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Port of Salalah: Gateway to East Africa’s Booming Trade

The East Africa region stands out with its remarkable economic growth. With a GDP growth rate of 7% per annum from 2008 to 2020, significantly outpacing OECD countries, and a projected population surge of 55% between 2021 and 2040, the region presents immense opportunities for international trade. In response to this growing demand, the Port of Salalah, strategically located in the Sultanate of Oman, emerges as a vital gateway facilitating trade between South/East Asia and East African nations such as Somalia, Djibouti, Kenya, Tanzania, Seychelles, Ethiopia, Zambia, South Sudan, and Uganda.

Shorter Transit Times, Enhanced Connectivity

One of the key advantages offered by the Port of Salalah is its ability to provide up to five days shorter transit times compared to other major hub ports in the region. This reduction in transit time translates to faster and more efficient connections between South/East Asia and East Africa, enabling businesses to streamline their supply chains and meet consumer demands with greater agility.

Supply Chain Solutions for Enhanced Competitiveness

The Port of Salalah plays a crucial role in facilitating trade between African markets and Omani and Gulf Cooperation Council (GCC) countries. By offering tailored supply chain solutions, the port enhances the competitiveness of various products, including vehicles, lifestyle and retail items, as well as perishable goods such as avocados, flowers, and nuts. Additionally, the port caters to the import of essential commodities like food grains, fertilizers, construction materials, textiles, and chemicals.

Unrivalled Potential for Businesses

For businesses eyeing the East African market, the Port of Salalah presents unparalleled opportunities. The Salalah Free Zone, adjacent to the port, offers enticing incentives such as 0% corporate tax, 0% customs duties, 100% foreign ownership, and no minimum capital requirements. This favorable business environment makes Salalah an ideal distribution center for companies seeking to establish flexible supply chains across the Middle East and East Africa.

Capacity and Efficiency

With an annual capacity of 5 million TEU and ongoing expansion efforts to increase capacity by an additional 30%, the Port of Salalah stands ready to meet the growing demands of global trade. Moreover, the port handles approximately 21 million metric tonnes of general and liquid cargo annually, offering diverse cargo handling solutions within a single port. Renowned for its efficiency, the Port of Salalah consistently ranks as the second most efficient terminal in the world, as per the Container Ports Performance Index (CPPI) published by the World Bank and S&P Global.

Cost Competitiveness

In addition to its operational efficiency, the Port of Salalah boasts competitive costs, making it an attractive choice for businesses seeking cost-effective shipping solutions. With fast discharging and industry-leading truck turn times, the port ensures high levels of efficiency, ultimately translating into cost savings for stakeholders.

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