Somalia and Turkish firm sign revised 14 year port concession
The Minister of Ports and Marine Transport, Mariam Aweis Jama, signed a 14-year Concession Agreement with the Albayrak Group from Turkey for the Rehabilitation and Operation of the Port of Mogadishu on behalf of the Federal Government of Somalia. In part as a response to the Government’s policy to review all government concession agreements which has now been completed, the two Parties agreed on a more ambitious agreement after Albayrak had been operating the Port already since 2013.
. The new agreement covers:
- the continuation of the Port’s exclusive terminal operations and marine services by Albayrak under a revised revenue share arrangement;
- a five-year, US$ 50 million rehabilitation and investment program to safeguard the port assets and respond to increasing trade flows;
- the implementation of a state-of-the-art terminal operating system to increase efficiency and speed at the port and increase service quality for shipping lines and cargo owners;
- compliance with international agreements and conventions as well as international quality and safety standards to increase the attractiveness of the Port; and finally,
- a planning and approval process for the long-term development of Mogadishu Port beyond the initial five years.