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Berbera port operating at 30% capacity despite investments
Berbera port in Somalia is currently operating at approximately 30% of its capacity, according to Jama Mohamed Ahmed, DP World’s commercial director for the Horn of Africa. Despite significant investments intended to establish the port as a primary maritime gateway for Ethiopia and the wider Horn of Africa, the facility has not attracted the anticipated volume of Ethiopian trade.
DP World has expanded the port's annual container-handling capacity to 500,000 twenty-foot equivalent units (TEUs) and its ability to handle roughly two million tonnes of general and bulk cargo annually. However, the shortfall in usage follows diplomatic tensions, including the Somali federal government's decision in January to annul agreements with the United Arab Emirates over concerns regarding national sovereignty.
The port's role as an alternative to Djibouti for landlocked Ethiopia has been complicated by regional disputes, including a memorandum of understanding between Ethiopia and Somaliland regarding coastal access, which Mogadishu rejected.
Entities
Berbera Port · DP World · Ethiopia · Somalia · United Arab Emirates