Monday 25 / November / 2024
Muscat: The Ministry of Transport, Communications and Information Technology on Monday signed a concession agreement with Asyad Group to develop, manage and operate Al Suwaiq Port for 40 years.
The agreement aims to develop Al Suwaiq Port in a manner that makes it a major commercial hub and supporter of the national economy, in addition to enhancing the position of the Sultanate of Oman as a global logistics centre.
The agreement goes in line with the Ministry’s strategy to empower Omani ports, upgrade import and export operations and attract new shipping lines for connecting the Sultanate of Oman more efficiently with international markets.
The agreement was signed by Eng. Said bin Hamoud Al Ma'awali, Minister of Transport, Communications and Information Technology, and Abdul Salam bin Mohammed Al Murshidi, Chairman of Oman Investment Authority (OIA).
The agreement provides for the construction of a 500-metre-long by14-metre-deep sea berth designed to accommodate various sizes of ships and handle all types of cargo, including bulk, liquid, dry and general cargo and vehicles. It also provides for the endorsement of modern handling systems that improve operational efficiency and expand storage capacities to keep pace with growing demand in the field.
The agreement also includes terms for expanding the area of Suwaiq Port to more than 360,000 square metres to meet the needs of the growing local economy, notably in the food security sector. It aims at maintaining the port’s role as a multi-purpose commercial hub that meets international standards, thus offering it an opportunity to add new international shipping lines.
The minister pointed out that the agreement seeks to enhance infrastructure through partnership between the public and private sectors, with the overall objective of achieving the goals of economic diversification and enhancing the Sultanate of Oman’s ability to compete in international markets.
For his part, Al Murshidi said that the agreement constitutes a major step forward in consolidating the strategic partnership between the public and private sectors. He added that the agreement provides the Asyad Group with an opportunity to develop Al Suwaiq Port and make it a basic pillar of economic diversification, besides enhancing the position of the Sultanate of Oman as a global logistics centre.
Al Murshidi stressed that the project will pave the way for attracting new investments, expanding commercial activities and further developing the infrastructure.
Eng. Khamis Mohammed Al Shamakhi, the Ministry of Transport, Communications and Information Technology’s Undersecretary for Transport, said that the agreement ushers in a new phase in the Port of Al Suwaiq.
He pointed out that Al Suwaiq Port's significance stems from the high indices it achieved over the past few years, noting that port recently received about 4,700 ships with a cargo handling volume of 4 million tons, he added.
“This long-term agreement will attract new investments to the port, build a better system in cooperation with Asyad Ports Company (the operator of the port) and connect the port with Al Batinah Coastal Road, Al Batinah Expressway and Khazaen Economic City,” he added.
Omar bin Mahmoud Al Mahrizi, CEO of Asyad Ports company, said that since Asyad Group began operating the port in 2018, the facility saw steady development in terms of the volume of goods it has handled. “ Asyad Group decided, through the concession contract, to complete the port’s construction projects, reclaim additional areas, build new docks and deepen the existing docks in line with the increasing traffic in the port,” he explained.
Emphasis is laid on integration between Suwaiq Port, Sohar Port and the dry port in Khazaen Economic City, which, altogether facilitates the exchange of goods, especially goods en route from the Islamic Republic of Iran.
