Djibouti’s Doraleh Port has Provided Better Services Following Departure of Dubai-Based Minority Shareholder, Officials Say

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Djibouti has affirmed its position as a world class commercial and logistics hub following departure of Dubai-Based minority shareholder, DP World, the Presidency of the Djibouti Republic has said.

A year ago, on February 22nd 2018, Djibouti’s government prematurely terminated the concession for the Doraleh container port, awarded in 2006 to Doraleh Container Terminal (DCT), a company essentially controlled by Dubai-based firm, DP World, a minority shareholder.

The Doraleh Container Terminal is a major port facility in the Port of Doraleh in Djibouti. It is strategically located along the Red Sea and near the Gulf of Aden. Following a dispute between the government of Djibouti and the Dubai-based shipping firm DP World, the government nationalized the terminal in 2018.

In early February, 2019, roughly a year after the dispute, General Thomas Waldhauser, Commander-in-Chief of AFRICOM (United States Africa Command), pointed out that the Doraleh container port had provided better services since DP World’s departure. He was speaking before members of the US Senate Committee on Armed Forces. He also stated that the Republic of Djibouti was an important strategic partner of the United States.

Today, Djibouti’s ambitions extend beyond the port of Doraleh. The container terminal is one of the cornerstones of an ambitious national development project to make Djibouti a major commercial and logistics hub between Asia, Africa and the rest of the world.

“A year after the termination, motivated by the country’s development imperatives and the necessity to control its strategic infrastructure, the Doraleh container terminal has established itself as an efficient structure, operated by a wholly publicly owned Djiboutian company, SGTD, which works for the public interest. And this, despite the fake news campaigns, the multiplication of legal proceedings, and other attempts by DP World to intimidate the Djibouti State and its strategic partners,” Djibouti’s Presidency said in a statement this week.

The government has affirmed that Djibouti’s development project is therefore underway. The State says major investments and amounts committed reflect the confidence of international partners in Djibouti’s long-term vision.

“The Republic of China has actively participated in this effort either in terms of direct investment or through the financing of Djibouti projects. And as part of the new Silk Roads and its African strategy, China has established itself as an essential partner,” the Presidency explained.

The State body added that Djibouti will fully assume its role in maintaining security in the Gulf of Aden and in the fight against terrorism. The country has also established itself as a key humanitarian hub, in particular to assist civilian populations affected by the conflict in Yemen.

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