Dubai-based port operator DP World has revealed that it will invest around £40 million to improve its container terminal at Southampton, which is Britain’s second largest container terminal, media reports said.
The funding will be used to dredging and widening of the berths to accommodate the world’s biggest ships in the world. The deep water port was awarded Freeport status by the UK government in March.
In this regard, Ernst Schulze, chief executive of DP World in the UK, told the media, “At DP World we think ahead to create smarter trade solutions and this £40 million programme of investment will ensure that our Southampton terminal continues to grow as a major freight and logistics hub.
“Our aim is to partner in our customers’ business success and we are already seeing a surge of interest from companies which want to take advantage of the customs zone and tax benefits resulting from Southampton and London Gateway becoming Freeports.”
Last month, DP World gave an optimistic outlook for 2021. Chairman and chief executive officer Sultan Ahmed bin Sulayem said that demand and supply chain capabilities had also improved as a result of the coronavirus pandemic.
Recently, DP World and investment group Caisse de dépôt et placement du Québec (CDPQ) joined hands to develop a container port and industrial logistics park in Indonesia. Both parties have signed a long-term agreement with Indonesian conglomerate Maspion Group. According to the agreement, a joint venture company will be established between the three parties.