Adani Ports announces signing of 30-year contract to operate container terminal at Dar es Salaam Port

Wednesday, 5 June 2024 00:00 - - {{hitsCtrl.values.hits}}

Adani International Ports Holdings Ltd. (AIPH), a wholly owned subsidiary of Adani Ports and Special Economic Zone Ltd. (APSEZ), has signed a 30-year concession agreement with the Tanzania Ports Authority to operate and manage Container Terminal 2 at the Dar es Salaam Port, Tanzania. Dar es Salaam Port is a gateway port with a well-connected network of roadways and railways.

CT2, with four berths, has an annual cargo handling capacity of 1 million TEUs and managed 0.82 million TEUs of containers in 2023, estimated to be 83% of Tanzania’s total container volumes. East Africa Gateway Limited (EAGL) has been incorporated as a joint venture of AIPH, AD Ports Group and East Harbour Terminals Limited (EHTL). APSEZ will be the controlling shareholder and will consolidate EAGL on its books.

EAGL has signed a Share Purchase Agreement for the acquisition of 95% stake in Tanzania International Container Terminal Services Ltd. (TICTS) from Hutchison Port Holdings Ltd. (and its affiliate Hutchison Port Investments Ltd.) and Harbours Investment Ltd. for a purchase consideration of $ 39.5 million. TICTS currently owns all the port handling equipment and employs the manpower. Adani will operate CT2 through TICTS.

“The signing of the concession for Container Terminal 2 at Dar es Salaam Port is in line with APSEZ’s ambition of becoming one of the largest port operators globally by 2030. We are confident that with our expertise and network in ports and logistics, we will be able to enhance trade volumes and economic cooperation between our ports and East Africa. We will strive to transform Dar es Salaam Port into a world class port,” said APSEZ Managing Director Karan Adani.