DP World to start work on Mali logistics hub by 2019
DP World has signed a 20-year concession with the Republic of Mali to build and operate a 1000ha modern logistics hub
DP World has signed a 20-year concession with the Republic of Mali to build and operate a 1000ha logistics hub.
Located outside of the Mali capital city of Bamako, the multimodal logistics platform, Mali Logistics Hub (MLH), will have inland container depots (ICD) and Container Freight Stations (CFS) that will facilitate the import and export of goods.
The first phase of the project will have estimated initial investment of $50m, and will include an inland container depot and container freight station facility that is expected to “support the growth of the Malian economy” by streamlining the import and export of goods.
Construction is expected to start in 2019 and is estimated to take around 18 months to complete. The concession will include an automatic 20-year extension.
DP World will also provide the Republic of Mali with three locomotive trains to boost cargo and passenger traffic along the Bamako-Dakar rail system.
The Mali logistics hub is expected to significantly reduce processing times for products entering the market as part of efforts to reduce obstacles to trade and economic development.
DP World will also implement its online paperless facilitation platform to accelerate the movement of goods as part of the agreement.
The concession agreement was signed in Dubai on Monday by Suhail Al Banna, chief executive officer and managing director, DP World Middle East and Africa and Moulaye Ahmed Boubacar, minister of equipment and transport, the Republic of Mali, in the attendance of Malian and DP World officials.
DP World chairman and CEO Sultan Ahmed Bin Sulayem, said: “The Malian market is expected to grow over the next two decades and is driven by a robust economic and population growth.
“Thus, the Mali Logistics Hub is much needed and will provide the country with a logistics platform that aims to facilitate the import and export of goods via the Port of Dakar, which is operated by DP World.”
The Mali Logistics Hub will be located on the main road corridor from Dakar, Senegal to Bamako and close to the Dakar - Bamako rail line and will be capable of handling 300,000 TEU (twentyfoot equivalent unit), 4 million tons of bulk and general cargo.