenecks. We have overcome Rwanda’s landlocked geography to help transform the nation into a valuable trade hub.
ZodiaK
VIP
Kenya's Lamu Port lagging in EA transhipments, KPA data shows
Lamu Port was a proposed transport corridor linking with Garissa, Isiolo, Maralal, Lodwar, Lokichogio and Moyale.
www.theeastafrican.co.ke
As Somaliland and Tanzania are angling to give Mombasa a run for its money, Kenya is also not lagging behind as it is investing in modernizing the Mombasa Port, building the Dongo Kundu Special Economic Zone and opening up different corridors to ensure cargo is evacuated without delay.
ZodiaK
VIP
With new SEZs, Riyadh is searching for competitiveness in Asia and Africa
“On Special Economic Zones (SEZ), Saudi Arabia is late to the table, especially in regards to its Emirati neighbour: Riyadh is now rushing to progress and become competitive. In the framework of Vision 2030, the Kingdom has just inaugurated its first-ever SEZ in Riyadh, signed an agreement with Oman to build an integrated SEZ (at Al Dhahirah), and Mohammed bin Salman Al Saud announced that a further four new SEZs will soon be opened. Asia and Africa stand at the top of the expected Saudi SEZ markets as part of a South-to-South growth paradigm: highlighted by two out of four Zones will be located directly in front of the African continent, at Jizan and King Abdullah Economic City (KAEC). As its Gulf partners, but also its competitors, are catching opportunities in Africa (think of the Berbera Economic Zone in Somaliland launched by DP World in 2023), Saudi Arabia is now accelerating: this also implies a greater commitment to Red Sea security and conflicts de-escalation (Yemen; Sudan) in the sub-region.”Trending
-
-
Danish journalist cites a racist Danish Quran burner who said, "The average IQ of a Somali is 68, and the average IQ of an orangutan is 69,"- Started by Fobnimo Till I Dhimo
- Replies: 40
-
