DP World lauds new Somalia shipping service

Trade Arabia
Sunday, March 17, 2013

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Dubai-based global marine operator DP World has welcomed shipping line Simatech’s new service between Jebel Ali Port and Mogadishu as a significant step in re-establishing trade links between Somalia and the rest of the world.

Container trade to Mogadishu was suspended some years ago due to the political situation in Somalia and the risk of piracy. With the absence of container services, traders had to depend on break bulk operations using smaller vessels, said a statement from DP World.

The newly-launched container service will provide customers with safe and faster cargo movement including faster transit times, it added. The container ships will be handled at Mogadishu port.

As co-convener of the counter-piracy conferences in 2011 and 2012 with the UAE Ministry of Foreign Affairs, global marine terminal operator DP World highlighted the importance of trade links in re-establishing the economy of the country as part of the long term solution to the problem of piracy in the region.

Mohammed Al Muallem, senior VP and managing director, DP World, UAE Region, said: "We welcome Simatech’s new service to Mogadishu through Jebel Ali, which then links Mogadishu and Somali through the regional gateway with the entire world."

"It is a significant step that will support the further development of the Somalian economy, which in the longer term will address the problem of piracy by providing a livelihood for Somalians," he observed.

MG Maghami, the chairman of Simatech group, said the new container service has come as a great relief to the importers and exporters of Somalia as they are able to transport their cargo safely and speedily.

"This new service is in line with Simatech’s expansion plans in Middle East and other regions. The service will be on a fortnightly frequency initially and will be upgraded to weekly in the near future," he added.

The second 'UAE Counter-Piracy Conference' hosted in Dubai last June along with the representatives of both the public and private sectors had called for support for Somalia to help it address both the immediate danger to shipping of marine hi-jacking and the economic conditions that allow piracy to take root.

DP World operates over 60 terminals across six continents with container handling generating around 80 per cent of its revenue. In addition, the company currently has 11 new developments and major expansions underway in 9 countries

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