DP World announced that together with the Government of Somaliland, it inaugurated a new container terminal at Berbera Port as part of the port's expansion as it transition into a major regional trade hub to serve the Horn of Africa.

In a statement, DP World said the new container terminal with a deep draft of 17 meters, a quay of 400 meters and three ship to shore (STS) gantry cranes, can handle the largest container vessels in operation today, and increases the port's container capacity from current 150,000 Twenty Foot Equivalent Units (TEUs) to 500,000 TEUs annually.

It added that the terminal also includes a modern container yard with eight rubber tyred gantry cranes (RTGs) and a new one-stop service center is also currently being built and will be ready in quarter three this year.

"DP World has committed to investing up to US$442 million to develop and expand Berbera Port, and with the first phase now complete ... work is already underway to further expand the port in a second phase," the Emirati multinational logistics firm said.

The second phase includes extending the new quay from 400 to 1,000 metres, and installing a further seven STS gantry cranes, increasing the total from three to 10, enabling the port to handle up to two million TEUs a year, and multiple large container vessels at the same time.

DP World said part of the overall Berbera plan will be modelled on DP World's Jebel Ali Free Zone in Dubai  —  the economic zone is linked to the port and strategically located along the Berbera to Wajaale road (Berbera Corridor).

Ethiopian transit corridor

"Our further expansion of the port in a second phase, and its integration with the special economic zone we are developing along the Berbera Corridor, reflects our confidence in Berbera and intent to develop it into a significant, world-class centre of trade. It will be a viable, efficient and competitive option for trade in the region, especially for Ethiopian transit cargo," said Sultan Ahmed Bin Sulayem, DP World Group Chairman and CEO.

DP World Berbera, which began operations at the port in March 2017, has since increased volumes by 35% and vessel productivity by 300%, and reduced container vessel waiting time from four to five days, to only a few hours.

DP World said it aims to develop the Ethiopian side of the road linking Addis Ababa to Berbera, into one of the major trade and logistics corridors of the country's international trade routes.