Dubai-based port operator and logistics company 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.
The container port and logistics park will be developed in Gresik, nearby Surabaya in East Java. Work on the projects is expected to begin in the third quarter of 2021, with a total investment of up to $1.2 billion, media reports said. The port is expected to have a capacity of up to three million twenty-foot equivalent units (TEU).
Emmanuel Jaclot, executive vice-president and head of infrastructure at CDPQ, described Indonesia as a strong growth market. He told the media, “It also represents an important milestone for our joint platform with DP World with the addition of a first greenfield port to our portfolio of high-quality assets that have demonstrated their resilience over the past year despite important shifts in the global supply chain landscape.”
In January, DP World signed a 20-year concession agreement to develop and sustain the port. The agreement was signed by António Bengue, chairman of Porto de Luanda and Sultan Ahmed bin Sulayem, group chairman and chief executive officer of DP World.