Skip to content Skip to Search
Skip navigation

AD Ports investing $220m to develop Karachi Port

AD Ports Group
A joint venture between AD Ports Group and Kaheel Terminals has signed a 50-year concession agreement with Karachi Port Trust

Abu Dhabi Ports Group will invest $220 million over the next decade to upgrade infrastructure at Karachi Port after signing a 50-year concession agreement with Pakistan’s Karachi Port Trust.

AD Ports Group and UAE-based Kaheel Terminals have formed a joint venture to manage, operate and develop the Karachi Gateway Terminal at Karachi Port’s East Wharf. 

The new venture will invest in infrastructure and superstructure over the next 10 years, with the bulk planned for 2026, AD Ports said in a statement.

The development works will include deepening berths, extending quay walls and increasing the container storage area. 

As a result, the terminal will be able to handle Post-Panamax class vessels of up to 8,500 20-foot equivalent units (TEUs) and container capacity will increase from 750,000 to one million TEUs per annum. 

The terminal’s operations are all dollarised with no foreign exchange exposure to the Pakistani rupee. The terminal has been generating revenue of around $55 million and EBITDA of about $30 million annually. 

AD Ports Group has also signed three memorandums of understanding with the government of Pakistan to establish a framework for cooperation. It will improve transportation infrastructure, facilitate efficient cargo movement, reduce logistics costs and enhance the competitiveness of Karachi Port and any other projects of mutual interest. 

It will provide technical expertise, advice and support to the government for planning and implementing trade, customs and logistics infrastructure projects within Pakistan. It will also develop and upgrade Karachi Port’s connections to the railway systems.

Finally it will cooperate in developing digital trade and logistics solutions, including customs digitalisation.

The group also signed a 30-year concession agreement on Tuesday with the government of the Republic of the Congo to operate the multipurpose New East Mole Terminal in Pointe-Noire. 

Latest articles

More than 24 million people visited the World Expo event at Expo City Dubai between October 2021 and March 2022

Construction begins at Expo City Dubai site

Construction has begun on the first residential properties at Expo City Dubai, part of a mixed-use master plan to repurpose the legacy site after the world fair came to a close two years ago. Master developer Expo City Dubai announced last week that it has awarded four key contracts for its Mangrove Residences. UAE-based USF […]

Saudi housing costs rose nearly 9% year on year in May

Saudi housing costs rise but inflation remains steady

Housing costs in Saudi Arabia rose nearly 9 percent year on year in May, but it was not enough to push overall inflation in the kingdom over 2 percent. The latest data from the General Authority for Statistics showed the annual inflation rate in Saudi Arabia was 1.6 percent in May, having remained at this […]

OTB Group has a presence in Dubai with its Maison Margiela store in the Dubai Mall

Chalhoub Group in venture with Italian luxury brand

Luxury distributor Chalhoub Group has entered into a joint venture with Italian fashion conglomerate OTB Group to expand the brand’s footprint in the Gulf. OTB (which stands for Only The Brave) owns the Diesel, Jil Sander, Maison Margiela, Marni and Viktor&Rolf brands, the Staff International and Brave Kid companies, and holds a stake in the […]

Arid conditions brought about by the drought in Morocco are affecting the cost of sheep

Drought pushes up sheep price for Eid in Morocco

The price for a sheep in Morocco for the annual sacrifice at Eid al-Adha has increased on average at 10 times the 2.2 percent rate of inflation. A medium-sized female sheep costs MAD4000 ($400) as opposed to MAD3000 last year. This puts it out of range for many families in the country where a high […]