Port of Salalah aims to become regional logistics hub
Source:omanet 2014-3-31 9:49:00
Salalah Port is one of the best ports in the region for reception of goods and huge container ships. Last year the container terminal handled 3.3 million containers whereas the port terminal handled 7.9 million tonnes. Salalah Port enjoys a strategic location near the global shipping lines connecting East and West, which makes the port one of the best ports in the world for re-consigning cargo as it shortens time and distance, as well as for providing facilities to accommodate container ships including 2nd and 3rd generation ships. The port is currently linked through direct lines with 54 ports around the world, in addition to ships engaged in short trips and re-shipping of container goods to markets in East Africa, India and the GCC countries, where the duration of the direct line between the port of Salalah and New York is 14 days, Salalah and Shanghai 14 days, Salalah and Mombasa of Kenya 7 days, Salalah and Singapore 6 days, Salalah and Jeddah 4 days, Salalah and Karachi 3 days, in addition to providing integrated logistic services in coordination with the Salalah Airport. More than 3,000 various ships visit the port annually, including the cruise ships. Last year 34 cruise ships visited the port carrying 25,400 tourists.
The port achieved last year a major breakthrough by handling 35 million containers after 15 years of starting its operations in this area. Salalah Port Services Company (SPSC) manages the port under the supervision of IBM for container terminals which owns a share in the company and is the largest container terminal operators in the world. Port of Salalah seeks to train and invest in the Omani cadre in a manner that provides technical professionals and enroll them in a number of courses that follow on-the-job training method, which resulted in the appointment of Omanis in more than 70 per cent of the jobs that require specialised skills and competencies. The port consists of a container terminal with 6 wharf of 18-metres draft, and general cargo terminal with 12 wharf of 4-16 metres draft, along with a good infrastructure for receiving and handling the largest container ships in the world, handling bulk cargo and refuelling, in addition to warehouses and stores.
The Ministry of Transport and Communications announced, at the beginning of 2014, three projects for the development of the Port of Salalah. The first project consist of building an additional berth for general cargo and a terminal for liquid materials cargo. The project is expected to be completed by the end of 2014. The second project includes consultant services to upgrade the old cargo terminal and is currently analysing the technical and financial offers for applicant of bidding companies and is expected to be assigned this year for 12 months from the date of commencement of work on consultant services. The third project involves the consultant services to put designs for the Northern breakwater, the extension of the existing breakwater and 3D and 2D physical models, wharfs (7-8-9) and wharf of government authorities and ferry docks. Coordination with the relevant authorities is going on to take their views before putting it in the public tender to be tendered in the second half of the year.
The port administration expects the movement of general cargo to be increased during the 2014 and 2015 based on the general cargo terminal expansion projects that will increase movement of import and export which mainly depends on this terminal. A warehouse is currently being built which is an added value for the port to be a centre for the redistribution of general merchandise, in addition to the fluid dock that will be operational in 2015, alongside the developments in the Salalah Free Zone that will enhance possibilities to export and import through the port. On the other hand, Salalah Free Zone, adjacent to the port, offers 30-year non-taxable facilities, with the possibility of 100 per cent ownership, benefitting from the privileges provided by the free trade agreement signed between the Sultanate and the United States, which offers the possibility to benefit from significant tax exemptions and is the perfect opportunity for attracting companies wishing to reduce their costs. Salalah Port Vision 2030 reflects the future of the current development in the port that cement its position as the largest port and an international container terminal in the Sultanate, and will become a national and regional hub that provides a variety of business opportunities and provides many vacancies, in addition to being a source of diversification for the national economy.
Salalah Port Vision 2030 includes several future projects, including new docks, to reach handling of 10 million containers annually, through the railway that links the port with the other GCC countries, operation of miscellaneous products dock for users with multiple commercial and industrial interests, along with the provision of transportational and logistical facilities. Salalah Port Vision 2030 also includes a food reserve silos, warehouses, distribution centres, centres for the manufacture and distribution of foods, along with a distribution centre of agricultural products and cruise terminal, in addition to building tourist facilities such as parks, restaurants, marina and a sailing school. Numerous projects to develop the Port of Salalah have been executed that came to meet the development needs under the Government’s interest in developing the ports sector. The Sultanate has become, thanks to the ongoing development projects for main ports, Sultan Qaboos Port, Port of Salalah, Sohar Port and Al Duqm Port, an important vital centre on the map of world shipping, together with the Sultanate’s ancient naval experience and close ties with many states and brotherly and friendly peoples which reinforce these national efforts.