DP World has entered into a 30-year concession agreement with the Tanzania Ports Authority (TPA) to manage and enhance the versatile Dar Es Salaam Port, serving as a pivotal link between Tanzania and the broader region with global markets.

On Sunday, the concession agreement was formally inked, featuring Plasduce Mkeli Mbossa, Director-General of TPA, and Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World, in the presence of Samia Suluhu Hassan, President of the United Republic of Tanzania.

DP World has been entrusted with the operation and revitalization of the Dar Es Salaam Port, with the primary aim of optimizing port operations to enhance transportation and logistics services not only within Tanzania but also throughout its hinterland.

This marks the initial phase of a multi-faceted investment plan, where DP World will initially allocate over $250 million to upgrade the port, with potential investments amounting to $1 billion during the concession period, in conjunction with hinterland logistics ventures.

This substantial investment is set to generate positive socioeconomic outcomes for Tanzania, encompassing job creation and improved access to goods and services, among other advantages.

The port will be connected to the sub-Saharan African hinterland through a network of roads, highways, railways, dedicated freight corridors, and ports. This infrastructure will support the growing demand for logistics solutions across the continent, fostering stronger connections between businesses in the region and global markets.

Benefiting from recent infrastructure investments made by the Tanzanian Government, DP World will collaborate with the TPA and existing stakeholders to expedite cargo clearance and enhance cargo planning, further reinforcing Dar Es Salaam’s pivotal role as the maritime gateway for green energy metals sourced from the Southern-Central African copper belt.

Increased efficiency is expected to attract more shipping lines and larger vessels to Dar Es Salaam, ultimately leading to reduced ocean freight costs for Tanzanian importers and exporters.

DP World will continue to invest in the port’s modernization, which may encompass developments such as temperature-controlled storage to enhance Tanzania’s agricultural sector, as well as increased rail-linked logistics connectivity.

Future plans may include the establishment of a special economic zone within the broader port logistics sector, further enhancing Tanzania’s role and influence in the global trade landscape.

Sultan Ahmed Bin Sulayem, commenting on the occasion, stated, “We are honored to collaborate with the Government of Tanzania to rejuvenate the Dar Es Salaam port. This aligns with Tanzania’s strategic development plans and is a testament to the visionary leadership of Samia Suluhu Hassan.

This development will unlock trade opportunities for the region, connecting East Africa and the wider sub-Saharan Africa with global markets, thereby promoting economic growth, job creation, enhanced product and service access, and added value for all stakeholders.

In alignment with our other port operations, this concession agreement represents a significant milestone in our collective endeavors to leverage DP World’s global and local expertise in bolstering the region’s supply chain to support the entire continent’s economic growth.”

Professor Makame Mbarawa, Tanzania’s Minister of Transport, commented, “The signing of the concession agreement between the Government of Tanzania and DP World is a momentous event indeed, as it marks yet another significant breakthrough in building best-in-class infrastructure in Tanzania under the Public-Private Partnership model.

With DP World’s expertise, the port will play an important role in generating direct and indirect employment in various sectors, such as transportation, distribution, and supply chain. Importantly, the Tanzania Ports Authority will hold a stake in the port concessionaire, ensuring job security for port authority employees.”

Plasduce Mkeli Mbossa, Director-General of the Tanzania Ports Authority, added, “We are excited to collaborate with DP World to modernize the strategic port in Dar es Salaam. This project will create significant value for end-users and help the government achieve its goal of reducing logistics costs.

This strategic initiative is a testament to our ability to drive large-scale infrastructure development by partnering with strategic players, which will allow the government to redirect funds to other critical areas of the economy for the benefit of the people of Tanzania.”

DP World remains committed to realizing its Africa strategy and growth aspirations, aiming to bolster economic growth, uplift local communities, and foster trade, thereby connecting markets to the global trade ecosystem.


Last Updated: 23 October 2023