According to the UAE News Agency (WAM) report on the 22nd, amid the ongoing regional tensions and the obstruction of shipping in the Strait of Hormuz, the UAE is accelerating the construction of a new port project in Fujairah, on the eastern coast. The goal is to reduce dependence on the Strait of Hormuz and improve the country's container handling capacity and maritime trade levels.
According to reports, the Dubai Global Port Group signed a 50-year port franchise agreement with the Fujairah Port Authority on that day, in order to advance the construction of the Rgaylat Container Port and the Dubai-Fujairah Port projects. Fujairah is located on the east coast of the UAE, overlooking the Gulf of Oman. Ships can enter and exit the Indian Ocean without having to pass through the Strait of Hormuz.
According to the plan, the Lugela Port is designed to have an annual processing capacity of 2.5 million standard containers. Once the Dibba-Fujairah port project is completed, it will add a capacity of 3.6 million tons of general cargo per year. The project will be implemented in phases, with an expected construction period of 24 to 30 months.
Reports say that the new port will connect Dubai International Port Group’s inland logistics network with Jebel Ali Port and Jebel Ali Free Zone, thereby improving the efficiency of cargo transportation between the UAE’s ports, logistics centers, and terminal markets.
Reuters stated that once operational, this project will increase the container handling capacity of Dubai International Port Group in the UAE from the current 19.4 million TEUs to nearly 22 million TEUs. It will also significantly expand the capacity for general cargo and roll-on/roll-off loading and unloading.
