Egypt signs an agreement to finance and develop the Burj Al Arab dry port and logistics zone

مصر – شهد كامل الوزير، وزير النقل المصري، توقيع مذكرة تفاهم لتمويل وتصميم وإنشاء وتشغيل وصيانة ميناء برج العرب الجاف والمنطقة اللوجستية في مدينة برج العرب، والتي تغطي مساحة 133 فدانًا.

The agreement was signed between the General Authority for Land and Dry Ports and Sky Ports. The memorandum was signed by Mr. Sayed Metwally, President of the General Authority for Land and Dry Ports, and Mr. Tariq Hussein, President of Sky Ports, in the presence of Nihad Shaheen, Deputy Minister of Transport for Maritime Transport, Ashraf Al-Lawzi, Assistant Minister for Bodies and Companies Affairs, and Mohamed Fathi, Advisor to the Minister of Maritime Transport.

The minister stressed that the agreement is in line with the Ministry of Transport’s strategy to implement President Abdel Fattah El-Sisi’s directives aimed at transforming Egypt into a regional center for transport, logistics and transit trade.

This project forms part of a broader national plan to establish 33 dry ports and logistics areas throughout Egypt, in addition to seven integrated logistics corridors linking industrial, agricultural and mining centers to sea ports, and linking Red Sea ports to Mediterranean ports.

These corridors are designed to serve emerging urban communities via rail networks and major road infrastructure, passing through dry ports and logistics parks located along their routes. Borg El Arab Dry Port and Logistics Zone is an essential element of the Cairo-Alexandria Logistics Corridor.

The minister added that the agreement reflects presidential directives to enhance cooperation with local and international private sector partners in the ministry’s projects. He pointed out that the strategic location of the project in Burj Al Arab city will support industrial activity and improve the efficiency of the supply chain.

According to the minister, the project is expected to improve services provided to the Burj Al Arab Industrial Zone, facilitate trade, and boost exports and imports, while alleviating congestion in seaports resulting from the accumulation of containers and cargo. The project also aims to improve logistics services, reduce goods transportation costs, and enhance connectivity between manufacturing centers, export ports, and consumer markets.

He added that the project is expected to speed up inspection and customs clearance procedures, achieve economies of scale in distribution through a more efficient connection to the railway network, reduce traffic accidents, and provide job opportunities for youth.

For his part, Tariq Hussein, Chairman of the Board of Directors of Sky Ports, said that the signing of the agreement represents an extension of the long-term cooperation between the company and the Ministry of Transport, through the General Authority for Land and Dry Ports, and reflects the growing confidence in Sky Ports’ capabilities to develop and manage logistics projects.

Hussein explained that the company aims to build on previous successes by providing an integrated model for dry ports in line with international standards, in support of the state’s efforts aimed at enhancing the efficiency and competitiveness of the transport and logistics sector in Egypt.

Sky Ports began its operations in the logistics sector in 2015, becoming the first Egyptian company to obtain the concession to establish, manage and operate a multi-purpose terminal in East Port Said Port under Law No. 165 of 2022. Since the start of partial operations in February 2024, the company has handled more than 12 million tons of cargo, with an annual average exceeding 6.5 million tons.

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